SFM is introducing multi-factor authentication and new password requirements on March 14 to enhance your SFM Agency Manager (SAM) account security.
Setup process available starting March 14
To prepare for multi-factor authentication, you’ll have the opportunity to confirm your email address and mobile number when you log in to SAM, beginning March 14.
You’ll also be prompted to reset your password if it’s under 12 characters to meet the new password length requirement. Once you’ve reset your password, you won’t be required to change it again for a year.
After setting up multi-factor authentication, you’ll be prompted to enter a 6-digit verification code sent via email or text to log in once every 30 days. You’ll also need to enter the verification code whenever you clear your cookies or switch to a different browser or device.
Separate accounts advised for anyone who needs access
As part of the rollout of multi-factor authentication, we’re also asking customers to set up individual accounts for anyone who needs access to SAM, as sharing accounts will become more difficult.
To add accounts, contact your agency’s SAM administrator.
SFM is making upgrades to its online MyPayroll system with new features and a streamlined process to make it even easier for policyholders to complete their annual premium audit.
The enhancements are expected to go live soon.
For agents, the most notable improvement is that they will receive an email notification when policyholders submit their payroll audit. This will allow agents to keep track of audit status more easily.
“We’re excited to roll out these enhancements to SFM’s MyPayroll system,” said DeAnne Misgen, Premium Audit Team Leader. “We already have strong reviews of our premium audit system, and these upgrades serve as another example of SFM’s commitment to improving the customer experience.”
For policyholders, the new features include:
The ability for users to securely upload multiple documents at once using a drag-and-drop interface
Email notifications in addition to physical letters about premium audit deadlines
Users can add documentation to their audit after it’s been submitted
Meanwhile, the updated MyPayroll will also allow users to use the system even after they have missed their payroll audit deadline and received notice of pending cancellation.
New MyPayroll users
With the enhancements to MyPayroll, a wider range of policyholders will be able to complete their audit using this method, including some policyholders who previously completed their audit in person or via email only. This will give them more control over their audit process, allow for self-service and eliminate the need to schedule an SFM representative each year.
First-time users should find the process smooth and intuitive, and such policyholders will still have access to SFM’s support team and resources.
Again, the upgrades to SFM’s MyPayroll system go into effect during the first quarter of 2024. If you have any questions, please contact your SFM underwriter.
Employers insured by SFM have an important option when it comes to reporting payroll and managing premium payments. SFM’s pay-as-you-go wage reporting system allows policyholders to make premium payments that match with payroll throughout the year.
The pay-as-you-go option is available to any SFM policyholder with at least $1,000 in annual premium, and it’s especially valuable for businesses that experience fluctuations in staffing throughout the year.
SFM has offered this capability for several years, and it’s gaining popularity with employers. Our pay-as-you-go option offers the following features:
Enrollment in pay-as-you-go is available at policy inception, on renewal or during the policy year
Account setup requires little or no collateral deposit
Payments can be made by mail or online
Pay-as-you go users can request automated recurring payments
Users have digital access through SFM’s CompOnline policyholder management system
Remember, pay as you go policies are still audited just like any other SFM policy, to verify the correct payroll figures were reported
To learn more about how pay-as-you-go wage reporting can make life easier for your policyholders, contact your underwriter or visit the pay-as-you-go wage reporting page.
As rates for other lines of insurance climb, workers’ compensation rates are steadily decreasing.
“Consistent with recent years, we continue to see the rates in our core states of operation going down in 2024,” said SFM Business Development Specialist Cody Allen. “The latest workers’ comp rates throughout our territory currently range between -6.3% and -12%.”
Why are rates going down?
The explanation for this positive trend is simple – workers’ compensation claim frequency has declined for all but two of the past 20 years, according to the National Council on Compensation Insurance (NCCI).
There are a number of key reasons why we’ve seen reduced claim frequency over time, including:
Technological work practices: Employers have found ways to leverage automation, mechanical assistance and other technology to reduce the risk of injury for their employees.
