Using Technology to Reduce Risk in the Landscape Industry with Bryan Mours

Rancho Mesa's Vice President of the Landscape and Tree Care Group, Drew Garcia, interviews Bryan Mours, founder of Mours Enterprises, where they explore the technology being used to reduce risk within the landscape industry.

Show Notes: ⁠⁠https: ⁠Subscribe to Rancho Mesa's Newsletter⁠, Mours Enterprises LLC

Host: ⁠⁠⁠Drew Garcia⁠⁠⁠

Guest: ⁠⁠⁠Bryan Mours

Producer/Editor: ⁠Megan Lockhart

Music: "Home" by JHS Pedals, “Breaking News Intro” by nem0production

© Copyright 2026. Rancho Mesa Insurance Services, Inc. All rights reserved.

Transcript

Drew Garcia: Welcome back, everybody. I'm Drew Garcia, Vice President and Landscape Group Leader here at Rancho Mesa, and today we're super excited. We've got an industry veteran in the office today. Someone that, you know, this great industry attracts you to great people. And I got a chance to meet Brian Mours nine years ago now. I've had dinner with him in Costa Rica. We've had laughs in Arizona and Maui. I mean, all the destination spots where the conferences will take us. And each time I'm with Brian, I learn more. And today we brought him in. He's going to talk to us about either emerging technology or capabilities that are available in the industry today, where landscape companies can tap into them and improve their overall risk and safety profile.

So, Brian, could you give a, you know, first of all, welcome, but can you give us a little overview of where you've been in the industry so our audience has an idea of where we're starting?

Brian Mours: Yeah, absolutely. Thanks, Drew. I appreciate you inviting me in. I mean, yeah, we have known each other for a while now. It's hard to believe it's been probably eight, nine, ten, almost ten years that we've known each other, which is fantastic. Again, that's why I love the industry. I get to meet fresh, exciting people, even in the insurance side of things. And so always a lot of fun.

But anyway, I'm from Wisconsin, as you know, and I know that you have a little bit of history in the state of Wisconsin. So maybe that's how we kind of tie together to. But I've been in the landscape industry almost all my life. I broke off, did some restaurant stuff for a while, but I was 16 years old, I was working at a country club. I was down on the grounds working, plus working in the restaurant at night. One of the bar managers there, he was doing some lawn care and maintenance work on the side during the day and bartending at night. He says, “do you want to join me?” I said, “Yeah, Let's do it. I'll come join you. Let's start a business together.”  And here I am 16, 17 years old, starting a business in the lawn care industry. And it was really, that was my introduction to the industry. And I've been here all my life. I've done everything from owning at that time. We sold that business. I used to sell landscape products when I worked for Lesco, when it was Lesco, before they sold to John Deere Landscapes, and I worked with a lot of landscapers in the area at that time, and helping them kind of grow their business. I learned that what I really enjoyed was helping people in understanding how to run their businesses better and how to make money at their business. And I learned that at Lesco.

And so I work for another landscape company in in Wisconsin, helped them grow their business to over $10 million. I left there and decided I was going to get into the technology side of the industry. And so I've worked for a couple of different technologies over the past 20 years now, believe it or not. And so that's kind of what brought us together, right? The technology. And I saw the importance because we implemented the technology at one of the companies I was GM at, and I saw the importance of technology and how it could help a business grow, succeed, and also kind of, you know, what we're talking about, how it can help in kind of this risk management and really making the workplace a lot safer at these landscape companies, which, let's face it, right? They have a lot of moving parts going on with equipment and such. And so how can we improve upon or at least recognize when we need to improve to make our workplaces safer?

DG: Yeah, absolutely. You know, you flew through the intro. What's really cool about your experience there is your perspective that you bring, you know, so you actually did get to have the, you know, I've done the work and then I've sold the work and I've sold the equipment and the materials that, you know, they've been used to do the work. And then, like you said, you know, work for somebody, help sell a business. And then ultimately, you were on the technology side. So perspective's huge and you're able to glean from all of that. And that's why I think every time I talk to you, always, you know, I'm picking something up or I'm learning something new. And technology has really made a big impact on the landscape industry. In my short time, you know, I've been doing it 10 years now. I've watched as businesses have been able to scale and build sounder processes, better documentation programs, which all roll down to help a business succeed, but also really manage and minimize overall risk and safety.

And to me, you know, there's a couple key areas. We're talking about how do you keep your people safe, number one, right? Protecting your assets. So trucks, trailers, equipment, how are you managing that, and how can technology maybe help you in those areas? And then the one that I think is most emerging is, and it's been around for a while with snow, but just contract management and documentation, those are key pieces to, you know, maximizing your ability to prove what work was done, when it was done, you know, per some scope of a contract, what does the Endemic Hold Harmless language look like within that contract? And I know technology can help you manage that.

So I guess in your experience, what are some areas that you've seen landscape businesses either start to now grow more into technology to help in those areas? And, you know, do you have any examples of, you know, where someone could take that today or, you know, if I don't know where to start, you know, what would be a good spot?

BM: Yeah. There's all kinds of technology out there, but again, it's really in how you use the technology. You mentioned the documentation, right? I mean, we were all doing it on Word docs and et cetera, but we never really filed those in a good place. They were all over the map in different files on our computer. And so having a centralized location for these documents, and again, let's face it, we should have some legal help with those in order to make sure our documentation is accurate, right? To make sure it covers us in the case of snow, let's say, for example, slip and falls, or even breakage of something, you know, our liability is pretty high out there, right, in this industry. Coming from a snow market, I know that firsthand, I've been out there, been there, done that in the industry. And again, where I saw a lot of technology coming into play, as we were adapting it at the company I was at in Wisconsin, was in looking at different areas of the company in ways to improve how we could make it a more safe, free zone, I guess. Not only at our shop and our office, but also on our job sites.

