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County risk manager warns carrier's reporting requirement would add unbudgeted costs; board endorses continuing current format
Summary
Lancaster County’s risk manager told commissioners the county’s excess workers’ compensation carrier requires reporting every claim through its system — a departure from customary practice — and the board supported providing claim information in Lancaster County’s existing format to avoid unbudgeted costs.
Lancaster County Risk Manager Sue Eckley informed the Board of Commissioners that the county’s excess workers’ compensation carrier, Midwest Employers, is requiring every claim be reported through the carrier’s specific claims reporting system — a change from prior practice, which typically required notifying an excess carrier only after a claim reached about 50% of the county’s self‑insured retention.
Eckley said the county is self‑insured to $900,000 and purchases excess coverage beyond that level. She told commissioners the carrier’s requirement had not been disclosed during contract negotiations and that adopting the carrier’s reporting system would impose unbudgeted implementation costs and operational changes. Eckley asked the board for approval to continue delivering claim information in the county’s existing reporting format rather than building a new interface to meet the carrier’s preferred format. The board indicated support for her approach and agreed it was reasonable not to incur extra expenses solely to match the carrier’s system.
Why it matters: the change would affect how the county documents and transmits workers’ compensation claims and could impose recurring or one‑time costs for systems and staff time. The county’s decision to provide information in its current format preserves existing workflows while the parties continue to coordinate.
What’s next: Risk Management will continue providing required claim information in the county’s established format and monitor the carrier relationship and any contractual disclosure issues.
