MTM — It’s Members, It’s Board

I am frequently asked “how is MTM different than commercial insurance carriers?” After my 50 years in insurance, many years at a commercial insurance company, it is a question I enjoy answering. The difference between a specialty mutual company owned by its members and a large investor-owned insurance company is huge. Priorities/goals at the top of the small mutual are vastly different from a multi-state, multi-coverage commercial insurance company. So let me start with the MTM Board of Directors and what happened in October.

By Chris Demeter
Senior Loss Control Consultant

It should come as no surprise to learn that welding operations present significant risks to employees, property, equipment, and other physical business assets among industrial and manufacturing processes. According to the Occupational Safety and Health Administration (OSHA), over half a million workers are exposed to the hazards common to the welding profession each year, often resulting in injuries, lost wages, and reduced productivity. Faced with the potential for a serious or even fatal workplace injury, how would you prevent welding-related injuries? In this guide, we’ll explore some of the best risk management practices in the industry, helping your business protect employees and assets from the risks associated with welding operations.

By Donna Motley
Vice President of Claims

Over the years, our office has received claims involving injured workers who do not speak English, or at best, very limited English. We have been asked “how” we handle these situations. If at all possible, we first inquire whether or not the injured worker has a spouse, significant other, child or other relative that would be able to step in as a translator/interpreter for us. Most injured workers would be most comfortable with a family member intervening. Some employers may have a co-employee facilitate the translation/interpretation process. If a family member or coemployee is not available, we have to hire an outside, professional interpreter. While there may be a couple of Nurse Case Managers that we hire that are “knowledgeable” with a specific language, they cannot act as a formal interpreter. They, obviously, are hired by MTMIC to aid the injured worker and facilitate medical treatment, and as such, are paid by MTMIC and may not be seen as being “impartial”. Translators and interpreters should be certified and/or degreed in the vocation.

Brady Schlesener is Vice President of Sales and Marketing at Gemini Group. He is responsible for overseeing all commercial activities for the company’s 18 locations with $300 million in annual revenue. He has over 23 years of professional experience in the automotive industry and has been with Gemini since 2007. Additionally, he serves on the Manufacturing Technology Mutual Insurance Company Board.

Schlesener holds a Bachelor of Arts, Finance and Marketing, from Cedarville University as well as a Master of Business Administration from Michigan State University. He is a member of various professional organizations including Motors & Equipment Manufacturers Association (MEMA), Aluminum Extrusion Council (AEC), and the Forging Industry Association (FIA). Additionally, he volunteers with the High School Youth Ministry at Highland Park Baptist Church and the Seaholm Football Booster Club.

We have expanded our Sales and Marketing Department and are reaching out to you to introduce Marcy Savage – our new Marketing Manager. With an impressive 20 years of experience in the insurance industry, including over 10 years specializing in workers’ compensation, Marcy brings a wealth of knowledge and expertise that will greatly benefit our organization and our clients.

Marcy’s extensive background in both underwriting and marketing workers compensation and her commitment to providing exceptional customer service make her a valuable addition to our team. Her passion for helping others and her dedication to staying current with industry trends will undoubtedly enhance our capabilities.

Passing the Baton

After 53 years of insurance management, it seems time to turn the MTM helm over to a “new” manager. After lots of discussion, assessment and planning meetings, the Board of Directors over the last year came up with a transition date of 6/1/25.

By Ruth Kiefer, MSc, ARM
Vice President of Loss Control

My team and I are often asked “how can I improve my safety program?”. This is a question that comes up even to a seasoned safety professional as companies try to reduce operating costs as much as possible. A survey of regional safety professionals was recently conducted to determine what they would like to improve so they can provide a better safety culture in their workplace. Listed below are the top ten answers professionals gave to this question. I’ve added a loss control view after each identified issue.

Where Does the Money Go?

