SFM’s Miner named to Kansas Workers’ Compensation Insurance Plan Governing Board

Shawn Miner
Shawn Miner, SFM’s VP of Regional Business, Iowa/Nebraska/Kansas Accounts

Shawn Miner, SFM’s VP of Regional Business, Iowa/Nebraska/Kansas Accounts, was appointed to the governing board of the Kansas Workers’ Compensation Insurance Plan (KWCIP) earlier this year.

The organization, facilitated by the Kansas Department of Insurance, primarily focuses on the residual workers’ compensation market and the administration of the state’s assigned risk plan. Miner’s three-year term began at the start of 2025.

“SFM started writing business in Kansas in the fall of 2020 and we have steadily been increasing our presence in the state,” Miner said. “Being on the KWCIP is a great opportunity to get involved on the industry side, as well as continuing to build relationships with our agent partners and policyholders.”

The group’s board members include insurance carriers, agents, business leaders and others. It consults and collaborates with the Kansas Insurance Department and the National Council on Compensation Insurance.

“I’m excited to get involved with KWCIP and learn more about the organization and its role in work comp in Kansas,” Miner said.

At SFM, Miner oversees business in Kansas, Iowa, Nebraska, Indiana and Tennessee. He lives in Iowa with his wife and three children.

 

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SFM hires Chief Medical Director, Dr. Andrew Wilkins

Dr. Andrew Wilkins
Dr. Andrew Wilkins, SFM’s Chief Medical Director

SFM recently hired Dr. Andrew Wilkins as Chief Medical Director.

In his role, he will assist in the management of complex claims, serve as an educational resource, and lead strategic initiatives to better understand what is driving a rise in medical severity and how we can best address it.

“I’m looking forward to taking a holistic approach to complex claims and trying to find solutions that best benefit the patient, the policyholder and SFM as a whole, backed by good medical practices and literature,” he said.

By way of background, Wilkins attended medical school in Arizona, followed by a residency in Emergency Medicine at the Medical College of Georgia while on active-duty service. Wilkins then joined the Army’s 101st Airborne Division, providing medical care as a Battalion Surgeon in the Middle East, Europe, and at Fort Campbell, Ky.

After transitioning to civilian practice, Wilkins most recently was a staff physician at the Minneapolis VA Medical Center. He serves on the state Medical Services Review Board, is board certified in emergency medicine, and has special interests in medical education and health care leadership.

Wilkins joined SFM in November 2024.

 

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HOM Furniture honors SFM’s Director of Loss Prevention

Dan Lentz (left), Safety Manager/HR Representative at HOM Furniture, presents Lee Wendel, Director of Loss Prevention at SFM, with the retailer’s Service Representative of the Year award.
Dan Lentz (right), Safety Manager/HR Representative at HOM Furniture, presents Lee Wendel, Director of Loss Prevention at SFM, with the retailer’s Service Representative of the Year award

Lee Wendel, Director of Loss Prevention at SFM, was recently recognized by HOM Furniture, a regional retailer with locations in Minnesota, South Dakota, North Dakota, Iowa and Wisconsin.

The company presented Wendel with its Service Representative of the Year award.

Wendel said he was surprised with the honor. But company officials outlined the efforts that led to the award, including:

  • Completing site visits for about half of HOM Furniture locations
  • Discussing common issues and solutions with district managers and facilities personnel
  • Working with the HOM warehouse team to file and receive a Minnesota Occupational Safety and Health Administration safety grant for ergonomics improvements by leveraging video artificial intelligence (AI) analysis
  • Demonstrating and educating HOM leadership about technology in safety, such as virtual reality training, ergonomic position trackers and other AI solutions

“The leadership at HOM Furniture is truly committed to safety,” Wendel said. “They set goals and strive to make improvements. It’s a partnership between SFM, HOM safety officials and their agency partner.”

With a mixture of retail, warehouse and delivery services, HOM has several areas to monitor regarding safety. Company leaders take extra steps to ensure the safety of their employees, Wendel said, including having leaders talk with injured workers about what happened, helping them identify root causes and develop solutions.

“That’s one of the most effective things that they do,” Wendel said.

Notably, HOM Furniture’s safety efforts have halved both claims costs and workplace injuries over the past couple of years. The company has taken advantage of SFM’s safety resources and been proactive in developing safe workplaces and behaviors, Wendel said.

“I appreciated most that they said they feel as though I’m part of their team,” he said. “And that’s really my goal — to be someone they can rely on and to bring an outside perspective.”