Surprisingly, and maybe that's, again, why there's a good relationship between us. I was in charge of, when I was at that landscape company, I was in charge of the insurance. I had deal with the setting up the insurance. I would go to insurance classes about safety and safety training and so it's very kind of top of mind to me and it I always took that back to our office one of the things that--obviously time documentation is huge right? But what I’ve found as I train and work with companies that are trying to adopt softwares, they have a hard time understanding the importance of things like logging or tracking safety training. Something as simple as that, right? Insurance agents love it when you're tracking and showing that you're actually doing something to train your people in the area of safety. And So we made a point to have a special task that we would log into, and every week we did our safety trainings, and everyone logged into it, and we knew exactly how much time people were spending in safety training, right? And so that's kind of one area, just a simple area, that we were tracking kind of time that helped us, again, in our risk management.

DG: Yep, and you're so right with that, and we can kind of equate it to the underwriting process when we're working with our carriers is everyone can, you know, if you look at a supplemental application where everybody fills out their operations and this is what I'm doing, you know, you can say, do you do safety meetings, you know, check, yes, we do those. And then, you know, what the underwriter is going to do is they're going to look at that and they're going to ask us the question, you know, based on loss history because they're going to look back at the claims to see if there's any issues. And it might say that they're doing safety training, but if you look at the last five years for work-related injuries, it might show that are they really doing those trainings, you know, because we still see a lot of activity happening in the past.

And that's where what I like about the technology piece, if you're tracking that, you can package it up and then you can use it within the underwriting process and not only show, you know, either, “Hey, we had these issues, but here's what we're doing today, which is different from the past that we feel like is going to help us better manage what you're, you know, what you're looking at.” And that could be, you know, a tool to give the underwriter a better idea as to where the company's headed, as opposed to just looking in the rearview mirror and, you know, what's happened in the past. And I think you said it best. It's kind of the easiest to me entry level way to get into utilizing software within safety, specifically when it comes to those, you know, tailgate style or formalized annual trainings for the, for the crews.

BM:Absolutely. I mean, we did a, we did an initial, like every spring, we did a kickoff because everyone, spring and fall, because everyone would forget how to run their summer equipment, of course being up in Wisconsin, they forgot how to run all their summer equipment through the winter months. So we had retrained. I don't care if the person was there for 20 years at our company. They got trained on all the equipment again, just like the new guys that were just starting that year at our company. They were trained the same way so that we were all kind of learning together and the same happened in the winter, all right? Let's retrain on snowplows and salters to make sure we're injuries.

DG: How about, you know, vehicles before we started talking here, you were mentioning a story just on, you know, when you guys used to manage your fleet, which is probably, to me, probably the biggest exposure, especially for a maintenance company that is very fleet intensive. You know, got to have a lot of trucks to get everybody to all the different job sites. You know, more trucks feels like more exposure, more opportunity for claims to happen. Where are ways where you think or you've seen technology improve maybe somebody's ability to better manage that or maybe isolate opportunity from, you know, turning into an issue?

BM: The fleet side of it was, again, very important to us, right? And again, some of the things that we worked on, and the only way we learned that we needed to work on it, again, was because of data we were collecting through the technology piece, right? And so one of the things that, again, this is probably vehicle and people, right, is this idea of route optimization, right? How do I minimize my windshield time, my drive time, right? Everyone says, well, you're just trying to make more productive time then in a day, and of course I am, right? I'm going to do everything I can as well to make more productive time so that we can have more revenue per day for our crews. However, the other thing that it's doing is less time behind the wheel, three, four guys in a truck, the less, I'm minimizing my risk by not having them on the road, not having them behind the windshield, right?

But we've, we also did, obviously we did We had things like GPS units to make sure we were tracking, you know, with speeding, with harsh breaking. We were very early to jump in on GPS technology. That was huge for us to get a system, and it was so much fun to call somebody. Processes were very important in documenting kind of the things that, you know, like everyone leaves the yard with their seatbelt on. No using your cell phone while you're driving. No, you know, we were doing this 25 years ago. You know, dash cams are yelling at you now when you're, when you're doing that. But we were doing that, you know, 25 years ago. Well, I would, I would get a speeding alert on the GPS unit. And then so I'd call the driver. And, of course, he'd pick up every time. And I'd say, okay, first of all, you were speeding and now you're answering your phone while you're driving. Right. And so I'd get them on two cases.

But my window happened to be like right next to the driveway where all the trucks drove out of. And anytime people saw me looking out the window, you never saw people reach up over their shoulder faster than to grab their seatbelt. “Oh, Brian's watching. Let's put our seatbelt on.” But it was creating good behaviors, right? It was pretty soon it was more and more people that were, were not reaching up or not, right. And that's, that was a part of it, right? But a lot of it was based around what I was seeing and getting from the technology that I was using.

DG: And that's so important to use the technology. Like, you know, like you're saying. So that's something that comes back to us quite often when we're either negotiating a renewal or talking to an emerging underwriter who might be interested in this industry and they're trying to learn more about the exposures. They want to know not only now is the business using GPS or are they using dash cams, but are they managing that information when they get it because it's super important to act on the information you've got, right? So if you're getting constant speeding alerts from an employee and you're getting those messages, but you're not doing anything from a, you know, training standpoint on that, then, you know, what's the point there, right? And getting--it can almost create maybe more liability for you just because you're neglecting the information in that case, right? So those best in class companies are coming up with those systems to manage the data so that they can help the driver behavior to your point. That's what the change, you know, that's what you're trying to do is just create better driver behavior so that they're not, you know, more likely to continue to have, have those bad habits.

