Affiliated with New Mexico Home Builders Association

2nd Quarter Edition 2014

Your newsletter for quality workers’ compensation

information

Board of

Trustees

Kevin McGinley Chairman

Mesilla

Randy Crowder Secretary/Treasurer

Clovis

Mark Carpenter Trustee - Clovis

John Jourdan

Trustee - Hobbs

Wayne Rutherford Trustee -Taos

Lee Rawson

Trustee - Las Cruces

Bob Dolgener Trustee - Ruidoso

Michael Drunzer

Trustee - Alamogordo

Rick Davis Trustee - Albuquerque

Tom Johns

Advisor Trustee Albuquerque

Rob Liessmann Advisor Trustee

Farmington

Ray Gee Ex-Officio Santa Fe

Jack Milarch

Ex-Officio Albuquerque

BUILDERS TRUST

BLUEPRINTS

Builders Trust Goes The Extra Mile

Annually, when the legislature is in session in Santa Fe, you will find Jack Milarch,

EVP & CEO of Builders Trust, in the halls of the roundhouse. Jack and Randy

Traynor, our professional lobbyist, are ever diligent in keeping apprised of any

workers’ compensation bills that are being proposed that might negatively impact

the construction industry in New Mexico. Equally important is finding sponsors for

bills that will help strengthen the workers’ compensation laws of New Mexico.

During this past session, which is typically reserved as a budget session, the

Governor allowed House Bill 113, sponsored by Representative Dennis J. Roch, to

be considered. The bill proposed a change in the law, whereas, a worker who is

injured while under the influence of drugs or alcohol would receive a substantial

penalty against workers’ compensation benefits. But sadly, the bill was never

allowed out of committee.

As the law stands now, benefits are paid to those individuals that are impaired and

cause injury not only to themselves but who also create hazards for their fellow

co-workers as a result of their impairment. New Mexico has made a lot of headway

in trying to reduce the incidence of drunk driving, but now is the time for our

legislators to take the next step and help reduce the use of alcohol and drugs in the

workplace.

Another proposal we are pushing

is the ability to terminate workers’

compensation benefits for indi-

viduals that are incarcerated.

Both of these changes seem like

common sense but we need your

assistance. When talking with

your state representatives,

encourage them to support bills

such as the ones described in

this article. We will be bringing

them back up for consideration

during the next session.

Inside this issue Tool Box Talks P2 Debris Removal P2 Online Safety Training P3 Timely Claim Reporting Back

International Builders’ Show Drawing - Insert

Builders Trust of New Mexico affiliated with New Mexico Home Builders Association

Gov. Susana Martinez discussing workers’ compensation issues with NMHBA and Builders

Trust board members

Builders Trust of New Mexico affiliated with New Mexico Home Builders Association

Blueprints - 2nd Quarter Edition www.builderstrust.com® 2

Debris Removal By Steve Murphy - Premium Audit Manager

Premium audit season is in full swing and one item that seems to pop up from time to time is the misclassification of Debris Removal (Classification Code 5610). It is important to remember that the Debris Removal class code is designed for final cleanup on a construction project. During the audit process we periodically find where payroll was reported under the Debris Removal class code for daily cleanup and maintenance which is an inappropriate use of class code 5610. Payroll for daily site cleanup (housekeeping) should be reported under the class code in which the employee was working, be it framing, concrete work or roofing and such. We also see from time to time where payroll reported under the Debris Removal class code has exceeded the maximum allowed of 20% of construction payroll (Trade Codes). Keep in mind that codes 5606, 8742 and 8810 are not considered part of trade codes. Should the maximum of 20% occur the excess payroll will be adjusted to the balance (highest rated) classification at time of annual audit. We share this information with you because an audit should never be a surprise. If you ever have any questions with regards to proper placement of payroll when completing your monthly reports, don’t hesitate to contact the Premium Audit department at 1-800-640-3369 or 505-345-3477 for assistance and clarification.

Splitting class codes with Debris Removal is a unique cost-saving benefit from Builders Trust.