Wendel leads SFM’s loss prevention team in developing best practices, resources and strategies. He has more than 30 years of experience in the field and has worked with hundreds of individuals to help support a safe work environment, including promoting safety culture in a wide range of businesses, schools and medical facilities. Additionally, he maintains relationships with vendors that support activities to help keep workers safe.

 

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Bob Lund Scholarship reaches new milestone

Starting in 2025, SFM’s Bob Lund Scholarship will go from freshman to senior. Literally.

In 2022, SFM established the scholarship and partnered with Wallin Education Partners , a Minnesota-based nonprofit that serves high-potential students with financial need.

This spring, a fourth student will be selected for the Bob Lund Scholarship. Once the next school year begins this fall, four students — freshman, sophomore, junior and senior — will see their college careers helped along by SFM. The plan has been to support four students at a time.

“It’s amazing to see how committed SFM is to supporting the community,” said Kim Burandt, SFM Senior Project Manager, who helps coordinate the scholarship program. “We take pride in being a good corporate citizen and supporting underserved populations.”

The Bob Lund Scholarship provides college scholarships through the Wallin Scholars program — which has a mission to support college and career success for high-potential students from low-income backgrounds — as part of SFM’s effort to invest in future leaders and introduce them to careers in the insurance industry.

In addition to the scholarship funds, Wallin provides students with 1:1 advisement and career support. The organization also assists students in applying for other scholarships and state funding opportunities.

At the same time, SFM provides the students with gift baskets to help them get through the final weeks of their schooling and distributes information about internship opportunities at SFM. Members of SFM’s HR team also attend Wallin job fairs.

Initially, the scholarship was aimed at students looking to go into the insurance industry — “Insuring the future was our tagline at first,” Burandt said — but it has expanded to business, finance or actuarial fields.

SFM tracks the students’ progress and Burandt meets with Wallin once a year to get updates. So far, all three students are doing well.

Spread out over the four years of schooling, Wallin is a “last-dollar scholarship,” which means the group can help cover remaining costs after other scholarships or state funding are applied, e.g., books, class materials and living expenses.

“It’s exciting to add another student to the Bob Lund Scholarship roster,” Burandt said. “SFM continues to demonstrate its commitment to helping students overcome barriers to higher education.”

The current scholarship students are:

  • Hideaki Lee (University of Minnesota)
  • Natali Iguanero Espinoza (University of Wisconsin)
  • Van Nguyen (University of Minnesota)

 

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The use of AI in workplace safety

It might surprise employers to learn that the recent advancements in artificial intelligence (AI) have applications in workplace safety.

But this technology has been harnessed of late to expand the ability of safety leaders to train employees, test methods, develop best practices and more.

Imagine a piece of equipment a new employee will be using. Instead of training with the machine itself, employers can give workers the ability to “use” the device without the potential for injury. In this way, employees can get a degree of “on-the-job training” without risk.

“It’s exciting to envision the future applications for AI when it comes to workplace safety,” said Lee Wendel, SFM’s Director of Loss Prevention. “Already, some employers are utilizing the technology. Others are researching how it could be used. It’s fascinating to see and project how much it will develop moving forward.”

Wendel has embraced this evolution. He was recently honored by a regional furniture retailer for his safety efforts. Company officials noted his dedication to demonstrating and educating leadership about virtual training, ergonomic position trackers and other AI solutions.

At the same time, similar practices are being implemented elsewhere.

The National Safety Council has several real-world case studies related to virtual reality and augmented reality (AR). In one instance, a technology-focused defense, intelligence, security and infrastructure engineering firm used a VR program during employee orientation. The simulation involved identifying workplace hazards. The results included increased employee engagement, efficiencies by reducing the need for in-person trainers and, of course, a greatly reduced chance of injury during training.

Wendel said the speed, accuracy and breadth of the information some of these programs provide is impressive. Examples include:

  • Giving the software a photo of a workspace and having the program outline safety issues, whether those would result in an Occupational Safety and Health Administration fine, the frequency and costs of those fines, and how to address any hazards.
  • Uploading a picture of scaffolding where wood was used to frame up handrails. The tool will outline the risks and suggest ways to fix the problem.
  • Giving the software a jurisdiction-specific prompt, such as patient handling in a parking lot in Minnesota. The system provided state-specific laws to note, weather considerations and other information.

“Employers can even provide their company policies — maybe an area on a warehouse floor cannot be used to store items — and the tool will take that into account, along with any safety issues, when it comes back with the information,” Wendel said.

