How New York Workers’ Compensation Safety Groups Reduce Insurance Costs for Employers

February 12, 2026

New York Workers’ Compensation Safety Groups are one of the most effective tools to lower insurance costs available to employers with strong loss experience and a commitment to workplace safety. By pooling risk among similar businesses and actively managing claims and loss control, Safety Groups can significantly reduce workers’ compensation costs over time. Friedlander Group is the workers’ compensation leader in managing these programs.

As the trusted group manager of ten Safety Groups underwritten by the New York State Insurance Fund, we’ve helped our clients collectively save over $815 million in workers’ compensation costs.

The Safety Group Model: Pooling Annual Premiums

A Safety Group is a collection of safety-conscious businesses within a similar industry that receive low-cost, fully insured workers' compensation insurance. Participating employers are grouped by industry classification and performance profile, allowing risk to be spread across a larger, more predictable pool.

When a Safety Group has low claims, the group’s profits are returned to members in the form of dividends. These dividends are directly tied to:

Claim frequency and severity
Loss development over time
Active safety and loss control participation
Effective claims management and closure

Friedlander Group’s 10 Safety Groups

Friedlander Group Insurance has built and managed 10 Safety Groups across a wide range of industries, delivering a 34-year dividend history and measurable cost savings for participating employers. Our groups are designed to attract stable, safety-focused businesses, which strengthens overall group performance and dividend potential.

Since 1986, Friedlander Group has paid $457,000,000 in dividends to our clients with an average of 30%. After discounts and dividends, members save up to 56.25% on their workers' compensation premiums.

Our 10 Safety Groups are made up of the following industries:

By maintaining disciplined underwriting standards and industry-specific benchmarking, Friedlander ensures each group remains competitively positioned. Qualifying classification codes for each Safety Group can be viewed here.

Benefits of Joining a Safety Group

Safety Groups do not reduce costs on their own. Results come from disciplined underwriting, strong group performance, and consistent claims and safety management. Friedlander Group takes an active role in the full workers’ compensation lifecycle so members can lower premiums, improve Exp Mods, and maximize safety, profits, & productivity.

Upfront discounts and dividend potential

Eligible employers can save up to 56.25% on workers’ compensation through a combination of up to a 35% upfront group discount and annual dividends that have historically averaged 30% over the past 34 years. For many employers, the value compounds over time as loss performance improves and experience ratings stabilize.

Lowest pricing negotiated with NYSIF

Friedlander negotiates competitive pricing with the New York State Insurance Fund on behalf of Safety Group members. Our role as group manager helps ensure the program remains strong, which supports both pricing and long-term dividend performance.

Claims Solution™ Services that reduce claim costs and open reserves

Claims are the primary cost driver in workers’ compensation. Members receive comprehensive claims management led by a dedicated Claims Solutions Consultant, including:

Ongoing coordination with the carrier, employee, employer, and physician
Early return-to-work support to reduce claim duration
Proactive reserve reviews, with a focus on reserve reductions and timely claim closure
Guidance on Workers’ Compensation Board hearing issues and support coordinating with legal resources when needed
“Red flag” identification to surface high-exposure claims early and trigger additional action

EFROI and self-payment techniques that protect Experience Mods

Friedlander helps members use proven reporting and self-payment strategies when appropriate, including EFROI (Electronic First Report of Injury) and the Self-Payment Technique™ for first-aid claims. Keeping minor incidents out of the system when appropriate can reduce claim frequency and protect future experience modification factors, which directly impacts premium.

Fraud Solutions (SWAT Team) to contain suspicious and high-exposure claims

Fraud and abuse can worsen loss history and inflate premiums for years. Friedlander’s SWAT Team is designed to identify suspicious claims early and implement containment tools such as background and social media checks, coordination of surveillance or independent medical exams, and strategy support for litigated files and hearings.

Executive Action Reports that turn claim data into cost-cutting decisions

Members receive Executive Action Reports that isolate claim patterns and trends. These reports help identify root causes, recurring incidents, and operational exposures so employers can correct issues, reduce injuries, and improve long-term premium outcomes.

Audit Services that prevent overcharges and recover premium

Workers’ comp audits can create unexpected cost increases when payroll allocations or classification codes are inaccurate. Friedlander’s audit specialist supports members through:

Pre-audit preparation and document review
Classification evaluation to confirm proper coding
Audit attendance as a client advocate
Post-audit review of worksheets and billing to verify accuracy

Safety Solutions that reduce injuries and strengthen performance

Safety is the foundation of strong Safety Group results. Friedlander provides practical support, including:

Onsite inspections to identify unsafe acts and conditions
Training sessions and guidance for safety programs and committee meetings
Quarterly reporting to track patterns and improvements
Access to safety and training resources, including a video library and educational materials

Experience Mod Review with no cost unless we save you money

Friedlander can review prior experience modification ratings and identify opportunities to reduce costs. You pay nothing unless we generate savings.

The Friedlander Advantage

If you qualify for a New York Workers’ Compensation Safety Group and want to improve productivity, you have a real opportunity to turn workers’ comp into a long-term savings strategy. Friedlander Group brings the structure, oversight, and hands-on services that make Safety Groups work: disciplined group management, claims and reserve reduction support, fraud containment, audit advocacy, and practical safety resources that improve performance over time. The result is simple and measurable: lower total workers’ comp spend, stronger Exp Mods, and the dividend potential that comes from consistently outperforming projections. If you want to see what you qualify for, request a quote and we’ll match your business to the right group and build a plan to maximize your savings.