And how about, so, you know, the equipment itself, even in my short time, like I mentioned, 10 years doing this, the gas to battery, especially here in California, it's really big, seeing the cost of these batteries and going, oh, my goodness, it's like the cost of a piece of equipment, almost to itself. And so we're navigating ways to, you know, better and more appropriately ensure that. That's thought through. Because in the past for us, you never really thought about, you know, insuring gasoline or something like that because that was the fuel for the piece of equipment. But now the battery is a key component to insurance and insurability, but also just overall minimizing theft because these batteries are expensive. The piece of equipment's expensive. They're powerful. They can, you know, they can do a lot. Are there areas where a business can help improve their, like, theft prevention program? I'm sure there's ways they can, there's usage that you've seen out there. What are some areas there on the equipment side?

BM: Yeah, I think, I think first and foremost, right, making sure that you know what equipment you have. I mean, we've talked about that before. People don't do a good job of keeping their asset inventory to date, right? Because they wouldn't know if a string trimmer was missing or a backpack motor was missing because they don't even know if they have it sometimes. So that's first and foremost, right? Always making sure you're staying up to date with your asset inventory, right? But there's emerging technology out there that is, and I'm a part of one of those groups that is what we're doing is we're putting little like air tags on pieces of equipment. But not only are we using those tags for theft purposes, but we're using them for, again, making sure that the equipment is being utilized every day and utilized on these properties and not just being dragged around in a trailer for all week long.

And again, it was, what it's doing is it's helping people recognize that maybe they don't need to be having as much equipment at their companies. But what, again, from the side of insurance and this theft piece, right, what the, what the devices do is they'll alert the driver that if he showed up at a job site with 10 pieces of equipment. He left the job site with nine, right? It's like, okay, maybe it wasn't him that left one behind, but maybe somebody walked by the trailer and heisted something. I've seen trailer setups, you mentioned electric. I've seen trailer setups where they have the battery racks right along the back door. As you mentioned, those batteries are not cheap. It's very easy for somebody you reach in, grab a battery, and the more we go to electric, the more valuable there's going to be for people to come and just take off the sidewall of a piece of equipment. You just want to try to prevent, in any ways you can, theft. And again, maybe understanding kind of what the utilization is of your equipment, right? Am I using it properly? Am I using it while all of those different things.

DG: And that's where you're getting, you know, both sides of it. Just like you mentioned with GPS, you're getting route efficiency, but you're getting driver behavior. Now on the asset side, you know, side you're getting efficiency and usage of the equipment. And at the same time, it could be a deterrent or a theft prevention measure that's going to play into the insurance side. So building more value, you know, with the software. What am I truly getting, if you're getting two ends of the spectrum there, it's pretty nice. You're kind of doubling down on your overall investment. So very interesting.

Anything else out there? You know, I know I go to the big expos and I walk those floors and I'm amazed at, you know, some of the equipment that's out there, autonomous, you know, mowers and, you know, you've got the hillside mowers on remote control. It just seems like the industry super creative and it's there obviously catering towards the need to become you know more efficient anything else that you're seeing out there that is interesting to you or where you think you know there could be more either dual use or major impact to risk and safety for landscape companies?

BM: Well I think one of the things that and we talked about this a little bit in the beginning is this idea of what I’m presenting to my customer is what I'm delivering on, right? There's software coming out where I can do actually tracking of the people and their movement around the property. For snow, that's huge, right? Because if I get a slip and fall and I can prove that that truck was in that area and that truck did salt that area during this time prior to the slip and fall, right? That's huge when it comes to a liability. The same goes true in the summer months, right? Even if it's something where a client is questioning your behaviors or whether or not you're maintaining their property to the way you set it up as far as the scope of work within your contracts, right? You can have that proof of, yes, we maintained your property, we maintained it fully, we did all the work that we promised you, right? And we're not, you know, we're not trying to kind of short our contract with you, right?

Because I see risk, you know, kind of in two forms. One of them, you know, from an insurance side, the other side is from kind of a churn side, right? If I'm churning work and I'm losing work because I'm not providing what I'm telling people in my contracts, right? That's huge, you know, that's really something that people, again, have to be extremely worried about. And I was always very diligent about making sure that if I told a homeowner or a business that I'm going to provide 28 mows that season, I'm going to provide 28 mows that season. And we're not going to short mow. We're going to maintain the entire property for those 28 times. You know, it's going to differ when I'm doing those mowing throughout the season, but that's when I do it.

And so this tracking gives you the ability to kind of see where the movement of the crews around the property, A, it helps with efficiency on those properties, but B, it helps you to show the client, yes, we did, are maintaining your property. I've worked with the company in Canada, you know, huge snow company. We had special reports in the software that we developed so that their liability with their clients, because some clients required like every event they needed a full report of exactly what was done, who was on site, what the times were they were on site, what the amount of product was they put down. And now with kind of more of the tracking of movement through the property, now I can also show that as well.

DG: You know, at the end there, if there's that ability to just show the customer, you know, we all want that. We want to be able to show the customer, you know, we are doing a good job and this is what it looks like. If you're able to do that to a certain extent, it's hard for someone else to duplicate it. If they don't have that within their process and they can't do it, but the customer comes accustomed to seeing it a certain way, it does create an advantage for you in a sense where they were just, they were happy, you know, very pleased with the service, but also you kind of wrapped it up nicely for them because they had something that they could refer back to. If they had to go share results with somebody else that maybe doesn't directly get to see your work every day, it's kind of nice to have that stewardship, you know, type of piece, it sounds like that this might be able to create.

BM: Absolutely. The question is, where does that liability stand? And again, as you mentioned, right, if I'm not doing anything with the data, right, I'm not notifying an HOA, a board of directors, a business, a homeowner about those issues. In theory, I could be somewhat liable for somebody hurting themselves on the property. Now, if I go out and I expose that and I show them that either through, and again, the video is a great way to show it because it's very, very visual. But even having a low spot in a lawn that somebody, or it's a hole in the lawn, right, that was somebody falls into the hole. A little kid catches his leg, well, I saw it, you know, every time I went out there in mode, I saw it, or we avoided that area and used a string trimmer in that area because there was a big hole in the yard. Well, I need to be doing something about it as a contractor, as somebody that is responsible for the maintaining this property. And so I need to bring that to their attention.