In November 2024, SFM Loss Prevention Specialists Jason Clausen and Toby Tortorilla discussed safety technology they are exploring at the Midwest Women in Safety Conference.

Tortorilla participated in a panel discussion relating to the future of AI in relation to the safety field. He was able to provide findings from the research that he, and a team of SFM Loss Prevention personnel, were involved in recently.

“AI can be used in many ways to assist us as safety leaders,” Tortorilla said. “It can help create safety programs and policies, assist with ergonomic assessments, perform compliance and behavioral based assessments and bring attention to real-time hazards through wearables, telematics and other electronic devices. The capabilities are truly limitless.”

Join us for the SFM Foundation’s 2025 golf events

Registration is now open for the SFM Foundation’s upcoming golf events in Minnesota and Iowa.

The foundation makes college more affordable for families affected by workplace injuries by offering post-secondary education scholarships to children of parents fatally or seriously injured on the job while working for a Minnesota or Iowa employer.

Iowa’s event will be held Monday, May 19, at Hyperion Field Club in Johnston. The day includes lunch and golf, followed by a reception, program and dinner. People can also sponsor the event. Find details on the registration page .

The Minnesota golf event is set for Monday, June 9, at Prestwick Golf Club in Woodbury and follows a similar schedule to the one in Iowa. Find more information on the registration page .

In 2024, the two events raised more than $160,000 in total, with over 260 golfers hitting the links for the fundraisers.

“We’re always so thankful of the support of our agent partners, clients and others who contribute to our mission,” said Linda Williams, President of the SFM Foundation. “These golf events are not only a way to raise scholarship funds, but they also allow those involved to connect and build a community.”

About the SFM Foundation

The SFM Foundation was created in 2008 by SFM Companies, a regional workers’ compensation insurance group headquartered in Bloomington, Minn. The nonprofit is dedicated to easing the burdens on families affected by workplace accidents. Since its inception, the foundation has awarded 247 scholarships totaling $4.1 million. For more information, visit sfmfoundation.com .

The SFM Foundation is an affiliate of Kids’ Chance of America in Iowa and Minnesota.

 

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SFM expands charitable giving, reaches new milestone

SFM has long had a goal to increase the percentage of its charitable giving to 2% of pre-tax profit.

And the company reached that threshold in 2024.

“SFM is proud of our commitment to giving back to the communities we serve,” said Terry Miller, President and CEO. “Reaching this milestone is a major accomplishment and further cements SFM as a leader in the communities we live and work — as evidenced by our corporate philanthropy.”

With the additional charitable funds issued in 2024, SFM has become a member of the Minnesota Keystone Program, which promotes corporate philanthropy by recognizing and honoring companies that donate at least 2% of their pre-tax earnings to charitable organizations. Some of the state’s largest and most well-known employers are part of the program.

“I like that a lot of it goes through the employees,” said Sarah Hunter, SFM’s VP of Operations. “Then they’re deciding how to give back to the community that’s close to them. It makes people feel more of a part of what we’re doing.”

She also noted that SFM recommitted to the Keystone program in 2025.

In addition to direct donations, SFM gives back in a number of other ways, including:

  • The SFM Foundation
  • Its internal Connecting to Communities (C2C) committee
  • External applications for donations
  • The Bob Lund Scholarship
  • Volunteer efforts

About the Minnesota Keystone Program

The Minnesota Keystone Program, administered by the Minneapolis Regional Chamber, promotes corporate philanthropy by recognizing and honoring companies that donate at least 2 percent of their pre-tax earnings to charitable organizations. In 1976, 23 Minnesota companies created this program (originally known as The 5% Club) to recognize and encourage charitable giving in the state. The commitment of Minnesota Keystone participants continues to serve as an example to other businesses, both here and around the globe, and to sustain Minnesota’s spirit of generosity and sense of community. Qualifying companies have an operating presence in Minnesota and donate cash or in-kind donations, including pro-bono services, and/or employee paid volunteer time. For more information, visit www.minnesotakeystone.org .

 

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Are undocumented workers eligible for workers’ compensation benefits?

Are undocumented workers eligible for workers’ compensation benefits? It varies from state to state.

Undocumented worker rules in Minnesota

In Minnesota, undocumented workers are covered by workers’ compensation policies. According to Minnesota Statute, “aliens” are considered employees and are therefore eligible to receive benefits for work-related injuries.

