Denver, CO – For the sixth consecutive year, Pinnacol Assurance, Colorado’s leading workers’ compensation insurer, is distributing general dividend checks to its customers. This year’s dividend totals $50 million.
Ninety-five percent of Pinnacol’s policyholders are eligible to receive a dividend — that’s almost 53,000 employers in all counties throughout the state. The average 2021 dividend check will be $949. Checks will be mailed to employers beginning March 23.
“During this year when Colorado businesses and their employees are facing significant financial hardships, we’re glad to be in a position to return some money to our policyholders,” said Pinnacol’s president and CEO, Phil Kalin. “We’re also pleased that we have been able to reduce our customers’ rates by more than 32% since 2016.”
Pinnacol Assurance’s general dividend is possible because they treat their customers as our owners, making them eligible for an annual dividend based on Pinnacol’s financial performance. Eligibility is based on customers’ commitment to safety with timely claims reporting (within 48 hours) and investments in safety education, technology and equipment.
With this year’s declaration, Pinnacol has returned $320 million in total dividends to Colorado’s business community since 2016, which equals approximately ten percent of premium. In 2020, Pinnacol distributed $70 million in dividends to its customers during the coronavirus lockdown.
“A strong safety culture and proactive management of employees’ safety and well-being can literally put money back in a business’s pocket, continued Kalin. “This is not a ‘nice to have’ or something to be focused on during boom times exclusively.” Kalin also highlighted perhaps the less obvious benefits of a strong safety culture, including increased employee productivity, retention and workplace satisfaction.
Over the past year, Pinnacol helped businesses adapt to coronavirus-related hazards while helping employers keep focused on the workplace hazards that tend to drive the most injuries, like slips and falls and unsafe lifting and ergonomics.