DG: Right. And that's a key point. And that really hits home on the liability side for landscape maintenance and that was the uh my topic out at Elevate this year was right around premise liability and the exact hazard you just brought up was an example we used too. And you know with technology and I’ll kind of close with this too because I think it's always people are resistant because it's got to be easy you know so that's you know you can repeat it and I think sometimes things look really interesting and appealing but man you know to roll something out or to really implement something can be a challenge and in what resources do you have available to do that. You know, talk to the listeners about maybe are there areas where you can help with that? Is that something that someone could reach out to you if they had questions about, you know, implementing technology and just going on your experiences? That's something that you would be open to listening in and on?

BM: Yeah, absolutely. The team I've put together at Mour's Enterprises, our focus is 100% on technology training, technology use, getting the best out of the technology that you have. I can show people through that capture of data how they need to improve maybe their workflow around their yard just because their crews are spending too much time in the yard and you're seeing all this kind of congestion in the yard and it's recognized through the time capture. If people don't understand how important that is to running their company, as much as it is just capturing their time and their job, right, they're not getting the best use out of their technology. And so our team helps people understand, again, the logic.

I always tell people it's not about the button pushing in the technology, but it's logic of the technology. We built this technology specifically to really help people, you know, again, guide them through better production management of their company, through better safety in their trucks, equipment usage efficiencies out in the field. But again, that's the logic that's built into it. And you don't see that in the buttons that you're pushing, right? So we help with that knowledge and that learning.

And for our team, right, it's really about getting people utilizing the new technology that's coming out there. And a lot of the new technology, what we're trying to focus more on is more of this hands off mentality. You mentioned our asset tracking technology. It's basically just going in and read the data.

And we're even making it such that we're going to notify you of the data you should be looking at so that it doesn't have to be. But my team, that's what we're here for. We're here because it's difficult. I've been fortunate to be able to understand the logic of software when I implemented the software at the company I was at right at the turn of the century and before people were putting technology in their landscape companies, I was fortunate to learn the technology, learn it well, and then kind of pass that along to other people, my knowledge.

DG: So critical. Yeah, Brian, I think, yeah, for me, I think about it with technology. I mean, it's in the insurance space too. You know, we have it as well. But watching the landscape industry grow, I always get excited about seeing the new technology. And I always like, you know, I feel like it's more of if I equate it to golf. It's like the new driver. You know, I'm always interested in that. I just want it. Let me go to the range, see how far I can hit it. But really, the execution of your golf game is going to be right around the green. But that's going to take time and you need to have somebody who knows what they're doing and teach you how to kind of do the little things so that you really can make your golf game effective. And I get too lost in, “Oh, this looks really exciting. I'm just going to go use this on the driving range.” And then, you know, I have no plan after that. And that's where having someone like you to lean on to help through those processes is super important. And we appreciate you coming in and sharing some of that information with us. We'll make sure to include your contact information in the podcast notes. And Brian, thanks again for coming out to San Diego. We appreciate it.

BM: Thank you, Drew. I appreciate being here.

DG: Thank you.

California “Know Your Rights” Notice: Important Dates for Employers

Author, Jadyn Brandt, Client Communications Coordinator, Rancho Mesa Insurance Services, Inc.

Employers in California will soon be expected to adhere to new employee protections and emergency contact requirements. Although the law took effect on January 1, 2026, specific compliance dates are expected to be met in February and March.

Notice of Workplace Rights, February 1, 2026

By February 1, 2026, employers need to provide employees the required workplace rights notice. This notice will need to be shared with employees annually and must be updated to reflect any new legal developments.

The California Labor Commission provides notice templates in both English and Spanish and additional languages are expected to be made available, soon. If a template is unavailable in an employee’s preferred language, employers can provide a notice in English.

Employers can distribute the notice through personal delivery, email, text message, or any method normally used to communicate employment information.

Employees hired after February 1, 2026, should receive the notice when hired.

Employers need to keep records of having provided the notice for three years. These records must also include the date each notice was provided.

Emergency Contact, March 30, 2026

By March 30, 2026, employers must give employees the opportunity to name an emergency contact and designate if that person should be notified if the employee is arrested or detained while at work.

If any employee indicates they want their employer to reach out to their emergency contact in the case of an arrest or detention, the employer will be obligated to notify the emergency contact. Employees can update their emergency contact information, and their choice to notify at any time.

California employers who may need to add new requirements to their handbook can use Rancho Mesa’s RM365 HRAdvantage™ portal to make the necessary updates. To learn more about additional law updates at the federal and state level, visit the Law Alerts page in the HR portal.

OSHA Releases the Top 10 Most Frequently Cited Safety Violations for Fiscal Year 2025

Author, Jadyn Brandt, Client Communications Coordinator, Rancho Mesa Insurance Services, Inc.

During the 2025 NSC Safety Congress & Expo, the Occupational Safety and Health Administration (OSHA) released preliminary data on the most frequently cited workplace safety violations for fiscal year 2025.

These findings emphasize the areas where employers see the largest risks to employee safety, and are a good place to start when aiming to prevent injuries on the job.

1. Fall Protection—General Requirements – 5,914 citations

Fall protection was once again the most cited violation. This often includes failing to provide or use fall protection systems such as safety nets, guardrails, or Personal Fall Arrest Systems (PFAS). This is the 15th straight year in which Fall Protection topped the list of violations.

2. Hazard Communication – 2,546 citations

Employers who fail to implement complete hazard communication standards or training can put employees at risk of improperly handling chemical hazards. Proper labels, safety data sheets, and training is essential to avoid injury and citations.