This was first declared by a Minnesota Workers’ Compensation Court of Appeals case in 1999, the Gonzalez v. Midwest Staffing Case , which decided that undocumented workers are entitled to wage-loss benefits, even if they used false paperwork to get hired.

The specifics of undocumented workers’ eligibility for benefits have since then been more clearly defined. In the case of Rivas v. Car Wash Partners , an undocumented worker was injured and lost time from work. The employer offered a post-injury job, but only if the worker could provide proof that he was authorized to work in the U.S. Since the worker couldn’t offer legal documentation, he wasn’t able to return to work at the company, so the employer was able to stop paying wage-loss benefits.

Significant impact on your premium

Cases like this can have a significant impact on your workers’ compensation premium. Injured employees are entitled to receive benefits until maximum medical improvement or 130 weeks of benefits have been reached. Hiring smart can help prevent this from happening to you.

Rules in other states

Undocumented workers’ eligibility for workers’ compensation coverage can vary from state to state. If you’re not sure of your state’s laws, check with your insurance carrier.

 

This is not intended to serve as legal advice for individual fact-specific legal cases or as a legal basis for your employment practices.

How does a workers’ compensation claim affect my premium?

One factor that determines your workers’ compensation premium is your loss history. This means that having a workers’ compensation claim can cause future premiums to increase.

Impact for larger organizations

At a larger organization, past claim costs are used to determine your experience modification factor (e-mod), a multiplier used to calculate your premium. If your claim costs are lower than average when compared with other organizations of similar type and size, then your e-mod will be lower than 1. That means it will reduce your workers’ compensation premium. On the other hand, if your claim costs are higher than average, your e-mod will be over 1. That will increase your premium.

The e-mod takes into account three years of loss history not including the most recent policy year, so that’s how long any given claim may affect your premium.

Impact for smaller organizations

If your premium is low enough (generally below $3,000 to $7,000 depending on the state), you may not be assigned an experience modification factor (e-mod). If you don’t have an e-mod, the workers’ comp underwriter will look at your loss history and use that information to decide whether your business is a risk he or she is comfortable writing. In some cases, an underwriter might be able to increase or decrease your premium based on loss history. This depends on state law and the insurance company’s underwriting standards.

Minimize the impact of claims by bringing employees back to work

One key thing you can do to minimize the impact of claims on your premium is bring employees back to work as soon as they are medically able. You could modify the employee’s job, offer reduced hours or offer a light-duty job until the employee is fully healed. For example, if you have a painter with an arm injury, he or she could answer phones or prepare estimates.

To save the most on future premiums, bring injured employees back to work before your state’s waiting period has kicked in if possible. (This is three to seven days depending on your state.) If you do this, the claim will be considered medical-only, so only 30 percent of the claim costs will be included in the e-mod calculation.

In addition to the cost savings, bringing employees back to work as soon as possible helps employees maintain their mental and emotional well-being, and improve their financial stability. It’s not only the smart thing to do, but also the right thing to do.

 

This is not intended to serve as legal advice for individual fact-specific legal cases or as a legal basis for your employment practices.

Letter from the President: Another strong year for SFM

Terry Miller
SFM CEO Terry Miller

Even under growing pressure from package carriers, SFM had another successful year in 2024.

The achievements at SFM are a direct result of our relationships with our agent partners — through both policyholder retention and generating new business.

We continue to strive to be the leader in workers’ compensation coverage, providing unmatched service and working to keep employees safe while ensuring clients see reductions in their experience modification factor.

Our commitment to service excellence is the foundation for the success we share, and I believe the results will bear that out every time.

Highlights from 2024 include:

  • SFM’s policyholder retention level of 96% further demonstrates our industry-leading customer loyalty
  • Growth in our newer markets continues, particularly Indiana and Tennessee
  • Policyholder surplus growth larger than premium growth
  • We continue to make enhancements to our online portals, the SFM Agency Manager (SAM) and MyPayroll, making our processes smoother and more user friendly
  • We upgraded the SFM Resource Catalog, released new promotional videos and again provided our policyholders with valuable safety webinars

As we move forward in the new year, we want to build on the strength of our partnerships, write more business with our agent partners and keep the momentum we have built over the years. When you choose to keep your accounts with SFM, we recognize that you are resisting the pressure from the multi-line carriers demanding the consolidation of the work comp with their collateral lines.

SFM realizes that strong financial results are important, but we know our unwavering commitment to customer service and doing right by all our stakeholders is paramount.

Thank you for your continued support and partnership! We look forward to sharing success with you and your clients for many years to come.

 

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