Management practices: Employers are putting more energy and attention toward better hiring practices and return-to-work strategies.
Safety programs: Employers are also investing more in safety training and hazard reduction.
Meanwhile, medical utilization trends are also helping to control workers’ compensation losses. For example, moving toward more outpatient procedures and generic drugs has had a positive impact on medical costs.
The workers’ compensation industry has had significant reserve redundancies over the past five years, and is currently estimated at $17 billion, an all-time record, according to NCCI. The possible release of these reserves only improves carriers’ results.
The combination of claim reserves possibly being released, claim frequency continuing to decline, medical inflation remaining under control and payroll increases work together to drive rates down.
Future challenges to positive trends
There’s not necessarily an end in sight for these positive industry trends, but there are some future uncertainties that could be looming:
An uncertain economic environment
Labor challenges, including an aging workforce and competition for employees, which can lead to more turnover (newer employees often have a higher frequency of claims)
Dave Kaiser doesn’t have a singular moment that stands out during his time with the SFM Foundation.
“The moment for me happened every year,” Kaiser said. “It was when I would speak in front of everyone at our annual golf events. There would be 250 people in a packed room, and we’d be introducing the kids and you could feel the energy in that room. You could understand the whole reason why you were doing this. That was special.”
Fifteen years after co-founding the SFM Foundation, which provides college scholarship funding for families affected by workplace injuries, Kaiser stepped down as board chair on Dec. 6, 2023. While it was partly due to SFM Foundation bylaws, there was another reason.
“Honestly, it was also time,” he said. “It was time for someone else to do this and give them that opportunity. Fifteen years is plenty for anybody.”
Over those 15 years, the SFM Foundation has awarded $3.7 million in scholarship funds.
Origins of the SFM Foundation
Back in 2008, Kaiser had heard of an organization in Colorado that provided scholarships to the children of injured workers.
He told Bob Lund, former SFM President and CEO, a similar nonprofit would be a good idea for the company.
“We saw how successful it was and also how it fit so well into our organization. We thought it would give employees something to be proud of,” Kaiser said. “We’re giving back to the same community that we work hard to provide good outcomes for.”
Aside from heading up the SFM Toys for Tots program, Kaiser had never had any experience with a nonprofit. He made some calls to officials with the Colorado group, spoke to some lawyers and “boom, we had a foundation.”
A board of directors and volunteer team was established to run the SFM Foundation, which started with a golf fundraiser because Kaiser had experience at such events.
In its first year, the SFM Foundation provided $57,000 in scholarship money. This year, it was $500,000. And the SFM Foundation is among the top organizations in the country providing similar philanthropy.
SFM Foundation successes
That growth over the past 15 years benefits more than just the scholarship recipients.
“The mission was to impact not only the kids, but also the families,” Kaiser said. “These families have been through some really awful things. The kids’ grades tend to drop. And the families are often financially strapped because they lost their primary breadwinner.”
Those families have gotten to know each other over the years and attend SFM Foundation events.
“You saw this huge community being built,” Kaiser said. “Since the third year, we typically sell out the golf event in February because everybody wants to show up to it and they want to be part of that community. That’s why you do it – you see how you’re impacting the lives of other people.”
That sense of community and hope is big for Kaiser. “Bad things happen but there are also good people out there,” he said.
Meanwhile, Kaiser noted how SFM and its employees have embraced the organization, which has earned the Platinum Seal of Transparency from GuideStar – the top transparency rating a nonprofit can receive.
“It’s about finding people that share the same mission,” he said. “The people who have worked on this over the years – you have to find the people who have the same place in their heart and they’re all doing it for the same purpose.”
Those involved in the SFM Foundation don’t see the efforts as work. “When people view it as something that adds to their life, then you have magic,” Kaiser said.
