MOD rate stands for Experience Modification Rate. Your MOD rate directly affects your premium—it’s essentially your safety scorecard. A high MOD means your business is viewed as riskier, resulting in higher insurance costs. Understand what impacts your MOD, including claim frequency, severity, and your company’s payroll. Ask your broker to walk you through your MOD worksheet and develop a plan to improve it with better safety practices, return-to-work programs, and prompt claims handling.
Fraud is a crime
If your application contains purposefully misleading, absent, or inaccurate information, you could be charged with fraud. Your insurance carrier could potentially void your policy, or you could face civil or criminal charges or penalties.
Any person who knowingly and with intent to defraud any insurance company or other person, files an application for insurance or statement of claim containing any materially false information or conceals, for the purpose of misleading, information concerning any fact material thereto, commits a fraudulent act, which is a crime.
