AmTrust Financial Services, Inc., a prominent U.S. small business insurer, has released its 2023 AmTrust Retail Risk Report, highlighting that January, not the hectic holiday season, is the riskiest month for workers in the retail sector.
Contrary to expectations, the report indicates that more workers’ compensation claims are filed in January compared to the traditionally busy months of November and December.
The study, based on the analysis of over 42,000 claims filed with the company by retailers from 2017 to 2022, reveals that the number of injuries claimed per $100,000 of a retailer’s payroll in the United States is 25% higher in January than during the holiday season.
The findings also underscore that January has the highest annual number of retail claims, with strains and falls being the most common types of injuries during this month.
Matt Zender, Senior Vice President and Workers’ Compensation Product Manager at AmTrust, explains the unexpected trend, stating, “In the bustling holiday season of November and December, the paradox of lower retail injuries emerges.”
Zender suggests that the influx of seasonal workers may not contribute significantly to reported injuries during the holidays, as younger workers, who form a substantial part of the seasonal workforce, might choose not to report minor injuries, dealing with them through health insurance or at home.
The report identifies strains as the leading cause of claims, accounting for 26% of reported claims and 29% of claims payouts in the retail sector.
Falls closely follow, constituting 19% of reported claims and 27% of claims payouts. Surprisingly, motor vehicle accidents, though comprising only 2.5% of work-related claims in retail, carry the highest workers’ compensation claims payout at $20,451.
“Relatively few employees drive regularly as part of their job responsibilities in retail,” said Zender.
“Nevertheless, businesses are wise to take all the necessary precautions when it comes to deliveries and other driving by retail workers since the pay-out for a strain or fall is between $12,000 and $15,000 – while the average claim payout for motor vehicle accidents is much higher at over $20,000.”