3. Ladders – 2,405 citations

Citations for improper ladder use can be given if employees are using broken or defective ladders, failing to set up ladders properly, or using them for things other than their intended purpose.

4. Control of Hazardous Energy (Lockout/Tagout) – 2,177 citations

Lockout/Tagout citations are often given when employers do not have clearly outlined procedures for controlling hazardous energy, or when employees are not trained to properly deal with hazardous energy. Regular inspection and review of lockout/tagout procedures is also required by OSHA.

5. Respiratory Protection – 1,953 citations

Employees working in environments which expose them to airborne hazards like dust or fumes must have proper respiratory protection. Employers can receive citations for failing to provide proper training, medical evaluations, and fit testing for employees.

6. Fall Protection—Training Requirements – 1,907 citations

In addition to physical safety measures to prevent falls, employers must also provide a training program to employees who are working from height. The training program should cover the nature of fall hazards, correct procedures and use of fall protection systems, limitations of the equipment, procedures for handling and storing equipment, and the role of each employee in fall protection plans.

7. Scaffolding – 1,905 citations

Similar to fall protection, improper use of scaffolding can lead to serious injury for employees. Adherence to proper construction and awareness of capacity for scaffolding is an employer’s responsibility.

8. Powered Industrial Trucks – 1,826 citations

Employers may receive citations for improper use, maintenance, and design of fork lifts and powered industrial trucks.

9. Personal Protective and Lifesaving Equipment (Eye and Face Protection) – 1,665 citations

Employers must provide Personal Protective Equipment (PPE) to employees who are exposed to eye or face hazards and employees must use/wear appropriate PPE while working. Failure to provide or enforce the use of PPE can lead to citation.

10. Machine Guarding – 1,239 citations

At least one method of machine guarding must be in place to protect employees from points of operation, rotating parts, sparks, or nip points. Missing or inadequate machine guarding can lead to citations.

“Training employees on the most common OSHA citations is a great idea because these violations reflect the most frequent and severe risks to workers,” Rancho Mesa Risk Control Consultant Jessee Keirstead said when asked about the importance of regular safety training.

“Compliance with OSHA standards and proactive training are good tools for preventing injuries and protecting businesses from costly citations and insurance claims.”

Rancho Mesa’s extensive library of safety trainings and toolbox talks available through the SafetyOne™ platform is an excellent resource to help keep safety top of mind.

Navigating California’s Hardening Marketplace

Author, Casey Craig, Account Executive, Rancho Mesa Insurance Services, Inc.

California’s insurance market has shifted dramatically in recent years, creating challenges for both carriers and insureds. While premium increases are often the most visible sign of a hard market, the underlying issues are far more complex.

Market Contraction and Volatility

From 2020 to 2025, many carriers have either exited California or significantly reduced the lines they write. Factors such as wildfires, theft, rising repair and rebuild costs, cumulative trauma claims, and nuclear verdicts have made predicting losses increasingly difficult. This volatility has led carriers to tighten underwriting standards and decline new business more frequently.

Litigation and Its Ripple Effect

Escalating litigation rates have amplified the problem. Even minor claims are resulting in outsized settlements, driving up costs for carriers and insureds alike. This cycle, higher premiums leading to more lawsuits leading to higher premiums, has created systemic pressure across the industry.

Impact on Reinsurance and Rate Filings

The reinsurance market has also tightened, with some reinsurers refusing to cover certain industries, implementing new exclusions. Your carrier partner needs to share risk in the reinsurance marketplace to insulate themselves. So, these changes are trickling down. Compounding the issue, carriers often wait years for rate approvals from the Department of Insurance, leaving filings outdated and misaligned with current exposures.

What This Means for Businesses

In this environment, partnering with a broker and carrier that specializes in your industry is critical. Carrier appetites are changing rapidly, and exclusions can appear without notice. A knowledgeable broker can help position your business effectively, secure competitive pricing, and ensure coverage aligns with your risk profile.

For questions or to discuss your insurance strategy, contact me at ccraig@ranchomesa.com or (619) 438-6900.

Safety Resources from Rancho Mesa in 2026

Author, Jadyn Brandt, Client Communications Coordinator, Rancho Mesa Insurance Services, Inc.

New training resources are now available for Rancho Mesa clients online and through the SafetyOne™ platform. SafetyOne users now have access to 20 new safety trainings and four updated trainings.

New Trainings - English

• Backhoe Safety

• Cold Stress

• Cold Stress in Industrial Environments

• Cold Stress in Construction Environments

• Cold Stress in Transportation and Warehouse Environments

• Dump Truck Safety

• Evacuation Procedures in Transportation and Warehouse Environments

• Excavator Safety

• Fire Extinguishers in Construction Environments

• Fire Extinguishers in Food Processing and Handling Environments

• Fire Extinguishers in Healthcare Environments

• Fire Extinguishers in Office Environments

• Fire Prevention in Construction Environments

• Fire Prevention in Food Processing and Handling Environments

• Fire Prevention in Transportation and Warehouse Environments

New Trainings - Spanish

• Evacuation Procedures

• Evacuation Procedures in Construction Environments

• Evacuation Procedures in Food Processing and Handling Environments

• Evacuation Procedures in Office Environments

• Evacuation Procedures in Transportation and Warehouse Environments

Updated Trainings – English

• Fire Extinguishers

• Fire Prevention in Industrial Environments

• Fire Prevention in Office Environments

• Fire Prevention in Healthcare Environments

Each training includes an instruction video and a quiz. These trainings can be assigned to crews or individual employees in order to improve safe practices on a jobsite.

Training records can be found in the “Training Documentation” section of the SafetyOne website.

For a complete overview of the SafetyOne platform, contact your Client Technology Team or register for the SafetyOne Administrator Website Overview Training on Thursday, January 22nd, 2026 at 1 p.m.