There is a strong core of SFM employees who make the foundation go. Kaiser himself has held virtually every title in the organization over the years, and added that the foundation’s efforts also offer SFM employees the opportunity to take on new roles and challenges outside of their day-to-day job.
Of course, every promotion within the SFM Foundation comes with extra pay.
“Everyone’s used to my famous line – if you get a promotion I double your salary,” he said. “Well, no one got paid.”
Future of SFM Foundation
Kaiser credited the ability of the foundation’s leadership team in making the SFM Foundation a success. That group will continue to operate as it has in Kaiser’s absence.
Taking over as board chair is Andy Gebhard, SFM’s VP & Chief Communications Officer.
“Andy’s going to do fantastic,” Kaiser said. “I told the board – after 15 years, having fresh blood is a good thing. And having someone like Andy, who has so much creativity and shares that same emotional connection, it’s a perfect match.”
Kaiser thanked SFM Foundation volunteers, saying the organization is only successful because of them. “They are the heart and soul of the foundation,” he said.
He’s proud of how the company and its employees have adopted the organization and moved it forward, specifically mentioning:
President Linda Williams
Executive Director Lindsay Henningsgaard
Scholarship Director Debra Zorn
Event Director Kim Thelen
Circling back to the annual golf event that is so special for Kaiser. Is he even any good at golf?
“Not tremendous,” he said. “I can hit the ball a long way, I just don’t know where it’s going.”
Since its inception in 2008, the SFM Foundation has granted 232 scholarships totaling $3.7 million to help students pursue higher education thanks to the generous support from sponsors and donors.
The SFM Foundation provides scholarships for students whose parents were seriously injured or killed while working for Minnesota or Iowa employers. SFM Foundation is an affiliate of Kids’ Chance of America in Iowa and Minnesota and is also known as Kids’ Chance of Iowa.To learn more about the cause, visit sfmfoundation.com.
The first half of 2023 is in the books, and it’s already been a remarkable year for SFM in a number of ways. New and renewal premium results have been outstanding, customer retention continues to be very strong and claim activity is trending in the right direction as the year unfolds.
Premium performance: positive activity on all fronts
SFM has already seen excellent new business results in 2023, continuing the trend in recent years of exceeding expectations. New account development has topped $24 million, well ahead of plan and on pace to top last year’s remarkable growth. SFM is writing these new accounts across a widening territory that now includes eight core states (Minnesota, Wisconsin, Iowa, Nebraska, South Dakota, Kansas, Indiana and Tennessee).
Renewal premium also continues to be very strong, running significantly ahead of expectations through the first half of the year. Year-to-date renewals are more than $2 million ahead of projections. With these returning policyholders, SFM continues to demonstrate industry-leading customer loyalty – with policyholder retention remaining above 96%.
Premium audits, endorsements and retentions also continue to exceed expectations, resulting in significant additional premium generation throughout the policy year. Combined with the increases in new and renewal premium, this has allowed the company to set a new high-water mark for total written premium.
Coming off an already outstanding first half, SFM saw premium numbers leap upward again. In July, the company set a new record for premium in a single month, topping $40 million for the first time. Totals through the month of July showed written premium at nearly $169 million, which is $10 million above plan.
“As we navigate through the remainder of the year, we know that positive results like these come as a result of the excellent relationships we have with our agency partners,” said SFM Senior Vice President Steve Sandilla. “I’d like to personally thank our valued partners for continuing to renew their clients with SFM and providing us the opportunity to write new business with them.”
While premium is up, pricing is down
Premium growth like this is even more remarkable in light of the fact that overall pricing across the workers’ comp line continues to decline. Rate reductions across the states in which SFM operates continue to drive pricing downward.
“Pricing is down roughly 5% on our book as a whole but might vary depending on what state you are in,” Sandilla said. “Year-to-year we are sitting at a price reduction of 4.9%, and while this is 1.7% better than expected, pricing continues to be a challenge as we write accounts.”
