In sectors like construction and manufacturing, a single incident can trigger escalating claims that may snowball into nuclear verdicts, high premium costs and long-term reputational damage.
More than checking compliance boxes, structured loss control programs fortify defense, demonstrate accountability to insurers and enhance bottom lines in industries where risk never sleeps — all while protecting the workforce at the center of it.
Reduce First-Year Claims with Structured Onboarding
An employee’s first few weeks on the job represent one of the highest liability windows an employer faces, when even small missteps can lead to costly workers’ compensation claims. According to the Occupational Safety and Health Administration, 35% of work-related injuries occur within a worker’s first year on the job, underscoring how inconsistent training leaves employers exposed.
A documented onboarding program helps close that gap and verifies that employees have received proper instruction and supervision before taking on high-risk tasks. The result is twofold: fewer preventable claims and stronger evidence of due diligence when incidents do occur.
Companies that track training and competency also strengthen how insurers view their operations, signaling that risk management is intentional, not assumed.
Strengthen Defensibility on the Road Using Driver Safety Manuals
Auto liability can be one of the costliest and most unpredictable exposures in high-hazard industries. One crash can shift from a claim to a courtroom headline overnight. Nuclear verdicts — jury awards exceeding $10 million — have become increasingly common; in 2024 alone, 135 lawsuits resulted in a nuclear verdict, according to Marathon Strategies. This escalation has forced carriers to scrutinize every layer of fleet management.
Driver safety manuals help prevent and defend against these outcomes. Clear policies on inspections, equipment use, fatigue management and incident reporting create a trackable record of accountability. Regular ride-alongs and reviews reinforce those expectations and show continuous oversight.
When incidents happen, that documentation helps contain negligence narratives and demonstrates to carriers that the company has control over its risk environment.
Regain Control through Return-to-Work Programs
Even the best prevention methods cannot eliminate every injury. When employees stay off the job too long, claim costs rise and premiums follow. A structured return-to-work program limits that escalation, bringing injured employees back through modified or transitional duties.
This keeps more cases within the medical-only category, preserves discounts tied to lower experience modification factor scores and prevents comp costs from compounding over multiple policy years.
Prepare for the Unpredictable
Across high-hazard industries, structured loss control transforms risk into a governed process that turns unpredictable expenses into managed outcomes. Employers who formalize their loss control strategies create steadier ground when incidents arise — and a business that stands firm when others scramble.
Brandon Putnam is a vice president of business insurance at Marsh McLennan Agency, specializing in insurance strategies and risk management solutions for high-hazard industries. He is based in Arizona.
Did You Know: U.S. employers spend more than $50.8 billion each year on the most serious, nonfatal workplace injuries, many of which stem from preventable causes.