Tool Box Talks - Weekly Email Updates

Many of you are probably already familiar with Builders Trust “Tool Box Talks” and use them as talking points during regular safety meetings. They are designed for a 15-minute discussion with employees and can even be used as a tailgate discussion at the start of a work day. Subjects covered include: Common Sense Awareness, Confined Space Entry, Fall Protection, First Aid & Medical Treatment and many more. We have, however, been beta testing a more robust electronic version of “Tool Box Talks” where we have greatly enhanced the volume and quality of subject matter. Weekly articles will be emailed out and should be accessible on smart phones and tablets. This e-blast can be put into the hands of your field supervisors, who in turn are able to share these very current and topical safety subjects with workers in the field where it can be most beneficial. All subjects are also translated into Spanish so more individuals may benefit from these timely safety articles. This is a fee-based service and runs a flat $100.00 per year. It doesn’t matter if we send it to one supervisor or 10, the price is the same. To sign up for the service simply call our Service Center department at 1-800-640-3369 or 505-345-3477. Please have ready the names and email addresses the e-blast should be directed to. The annual fee is charged on the first of every year, so your subscription for 2014 will be pro-rated through December 31st.

Builders Trust of New Mexico affiliated with New Mexico Home Builders Association

Blueprints—2nd Quarter Edition www.builderstrust.com® 3

NEW!!!NEW!!! Online Safety Training

Welcome to Builders Trust’s new online safety video training. Our extensive streaming video library has 172 titles in English and 92 in Spanish and the subject matter will continue to grow over time. Quizzes accompany each topic so you can test your workers’ knowledge as they watch the videos. Here are just some of the videos available:

Eye Safety Ladder Safety Fall Protection Back Safety Driving Safety Safety Orientation Dealing with Drug & Alcohol Abuse First Aid

To sign-up for this valuable service please contact our Service Center department at 505-345-3477 or 1-800-640-3369. We will forward a Usage Agreement for you to sign and then we will assist you in accessing the on-line service.

Participants may view a few videos per year at no charge, thereafter a very reasonable rate of $4 per viewing will be charged.

Builders Trust of New Mexico

P.O. Box 91330

Albuquerque, NM 87199

www.builderstrust.com ®

PRST STD

US POSTAGE

PAID

ALBUQUERQUE, NM

PERMIT NO. 935

PLEASE ENJOY THIS COMPLIMENTARY ISSUE OF BT BLUEPRINTS

To find out how you can join Builders Trust of New Mexico AND receive the best value in workers’ compensation coverage for New Mexico Home Builders Association members, please contact our

Marketing General Agent Ronnie Letcher at Ronnie Letcher, MGA, LLC at 1-888-618-6022

A delayed report is the precursor to a problematic claim and it can hurt all involved in

the long run. The sooner a claim is received by an insurer, the fresher and more

accurate is the information obtained. Additionally, our ability to keep your workers’

compensation costs down is also tied to your timely reporting.

The foundation for a claim is based on the initial investigation and results. A late

report only degrades the information as a person’s memory fades. A timely

investigation is imperative to determining what happened, why it happened, and how it

happened. This initial information is crucial to determine compensability and to also

determine if a third party caused this loss, which can help offset the cost of the claim

for the employer.

It is important to know that an injured worker is held accountable for reporting a claim in a timely manner under NM

statues and in turn an employer is held accountable for reporting the claim to their carrier in a timely fashion as well. By

statute an employer must report every claim to their insured with 72 hours of knowing of the loss, regardless of whether

or not the employer considers the claim to be valid. Failure by an employer to report a claim in a timely manner not only

damages the credibility of the investigation, it is noncompliant with the NM WCA rules that govern this matter and can

result in fines. In short, the sooner a claim gets to Builders Trust, the better it is for all parties involved.

Our ability to effectively handle a claim can help reduce the claim expense, which in turn helps your Experience Modifier,

which in turns helps reduce your premium expense.

Importance of Timely Claim Reporting By Ethan LeCam - Claims Manager