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Term
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Definition
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ratable losses
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same as subject losses
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rate
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one of the components of a WC premium computation; in the simplest example, rate times remuneration equals premium
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rating bureau
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older term for advisory organization
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raw losses
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loss amounts taken from loss runs that have not been trended or developed
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reasonable accommodation
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under the Americans with Disabilities Act (ADA), employers must make reasonable accommodation for qualified individuals
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reciprocal agreement
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agreement between two parties such as an extraterritorial provision
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recorded statement
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unedited recording, usually on audio tape, of questions to and answers from an injured worker, employer, or witness to an accident or injury
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recovery from others
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generic insurance policy phrase that includes subrogation
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recovery
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see offset
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recreational activities
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injuries to workers during company-connected recreational activities may or may not be covered by WC law
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rehabilitation benefits
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physical or vocational rehabilitation benefits provided to an injured worker, intended to restore the person to a point where paid employment is possible
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reinsurance
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contract where another insurer (or insurers) accepts part of the financial risk of an insurance policy
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reinsurer
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insurer who provides reinsurance; the reinsurer may be part of the voluntary WC market or a residual market plan
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remarriage dowry
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for WC, a lump-sum payment made to a surviving spouse upon remarriage because ongoing death benefits have ended as a result of the remarriage
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remuneration
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basis for calculating WC premium, remuneration is primarily payroll, but may also include other forms of employee compensation (WC premium is computed by applying varying rates per hundred dollars of remuneration)
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reserves
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money set aside, as required by law, to pay the anticipated ultimate cost of claims
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residence employee
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worker (either full-time or part-time) who performs household services
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residual market loading
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additional charge for voluntary market WC policies to help offset losses in the state’s residual market plan
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residual market plan
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WC program for employers that cannot obtain coverage voluntarily from an insurer - state programs differ, insuring these employers through allocation to private insurers, joint underwriting associations, or assignment to a competitive state fund
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Resource-Based Relative Value Scale (RBRVS)
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system of ranking the difficulty and expense of medical procedures against each other -- Medicare's medical reimbursement has been based on an RBRVS system since 1992 and state WC medical fee schedules are increasingly adopting RBRVS approaches
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respondent
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for WC, an older term for the employer or its insurer; more generally, whoever has to respond to a legal action
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retention plan
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WC program that adjusts the premium up or down based on losses and associated costs that occur during the policy period
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retro adjustment
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additional premium or premium refund based on a retrospective WC rating plan that reaches a valuation date
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retro formula
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formula used for a retrospectively rated plan, often expressed as {retro premium = (basic premium + excess loss premium + converted losses) x tax multiplier}
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retroactive period
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the number of days or weeks of lost time required before the claim administrator is required to reimburse the initial waiting period
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retrospective additional premium
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premium owed by the employer as a result of an unfavorable result in a retrospectively rated WC plan
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retrospective development premium
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in retrospectively rated WC plans, premium charges used to smooth out fluctuations that can occur between the first and subsequent retro adjustments
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retrospective return premium
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premium refund to the employer as a result of a favorable result in a retrospectively rated WC plan
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Retrospective Premium Endorsement One Year Plan
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endorsement to the WC policy that explains the one year retrospective rating plan in effect
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Retrospective Premium Endorsement One Year Plan - Multiple Lines
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endorsement to the WC policy that explains the one-year retrospective rating plan in effect for multiple lines of insurance
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Retrospective Premium Endorsement Three Year Plan
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endorsement to the WC policy that explains the three-year retrospective rating plan in effect for multiple lines of insurance
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Retrospective Premium Endorsement Three Year Plan - Multiple Lines
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endorsement to the WC policy that explains the three-year retrospective rating plan in effect for multiple lines of insurance
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retrospective rating plan (retro)
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WC program that makes subsequent adjustments to premium, after policy expiration, based on losses – the adjustment can go up or down within set parameters
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return to work (RTW) program
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employer offers of light-duty work or modified work to reduce lost-time days and improve injured worker outcomes
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reverse offset
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in some cases, WC wage benefits are offset (reduced) by SSDI benefits; in other situations, SSDI wage benefits are offset by WC benefits (a reverse offset)
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right and duty to defend
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the insurer has the right and duty to defend lawsuits covered by Part Two employers liability coverage
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right to settle
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the insurer has the right to settle claims, without the employer’s consent, that are covered by Part Two employers liability coverage
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round-table reserving
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process where a group of claim professionals discusses a case and establishes reserves by consensus or averaging
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