Occasionally I am asked “where does the premium go that is paid by MTM members?” I could break that down into more than two dozen categories but let me just give you a high-level view. If I took 2023 as an example year, I could put the percentages into three basic categories. No surprise, the number one category is claims including legal expenses with the second being administrative expenses which include company salaries, rent and of course, taxes. Not only are there income taxes to pay but we’re also required to pay assessments to the state and a percentage of the premium as a state premium tax. And the third category are the leftover funds which are paid to members as dividends. Again, going back to 2023, in rounded numbers, 55% of the premium is paid out in claims and claims handling costs with 25% paid for MTM administrative expenses and 20% was returned as member dividends.

By Donna Motley,
Vice President of Claims

Determining what to write about this month was a no brainer – the subject: The weather! We just experienced a week of high temperatures with high humidity. While I have written about this topic in the past, after this past week, I feel it bears repeating.

It came upon us suddenly. We were not prepared. There was no chance to become acclimated. Becoming dehydrated or suffering from the heat is not covered by Workers’ Compensation. Keep an eye on your co-workers for signs – muscle cramping, a “heat” rash, headaches, nausea, vomiting, dizziness, confusion, irritability, fatigue, weakness, numbness or tingling in limbs, fingers and toes, excessive thirst, dry mouth, infrequent urination. All signs there could be a problem.

By Ruth Kiefer, MSc, ARM
Vice President of Loss Control

As many of you have already experienced, MIOSHA had a full complete year of compliance audits and are on a roll. To help our policyholders stay on track, we always try to provide CET’s annual release of the top 20 that they provide at their annual Michigan Safety Conference. On the General Industry Safety violation side, approximately 500 citations were issued in 2023. They collected $1.33 Million in fines, which averages out to $2,606 for the average safety citation. Now for the Health side of things, as there are always two parts. The Health side issued 565 citations and collected $823,200 in fines. The average citation per location was $1,456. If you are unsure if you have a Health or Safety violation, please contact your Loss Control Consultant for more guidance of these most cited violations below. We are happy to help you stay in compliance.

MTM Annual Members Meeting, March 2024

In March, the Annual MTM Members meeting was held. This was the second year of the meeting to be held in March. Prior to the last two years, the meeting was held in October. At the October meeting one of the presentations was the company profitability for the current year and the ‘likelihood’ of a members’ dividend at the end of the year. After holding the meeting for many, many years in October, our Marketing Department discussed the advantage of holding the meeting in March at which time, instead of discussing the possibility of a dividend, we could actually hand out checks at the Annual Members meeting. This review and suggestion was made to the Board of Directors and the Board agreed to move the October Annual Members meeting to March.

By Travis Halsted, MS, CSP, ARM, COSS
Loss Control Consultant

As the weather is warming up, I am finding more and more of my visits with policyholders that result in us spending some time outside to check the perimeter of the building, parking lots, truck bays and other areas that often can go without routine inspections due to weather conditions. During one particular inspection I noticed a large area of dead poison ivy climbing the facility wall, and an impressive dormant bee nest in the tree next to their outside eating area. I asked them if they include the “outside” area in their facility hazard identification process. I was met with a response that got me thinking. That response was that they will add that aspect as soon as they start doing that inside the building first. My contact at this company felt that they weren’t qualified to identify hazards, and that by not knowing all of the standards and rules, it prevented them from being the person to do that. Sadly, as I started to ask some of my contacts at other policyholders if they felt that they were qualified to do hazard identification they said no, and that’s why they rely so heavily on their Loss Control Consultant. I want to assure all of you that you are qualified, and with some training on what to look for, you can become an expert at hazard identification as well.

By Donna Motley,
Vice President of Claims

I recently reviewed a new claim that crossed my desk for a “foot contusion” – a 14 pound part fell on the top of the employee’s foot. Fortunately, no bones were broken, but there was an abrasion with minimal blood, bruising and swelling. A trip to the local occupational clinic consisted of the examination, an x-ray and prescribing of the following: Bacitracin Ointment (an anti-biotic), Cephalexin (an oral anti-biotic), Naproxen (an antiinflammatory), Tylenol Extra Strength, an Ace Bandage, home dressing supplies, hot/cold pack, and a post-op shoe; also with a referral to physical therapy. Work restrictions were imposed with a return clinic visit in two days.

