Understanding ICR-59 Violations: Workplace Safety and Loss Prevention Program

Running a business in New York State comes with many responsibilities, including ensuring a safe and compliant workplace. If your company has received an ICR-59 violation notice from the NYS Department of Labor, it’s important to understand what this means and how to address it.

While these notifications can sound intimidating, they often indicate an opportunity to reassess your safety measures and reduce unnecessary costs. This article breaks down what ICR-59 violations are, why they happen, and how to manage them while potentially lowering your Experience Modification Rating (EMR).

What is an ICR-59 Violation?

An ICR-59 violation is a notification issued by the NYS Department of Labor to businesses that meet two specific criteria:

1. An EMR (Experience Modification Rating) above 1.2 – This rating reflects your workers’ compensation claims history compared to other businesses in your industry. A higher EMR indicates more claims or higher costs.
2. Annual payroll exceeding $800,000 – Larger payrolls coupled with a higher EMR signal to the state that there may be potential workplace safety issues.

If your business meets these criteria, you’re required to complete a Mandatory Workplace Safety Audit conducted by a licensed provider, like Navigator Risk Management. This audit aims to identify and address safety risks before they escalate.

How to Respond to an ICR-59 Violation

Receiving an ICR-59 notice doesn’t mean your workplace is unsafe—it simply highlights areas where improvement may be needed. Here’s how to handle the situation effectively:

1.  Understand Your EMR:
2. • Review your current EMR and determine what’s driving it up. Common factors include outdated claims data, errors in payroll classification, or unresolved claims.

1. • If you don’t have your EMR worksheets, you can request them from the state. A simple signed request letter (we can provide one for you) will get you the data you need, typically within the same day.

2. Gather Key Documents:

2. • Your workers’ compensation policy declaration pages (first 5–10 pages)

2. • Workers’ compensation loss runs (a summary of your claims history)

2. • Current EMR worksheets

3. Conduct a Workplace Safety Audit:

3. • Partner with a licensed provider to perform the mandatory ICR-59 audit. These audits are an opportunity to identify risks, implement preventive measures, and improve workplace safety.

4. Act Proactively to Reduce Your EMR:

4. • Address safety concerns identified in the audit.

4. • Implement employee training programs, update safety protocols, and resolve open claims where possible.

4. • Monitor payroll classifications to ensure accuracy.

5. Challenge EMR Errors:

• • • If discrepancies are found in the state’s calculations, act quickly to have them corrected. Fixing even minor errors can have a significant impact on your EMR and reduce your premiums.

How Navigator Risk Can Help

Navigating an ICR-59 violation doesn’t have to be overwhelming. As licensed providers of workplace safety audits, we specialize in helping businesses comply with state requirements, challenge EMR errors, and reduce costs.

If you’re facing an ICR-59 violation or want to take steps to lower your EMR, contact us today. We’ll review your situation at no cost and help you take the necessary steps to safeguard your business and your budget.

An ICR-59 violation is a wake up call to reassess workplace safety and address workers’ compensation costs. By understanding your EMR and proactively addressing issues, you can work to create a safer more cost effective work place while complying with New York State’s requirements. Contact us for more information