Bill Would Prohibit Loss-Safety Experience in Construction Contracts

Lawmakers in Texas are considering a bill that would prohibit the use of experience modifiers in awarding contracts for public and private construction projects. HB 679, introduced Tuesday by state Rep. Keith Bell, R-Forney, addresses such ratings, known as “experience mods” or “e-mods,” which are calculated based on a company’s workplace safety and loss prevention history. If a policyholder’s mod is greater than 1, it indicates that the business had a worse loss experience than comparable employers in its industry. A mod lower than 1 indicates a better lo...