Experience Rating and Work-Related Health and Safety

Pascale Lengagne ()

Journal of Labor Research, 2016, vol. 37, issue 1, 69-97

Abstract: In the area of Workers Compensation Insurance schemes, experience rating (ER) is a common incentive tool, in many countries. Premiums paid by firms are experience rated, which should encourage them to improve working conditions and reduce work-related injuries and disabilities. Using sectorial data for industry and construction sectors in 2005, this article provides empirical insights into the influence of ER on work-related health and safety in the context of the French jurisdiction. We examine the relationship between firm premium rate variations and adverse working conditions indicators, controlling for observables, assuming the hypothesis of an asymmetric firm response to premium increases and decreases. The results are consistent with the hypothesis that ER is a lever to improve working conditions and reduce work-related injury rates. Further investigation is needed to understand the influence of ER on firm behavior. Copyright Springer Science+Business Media New York 2016

Keywords: Workers’ compensation; Experience rating; Working conditions; Work-related injuries; J28; I13; I18 (search for similar items in EconPapers)
Date: 2016
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Citations: View citations in EconPapers (3)

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DOI: 10.1007/s12122-015-9216-x

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