Department of Labor Seal photos representing the workforce - digital imagery© copyright 2001 photodisc, inc.
Department of Labor Seal www.osha.gov  [skip navigational links] Search    Advanced Search | A-Z Index
<<< Back to OSHA "$afety Pays" Program Link to Printing InstructionsPrinting Instructions
OSHA's $afety Pays Program
 
  Estimated Costs of Occupational Injuries and Illnesses
and Estimated Impact on a Company's Profitability


[Text Version]
"$afety Pays" helps estimate cost gains realized through the prevention of occupational injuries and illness claims. Businesses can use this information to predict the direct and indirect costs of injuries and the sales needed to compensate for these losses. Your local OSHA On-site Consultation Office can provide information and assistance on developing and implementing an effective safety and health management system that can help prevent injuries and/or illnesses to provide a safe working environment for your employees.  

Direct Costs

  1. Select an injury type from the drop-down menu OR enter the total workers' compensation costs.
  2. Enter the profit margin (leave blank to use default of 3%).
  3. Enter the number of injuries (leave blank to use default of one).
  4. Select "Add/Calculate" to compute the total direct and indirect costs.
  5. Repeat the step to add additional injuries to the list.
Injury Type   or
Workers' Compensation Costs
(annual sum of costs)
OR

Enter Profit Margin (%)
(leave blank to use default of 3%)
Enter Number of Injuries
(leave blank to use default of one)
 
 
Estimated Total Cost

The extent to which the employer pays the direct costs depends on the nature of the employer's workers' compensation insurance policy. The employer always pays the indirect costs.
 
Injury Type Instances Direct Cost Indirect Cost Total Cost Additional Sale (Indirect) Additional Sale
(Total)


Totals

Estimated Direct Costs:  
Estimated Indirect Costs:  
Combined Total (Direct and Indirect Costs):
 
Sales To Cover Indirect Costs:  
Sales To Cover Total Costs:  

Disclaimer: National Council on Compensation Insurance, Inc (NCCI) has supplied their current copyrighted data about average cost per workers' compensation insurance claim by nature of injury in NCCI states to OSHA for their use in conjunction with their website tool, "Safety Pays." NCCI makes no guarantees nor assumes any responsibility for the accuracy of any resulting data or information from the use of our numbers by OSHA or any people who use this tool. NCCI's information and data may not be otherwise used or copied in any manner.

For additional information on how "$afety Pays", see Background of the Cost Estimates.
 

Accessibility Assistance: Contact the OSHA Directorate of Cooperative and State Programs Office at 202-693-2220 for assistance accessing this application. An alternate text version is also available.
 
Return to Small Business | Home | Estimator | Background | Credits
 
 
Back to TopBack to Top www.osha.gov www.dol.gov

Contact Us | Freedom of Information Act | Customer Survey
Privacy and Security Statement | Disclaimers
Occupational Safety & Health Administration
200 Constitution Avenue, NW
Washington, DC 20210
Page last updated: 06/05/2008