Rancho Mesa will also host a number of new workshops and webinars in 2026, including:

• Cumulative Trauma Claims: Trends, Impact & Best Practices workshop

• RM365 HRAdvantage™ Portal Learning Management System webinar

• PAGA Claims workshop

• NALP Government Affairs workshop

• Fraud Risks and Prevention in Banking workshop

For a full list of all available workshops and webinars in 2026 and to register for upcoming events, view our 2026 Workshop/Webinar Calendar.

A Year-End Meeting with Your Surety and Agent Could Make or Break Your 2026

Author, Andy Roberts, Surety Group Leader, Rancho Mesa Insurance Services, Inc.

As 2025 comes to a close, companies are focused on finalizing their year-end financials. For contractors, it is important to have a surety agent who will coordinate a meeting with the surety company early in 2026, once the year-end financials are completed. This meeting is important for several reasons, including reviewing the previous year's financial performance, looking at the outlook for the coming year, understanding current bonding capacity limits, and discussing any potential issues on the horizon.

The primary aim of reviewing year-end financials with the surety company and agent is to gain an accurate picture of the business's performance. Key financial items such as profitability, working capital, and equity are essential in determining bonding capacity limits. Furthermore, once the year-end financials are ready, it is important to discuss any significant changes. Whether it involves declining cash flow, increased debt, or performance issues with specific projects.

While evaluating the previous year's financials is a central aspect of this meeting, it is equally important to look ahead. The discussion should include the contractor's upcoming projects and the bonding requirements associated with them. This proactive approach not only helps in planning for the future but also gives the surety an idea of what they will be needing with regards to bonds in the future. 

In addition to the year-end meeting, maintaining regular communication with your surety company and agent is essential for building a stronger relationship. Consistent communication will help foster trust, which ultimately benefits the contractor by providing greater access to bonding limits.

In conclusion, the year-end meeting with your surety team is important to review past performance, plan for the future, and strengthen the contractor’s relationship with the surety and the agent. By prioritizing this meeting and maintaining open lines of communication, contractors can set themselves up for success in the coming year. 

For questions regarding the importance of this meeting, please give me a call at (619) 937-0166 or email me at aroberts@ranchomesa.com.     

The Impact of Claim Frequency and Severity on a Landscape Company’s Experience MODs

Author, Drew Garcia, Vice President, Landscape Group, Rancho Mesa Insurance Services, Inc.

The experience modification rate (ExMod or MOD) is a measure produced by insurance rating bureaus to summarize a company’s claim history versus their industry peers. A rating generated below 1.00 is considered a credit to the workers’ compensation policy while a number above 1.00 is a debit. The ExMod has a direct impact on the cost of workers’ compensation insurance.

In exploring the impact of frequency and severity on the ExMod, it is important to understand a few terms. 

Lowest Possible MOD = The best outcome for a company who has no claims in the experience window.

Unity MOD = 1.00 or the average against your industry

Actual MOD = Your final published ExMod.

In an effort to better display the impact of frequency and severity on the ExMod, in the following scenarios, we will use a three-year aggregate payroll of $3,000,000 a three-year aggregate claim cost of $55,000 and the lowest possible ExMod of 66.

Scenario 1

In this scenario, the landscape company had one $50,000 claim and one $5,000 claim. The actual ExMod was calculated at 93.

Scenario 2

In this scenario, the landscape company had five $10,000 claims and one $5,000 claim. The actual ExMod was calculated at 136. That is a 43% higher ExMod than in scenario 1, even though the total of all the claims were the same.

Both scenarios had identical payroll, claim value and lowest possible ExMod. The only difference was scenario 2 broke the $50,000 into five $10,000 claims. The ExMod was impacted more by frequency than severity.

It is a best practice to examine your ExMod and injury history for key trends to help identify areas where employees need more training.

Using Rancho Mesa’s SafetyOne™ platform, schedule both online trainings and regular toolbox talks from the mobile app to ensure employees are properly trained on safety within their job duties. These steps can help build a stronger safety program for the future.

For questions about best practices for managing your company’s experience mod, contact me at drewgarcia@ranchomesa.com or (619) 937-0200.

Elevating Your Surety Program with Reviewed Financials

Author, Josh Hill, Account Executive, Rancho Mesa Insurance Services, Inc.

Over the last several years, contractors have been challenged to manage rising costs, especially those companies operating in the steel and concrete industries. These rising costs in the private sector can be mitigated through escalation clauses and other price adjustment features which offers some level of protection from inflation; however, in the public sector where bonds are necessary, fixed price contracts are a more common practice which creates additional pressure on surety underwriters in their evaluation of risk.

The surety industry, while still very healthy and seeking more opportunities to support their clients with bond approvals, has seen an uptick in scrutiny evaluating contractor financials, particularly when seeking increased capacity limits 2 or 3 times greater than what the contractor may have needed in the past. Larger contracts resulting from increased costs have created the need for larger bonding capacity for many contractors. Surety markets understand this and remain supportive when provided with reliable financial information.

Providing reviewed quality year-end statements will go a long way with your surety partner to improve the terms of their support (i.e. greater single and aggregate limits or more aggressive premium rate). In fact, the cost benefit can be substantial. For example, if Contractor ABC spends $10,000 to obtain reviewed financials, they might think it is just an unnecessary expense. However, investing in reviewed financials could move them out of a 3% flat premium expense into what is often referred to as the “25 slide or standard” (a widely used rate but there are even more competitive programs available depending on credit worthiness). Let’s use a $1,000,000 project size to demonstrate this. At a flat 3.0% premium, the cost for that bond is $30,000, but if this same job were on the 25 slide, the premium would only be $13,500. The cost benefit practically speaks for itself and your surety will appreciate the higher level of reporting as well.

