Work First Casualty Company was established in 2005 to specifically address the underserved workers' compensation market for the staffing industry. The nexus of the company, however, substantially predates the creation of Work First.
In 1985, a small Oregon-based commercial staffing company was faced with the prospect of being driven out of business by a poor experience modifier which drove exceptionally high workers' compensation insurance cost. This company was forced to take drastic action if it was to remain in business. It had to vastly reduce both the frequency and severity of injuries. It also had to assume much of the risk of its workers' compensation program.
As is sometimes the case, this company found advantage in crisis. It took immediate steps to create a strong workers' compensation management program. This established a profitable foundation upon which the company grew into a strong regional player. It now has over 130 offices doing more than $300 million in annual sales and covering nineteen western states.
Through the years of growth an effective workers' compensation program was always an important factor. The company maintained a high deductible workers' compensation policy, assuming the first $1 million of each claim. While this program was very successful, the requirement, common to all high deductible policies, to post ever-increasing letters of credit became troublesome.
It became clear that the pace of growth of the required letters of credit would become unsustainable in the future. This problem, as well as confidence in our workers' compensation program bred through experience, drove the concept of starting an insurance company to serve the staffing industry.
Knowing firsthand the struggle that staffing firms have in securing affordable workers' compensation coverage, and knowing that we had an effective system to manage the risk, made the decision to start Work First easy. By sharing the effectiveness of our system, a win/win/win scenario is created.