Claim activity, from stormy to calm
With an increase in premium comes an increased exposure base for injuries and claims. With that expanded book of business, one might expect to see claim activity rise at a similar rate. To the contrary, SFM has seen claim frequency and severity well moderated throughout the year. Year-to-date claims have been close to SFM’s overall projections, with both frequency and severity trending strongly downward though the calendar year.
“We started off a little rough with a higher-than-expected number of snow and ice claims during the long and snowy winter,” Sandilla said. “Once the winter weather finally let go, those claim numbers began shaping up pretty quickly.”
Since April, claim frequency has reverted to a more predictable pace, which has helped overall results through the first half of the year. SFM’s combined ratio is tracking around 95%, which is on pace with the projections that were established going into 2023.
Agents play a critical role in preventing injuries
According to Sandilla, SFM relies on agent partners to encourage policyholders to keep their workplaces safe, especially during the winter slip and fall season. By spreading the word about winter workplace safety, agents can help prevent costly and potentially tragic injuries.
“We need our agents to remind their policyholders to take advantage of SFM’s safety resources to keep their employees safe,” Sandilla said. “Make yourself familiar with the valuable materials on our website and you can make a big difference in reducing injuries for your policyholders.”
SFM’s website offers hundreds of educational resources focused on making workplaces safer. These materials are available free of charge for agents and policyholders at sfmic.com. Popular resource topics include safety for new hires, back injury prevention and avoiding outdoor slips and falls. At this time of year, the latter category is particularly important with potentially dangerous winter weather approaching.
“Whether it’s the resources on our website or the conversations our underwriters have with agents every day, we do everything within our grasp to earn our customers’ loyalty,” Sandilla said. “When an agent brings a client to SFM, we understand that they’re trusting us to attend to that customer’s every need, and we’re grateful for every opportunity that gives us to succeed together.”
To enhance security, SFM is introducing multi-factor authentication and longer password requirements for CompOnline users starting January 5, 2024.
Our CompOnline policyholder portal is typically used by larger employers who expect to have workers’ compensation claims.
“We’re pleased to offer our policyholders a higher level of security for their workers’ compensation claim and policy data,” said Senior Vice President and Chief Information Officer Chad Hagedorn. “We’re working hard to offer high security standards while also making the experience user friendly for our customers.”
Setup process available starting November 6
To prepare for multi-factor authentication, CompOnline users will have the opportunity to confirm their email address and mobile number when they log in, beginning November 6.
They’ll also be prompted to reset their password if it’s under 12 characters to meet the new password length requirement.
After setting up multi-factor authentication, CompOnline users will be prompted to enter a 6-digit verification code sent via email or text to log in once every 30 days. They’ll also need to enter the verification code whenever they clear their cookies or switch to a different browser or device.
Separate accounts advised for anyone who needs access
As part of the rollout of multi-factor authentication, we’re also asking customers to set up individual accounts for anyone who needs access to CompOnline, as sharing accounts will become more difficult.
Policyholders who need to add accounts can either contact their CompOnline administrator or contact us.
Other portals moving to multi-factor authentication
We will be rolling out multi-factor authentication for all of our other online portals, including SFM Agency Manager (SAM), in the future, but release dates have not yet been set.
Mark your calendars for November 15 from 10 to 11 a.m. and plan to join us as we discuss best practices for hiring and training new employees. Learn how establishing good fundamentals can increase employee safety and help your business succeed in the long run.
During the webinar, SFM workers’ compensation professionals will share their extensive knowledge on:
Hiring process dos and don’ts
The importance of vetting a potential new hire
Proper onboarding and safety training
How to handle performance issues post-hire
Much more including a question and answer session at the end!
Head to sfmic.com/webinars to register, and to view previous webinars and brief videos on work comp topics including winter slips and falls prevention, best practices for injury reporting and return to work, the lifecycle of a claim, a breakdown of work comp benefits, an explanation of experience modification factors, and more.