If you are a contractor who has a revenue concentration stemming from public work, it is important to have a well-established relationship with your surety carrier through your broker. Investments in financial reporting like this might seem unnecessary at first, but a proactive agent broker will show you the benefits that decisions like these can create.

If you would like me to review your current bonding program, I can be reached at jhill@ranchomesa.com or (619)798-2819.

Staying Ahead of Winter Hazards: A Guide to Slip and Fall Prevention

Author, Jadyn Brandt, Client Communications Coordinator, Rancho Mesa Insurance Services, Inc.

Temperatures are beginning to drop, and as winter weather sets in, the risk of slips, trips, and falls in the workplace is on the rise. Snow, ice, and wet conditions can turn parking lots, stairways, and lobbies into hidden hazards. In 2022, the Bureau of Labor Statistics reported 865 fatalities due to slips, trips and falls. From office employees walking in from the parking lot to construction crews working outdoors, everyone should be aware of the potential risks that come with the seasons changing. Preventing injuries requires awareness, preparation, and a proactive safety culture.

There are a number of hazards that employees may encounter during the winter months. Snow or ice may build up on outdoor walkways, parking lots, stairs, and loading docks. Indoors, snow or water tracked in by employees can make floors slippery. Plus, less daylight means employees may be arriving to or leaving work in the dark, making it harder to see hazards.

Employee awareness is key to preventing slips, trips, and falls. Weekly safety trainings that address the dangers of winter weather are one way to keep employees mindful of their surroundings. Rancho Mesa’s SafetyOne™ platform has a number of toolbox talk trainings that can be used to instruct employees on safe behavior. They include:

• Dressing for Winter Work

• Winter Lifting Hazards

• Weather Awareness for Landscape Contractors

• Weather Awareness for Tree Care Companies

• Weather-Related Driving Hazards for Company Drivers

Sending email reminders to your team alerting them on days when the weather is more extreme than normal, and reminding them how to work safely in those conditions, can help keep safety top of mind for employees.

Additionally, keeping work-areas well-lit, posting safety signage around the job site or in places where ice, snow, or rain may accumulate, and requiring proper slip-resistant footwear are additional steps employers can take to protect their employees during the winter season.

Preventing slips, trips, and falls during the winter months requires consistent safety practices. By taking these proactive steps both employers and employees can reduce the risk of accidents and keep workplaces safe, productive, and injury-free all season long.

Foreign Voluntary Workers’ Compensation: Closing the Coverage Gap for Cross-Border Teams

Author, Sam Brown, Vice President, Human Services Group, Rancho Mesa Insurance Services, Inc.

In San Diego County, with its diverse workforce and cross border business activities, employers increasingly consider hiring talent from nearby Tijuana or have employees travel into Mexico for business purposes. In other scenarios, American employees decide to move and work remotely from Mexico or commit to a daily commute into the US.

While Mexico-based employees working remotely and cross-border commuters bring valuable skills to San Diego’s employers, North American workers’ compensation policies do not offer protection from unique international exposures or the services your employees need should an injury occur outside the United States. Fortunately, an insurance product is available to specifically address this international exposure: Foreign Voluntary Workers’ Compensation (FVWC) insurance.

Which employers should consider FVWC?

The coverage is considered voluntary because it is not required by law to purchase. Companies with employees who travel or commute to foreign countries should consider FVWC to cover the following:

• Employees on short-term business trips across the US border.

• Employees on long-term international assignments.

• Hybrid employees working remotely with some commuting into the United States.

What benefits does FVWC provide injured workers?

• Medical expenses and lost wages: Covers medical care, lost income, and disability benefits for injuries or illnesses sustained on the job in a foreign country.

• Repatriation: Pays for the cost of transporting an ill or injured employee to their home country for treatment, or to a suitable medical facility, and can also cover the return of remains if an employee dies.

• Extended coverage: Can include 24-hour coverage, endemic diseases (like malaria), and acts of war or terrorism, which are often excluded by standard policies.

• Employer liability protection: Protects the business from potential lawsuits if an employee sues for a work-related injury that occurs abroad.

• Facilitates care: Many policies provide a point of contact to help employees navigate the foreign healthcare system, which can be a significant concern for those in unfamiliar countries

San Diego employers with Mexico-based employees or operations outside the United States should learn if the existing workers’ compensation insurance policy will cover international incidents. If not, employers would be wise to explore foreign voluntary worker’s compensation insurance. Please contact me at sbrown@ranchomesa.com or (619) 937-0175 to discuss if this coverage is a fit for your organization.

OSHA Requirements for Safety Meetings

Author, Jadyn Brandt, Client Communications Coordinator, Rancho Mesa Insurance Services, Inc.

California’s Occupational Safety and Health Administration (Cal/OSHA) requires employers to have an Injury and Illness Prevention Program (IIPP), and regular toolbox talks are often a key training element in an effective safety program. Toolbox talks, also known as tailgate talks or tailgate safety meetings, are brief, informal safety trainings typically held at the jobsite.

However, toolbox talks are an often forgotten piece of an effective employee safety training program, though required by Cal/OSHA.

Presentation

Toolbox talk trainings should be presented to employees in-person at the jobsite in a location easily accessible to team members. Topics should be relevant to the industry or project, or should address a recent incident or near-miss.

Rancho Mesa’s SafetyOne™ platform has an extensive library of toolbox talk topics designed for industries like construction, landscape and tree care, non-profit and human services organizations.

Scheduling

Cal/OSHA requires supervisory employees to conduct toolbox talks with their crews “at least every 10 working days.” To keep on a consistent schedule, Rancho Mesa recommends holding weekly toolbox talks on the same day each week.

Landscape, tree care, and driver-specific toolbox talk sub-libraries each contain a total of 52 topics, enough for one topic to be used each week of the year. In total, the library includes over 780  safetytoolbox talk topics that can be used for a variety of industries.

