Experience Rating Adjustment (ERA)
The Experience Rating Adjustment, usually called ERA, is the NCCI rule that reduces how much a medical-only claim counts toward your EMR (experience modification rate). Where a state's rating plan has adopted ERA, a medical-only claim, one with treatment but no lost time and no indemnity payments, counts at only 30% of its primary and excess losses, a 70% reduction, instead of full value. Not every state has adopted ERA, so whether it applies to you depends on where your policy is rated. Checking your current worksheet or asking your agent whether your state's plan applies ERA, and whether the reduction was actually applied to every eligible medical-only claim, is worth doing specifically, since this is one of the more commonly missed corrections. A medical-only claim valued as if it were a full lost-time claim, in a state where ERA should have reduced it, can measurably inflate a mod that would otherwise be lower.
Common questions
Does ERA apply automatically to every medical-only claim?
Only in states that have adopted it, and it's still worth confirming the reduction was actually applied to a specific claim rather than assumed.
See also
Source
Is your mod right?
Most contractors have never had the worksheet compared to the loss runs and payroll behind it. See what your mod is costing you, or get on the list for a full verification.