The Michigan Restaurant & Lodging Fund (MRL Fund) recently announced the results of another outstanding year of keeping down workers’ compensation costs for its members. The MRL Fund is a member-owned program created by the Michigan Restaurant Association to help its members lower the cost of workers’ compensation coverage.
This year alone, more than $1.5 million of profit, which includes accumulated assets and interest income from multiple fund years, will be returned to MRL fund members, bringing the total amount of profit returned to members to over $10.7 million since 1992. MRL fund members average returns of 43 percent of their annual paid premium. Profit returns are based on the group’s loss performance, as well as each member’s individual loss performance. The lower a member’s losses, the higher profit return received.
Why does the Michigan Restaurant & Lodging Fund work so well? It’s the only such fund that focuses on the hospitality industry exclusively. Establishments such as fine dining, family sit down, casual dining, and quick service restaurants are eligible. Only restaurant employers with a proven track record are accepted into the program, and each applicant must meet strict eligibility requirements and have favorable loss history. Administered by Regency Group, the MRL Fund’s selective approach to new members and pricing is designed to save money on the total cost of workers’ compensation over the long term.
MRL Fund members agree the cost savings from the program’s competitive rates and substantial profit returns are the main reasons they participate. Jim Juilleret from Juilleret’s Family Restaurant in Harbor Springs said, "I can’t even imagine how much money this program has saved our business. This is actually a cost I don’t mind paying, because I know what the returns will be at the end of the year."
Once a member joins the MRL fund, they receive a variety of support services geared specifically to restaurants, such as safety and loss prevention services to further control their workers’ compensation costs. In addition, members receive report cards twice a year, which give them an actual letter grade based on their own loss performance. This report card summarizes the member’s claim activity by fund year, details the amount of profit returned to date, and compares the member’s loss performance to the overall performance of the fund. In any given year, over 50 percent of MRL Fund members receive an A+ grade on their report card, which means they receive a higher percentage of the profit back to further reduce their premium, because they don’t have any claims on their record.
Today, the MRL Fund is more competitive than ever. Unlike many other workers’ compensation programs, the fund has avoided significant rate increases for the upcoming year. With more than 11 years of experience, nobody understands more about workers’ compensation issues for the restaurant industry than the Michigan Restaurant & Lodging Fund. The MRL Fund is proven to be secure, stable, and cost-effective for its nearly 1,000 members. It could be the place for you and your business.
For more information about workers’ compensation coverage through the MRL Fund, please contact the Michigan Restaurant Association at (800) 968-9668, or visit our website at www.michiganrestaurant.org.
