Auto Dealers Compensation of Calif. Returns $9.6 Million in Equity

The Trustee Board of the Auto Dealers Compensation of California Inc. (AD-COMP(R)), has announced an equity distribution of approximately $9.6 million to its auto dealership members. AD-COMP(R), formed in 2002, is a private workers’ compensation group self-insured program. The group covers 239 auto dealer members with more than $1 billion in payroll and close to $30 million in annual contributions, according to AD-COMP(R).

“This great success can be attributed to all of our members taking advantage of the superb safety and loss programs to eliminate claims and to the tremendous impact of diligent claims management,” said Chairperson Mike Johnson.

The AD-COMP(R) program, an alternative to the traditional commercial workers’ compensation insurance market, was developed with the goals of:
1. Streamlining administrative costs;
2. Helping to reduce losses before they occur implementing “World Class” risk control programs;
3. Funding conservatively in accordance with state regulatory guidelines to cover losses that do arise;
4. Purchasing excess insurance for extremely large claims;
5. Administering claims effectively and efficiently once they occur;
6. Providing oversight of the claims process to help control the cost of claims;
7. Marketing the program to prospective members who are committed to reducing their workers’ compensation exposures; and
8. Adhering to the strict guidelines mandated and regulated by the State of California, Office of Self-Insurance Plans.

AD-COMP is administered by Sacramento-based Bickmore Risk Services, which handles operations and oversight for the group. Claims are managed by Intercare Insurance Services, and brokerage and marketing services are provided by Dealer Cover Insurance Services. Auto dealerships throughout California are members of AD-COMP.

Topics California Auto Claims Workers' Compensation Talent