Experience Modification Rate
EMR evaluates the experience and safety record of a contractor. It is a number used by insurance companies to gauge both past cost of injuries and future chances of risk. An EMR of 1.0 is considered the industry average. It effects a company’s ability to obtain credit and result in higher insurance premiums, which a company may pass on to their clients. Insurance companies look at a number of different factors to arrive at the number but the main component is safety.
Safety refers to the company’s ability to reduce or eliminate work place injuries. Ongoing safety training and continually assessing work methods is the best way to reduce risk to the company and client. RAMCON maintains an industry leading Risk Management program and a .69 EMR.
Experience of the company refers to both the roof technicians and the company. The time the company has been in the industry contributes to the companies EMR. According to the U.S. Census Bureau, in just a three-year period, 45% of all roofing contractors were newly formed while 41% of existing contractors had gone out of business.