After two days, the return visit showed improvement, but the employee was to remain on the above prescribed protocol with a return visit in one week. At the one week return visit, cellulitis was diagnosed (a bacterial infection); Sulfamethoxazole (an anti-biotic) was prescribed; work restrictions remained in place.

By Ruth Kiefer, MSc, ARM
Vice President of Cost Control

As this article hits your inbox, we will be in that magical time when flowers bloom and evenings are getting longer. It is also the time to remind you to have your Heat Stress Program developed and ready to implement for the sometime sweltering days of summer.

There are 12 key elements of a Heat Illness Prevention program that. MIOSHA requires. 1) Having a plan – this includes monitoring, acclimating, and having work/rest schedules. 2) You should designate someone to oversee the Heat Safety Program. 3) Training for employees is key to the program and workers need to know the risks, symptoms, and response procedures, as well as prevention methods regarding heat stress.

Preparing MTM Member Dividends

January and February are an important time for MTM staff. It’s when we put together all the documentation that leads up to the printing of member dividend checks in March. Let me give you a rundown of what happens. On New Year’s weekend, Chris Doebler our 28-year veteran CFO puts together all of the claims detail and payroll information for 2023. This immense amount of detail is sent to an outside actuary to do loss valuations required by the Michigan Insurance Department. This review takes close to three weeks by the outside actuarial firm. 

 On January 29th Chris Doebler, Megan Brown, our VP of Sales/Marketing, and myself head to Nashville to meet with our actuarial advisors to discuss the results. We review the 110-page document to evaluate the proper reserves that are necessary to make sure that all the money necessary to pay those claims is put away. It is a challenging balancing act with the legislative and judicial changes, inflationary impact, and the loss trends of our members. 

By Chris Demeter, Senior Loss Control Consultant

Lockout/tagout is not a topic to take lightly when it comes to the safety of your employees. Improperly following procedures or having no procedure at all is a serious MIOSHA offense, and fines are applied accordingly. Lockout/tagout is a critical safety component in safeguarding workers around the equipment they operate, service and maintain. For yet another year, MIOSHA’s Lockout/Tagout Standard made the list of the top 10 most frequently cited Standards. The most-cited sections within this standard focus on procedure development and use, inspections, employee training, and notification of the application and removal of lockout or tagout devices.

Closing 2023 and Opening 2024

I hope your Christmas and New Year’s celebrations were relaxing, joyous, and shared with family. Mine was and, as a bonus, it appears I made it through the family get-together without picking up a cold from the grandkids. In my limited grandparent experience, I have been unsuccessful at staying healthy after visits with grandkids. It also appears that grandkids, until the age of six, have a constant runny nose and some sort of cold. After thorough research, I find that no one has solved this dilemma. 

By Donna Motley, Vice President of Claims

Let’s face it, we’ve been lucky so far! Living in Michigan and having temperatures in the 50’s in December? That wasn’t very common when I was growing up! I know I’m sounding old, but I can remember a Thanksgiving where there was three feet of snow on the ground! But, most likely, the snow is on its way. Or maybe even worse – ICE! Now is the time to prevent possible future injuries. “Ice and snow” are synonymous with “slip and fall”. Before the elements arrive, it would be a good idea to check the condition of your parking lot and fix the cracks and pot holes. Have the bag of salt or deicer on hand and ready to be spread. Inspect for accumulations of water, ice and snow. Make sure your outdoor cameras are operating properly. Inspect the mats inside the entrance and exit doors – are the corners curling (another trip hazard), are the mats thread bare, has the back-side lost their grip (i.e. do they slide)?

By Ruth Kiefer, MSc, ARM
Vice President of Loss Control

During my facility visits this year I was surprised by the amount of MTMIC policyholders that had not submitted their 300A electronically for the 2022 year. This oversight on average cost each policyholder anywhere between $600-$1,400 in a MIOSHA penalty fine.