Documentation

Keeping a record of who has been trained on each toolbox talk topic is a necessity. Cal/OSHA expects employers to maintain written records that include the training topic and content, date, presenter’s name, and the signatures of all attendees. These records should be easily accessible so they may be made available during inspections.

SafetyOne administrators can use a mobile device (i.e., smart phone or tablet) to collect participant signatures and take a group photo after each toolbox talk. These records will be saved in the SafetyOne platform for each project and can be accessed by administrators at any time.

When administered in line with Cal/OSHA expectations, weekly safety meetings become a powerful tool for reducing injuries and improving communication. By delivering sessions in person, selecting relevant topics, scheduling consistent meetings, and maintaining accurate documentation, employers can create safer job environments and strengthen compliance with California safety regulations; protecting both employees and their business.

Understanding the Three Deadliest Hazards in Tree Care

Author, Rory Anderson, Partner, Account Executive, Rancho Mesa Insurance Services, Inc.

Tree care remains one of the most hazardous professions in the country. Whether crews are pruning, removing hazardous trees, clearing storm damage, or performing routine maintenance, the work demands planning, precision, and strong safety practices. Despite ongoing improvements in training and equipment, three accident types continue to cause serious injuries and fatalities: falls, electrical contact, and struck by incidents.

Falls account for about one third of industry fatalities according to the Tree Care Industry Association (TCIA). Climbers are involved in roughly half of these incidents, most often when they become unsecured even briefly or when an anchor point fails. Climbers also continue to fall with the tree due to hidden decay or structural failure, which highlights the importance of thorough inspections. Aerial lift falls also remain fatal events, usually when operators are not wearing fall protection or when their harness is not actually attached to the boom. Workers should always be properly secured and should never open platform gates while off the ground.

Electrical contact is one of the deadliest hazards in tree care and represents about 14 percent of fatalities. Nearly all of these incidents involve electric current, and about half occur when climbers make indirect contact with primary distribution lines. This often happens through conductive tools such as metal pole saws or when a cut branch or palm frond swings into an energized line while the climber is still holding it. Minimum approach distances must include the worker, the full length of their tools, and the path of falling or swinging branches. With a fatality rate of one in four, strict line clearance procedures are essential.

Struck by incidents also remain a serious risk. Nearly 10 percent of tree care fatalities involve workers being hit by falling or swinging branches, usually when cuts are made without warning or when ground workers enter an active drop zone. Clear communication and enforced drop zones are the most effective ways to reduce these incidents. Chippers also contribute to serious struck by injuries and account for almost 7 percent of fatalities. Many of these events occur when ropes or winch lines are caught in the chipper and strike the operator. Keeping ropes bagged or staged and positioning the chipper away from rigging areas can prevent these accidents.

In an industry where high risk tasks are routine, understanding the leading causes of severe incidents is essential. Safety must remain a consistent and intentional priority on every job.

Utilize regular safety trainings to ensure employees are properly trained on safe practices. Subscribe to Rancho Mesa’s weekly Tree Care-specific safety meeting emails to receive toolbox talk content.  

For questions about managing risk in the tree care industry, contact me at (619) 486-6437 or randerson@ranchomesa.com.

All percentages and incident trends cited in this article reflect TCIA’s most recent fatality and incident reporting for the tree care industry.

Exit Strategies for Construction Companies

Author, Anne Wright, Surety Relationship Executive, Rancho Mesa Insurance Services, Inc.

For years, I’ve heard various clients explain their plans to ensure both retirement and business continuity as their key people plan to exit the workforce. Depending on the company, some plans have gone well, and others not quite as well. And, some plans are ever evolving. Typically, this process will take a lot of time and thought, and rethinking in order to make sure it is done right.

If are planning your exit strategy and your company works with a surety, please do not wait to bring this to the attention of your agent. Both your agent and surety might be able to provide some valuable insight based on what they have experienced or other resources. Certainly, it is important to bring the surety into the conversation early. Surprises, as we often experience and talk about, are typically not the best way to manage communication.

So, let us visit some thoughts on various options and strategies.

I continue to be very fortunate, in my long career in this industry, to be connected with some really bright people in so many areas that can assist my contractor clients with planning of various types. The thing with continuity planning, though, is that a lot of people do not seem to want to either think about it or take the time to plan for it. It will go so much more smoothly, if they do. With the right plan and the right consultant, a lot of peace of mind can follow.

Often times, for small to medium companies, we have seen plans to hand the company off to the next generation. But how do you do that without a good plan for the transition, considering management, mentoring and, importantly, tax strategies?

We have, of course, seen large companies be purchased by even larger companies. Mergers and acquisitions have been happening for years. Private equity acquisitions continue to be popular. And, ESOPs (employee stock ownership plans) continue to be in the mix.

For some, a visit with their CPA and an attorney might be all they need to lay out a plan, but this should be done well in advance of a formal transition date.

For others, where does one find a good resource to lay out the various options to put the best strategy and plan in place? I am happy to connect you with John Ovrom with Exit Consulting Group and his team to start a conversation and planning process. Or, another option is perhaps you have peers as members of your trade associations who can share their story and experience.

As you consider a retirement or transition strategy, the first thing you will want to have in order is your financial information. Any planning is going to be based on the equity/value of the company, and, strategies for how to buy out an owner over a specific period of time, and who will be taking charge, of what and when, will determine the timeline.  

Before you begin the process, pull together a few items:

• Updated accurate financials

• Valuation of the company by an outside source, such as your CPA

• Organizational charts for management and key positions

• Projections for the financial impacts of working capital and equity of the company

And, decide on the following:

• What compensation do you want to get out of the company and what are your terms?

• Key team for ownership and management

• Timeline to put a plan in place

All of these items will be important tools for your surety when you start these important discussions.

A company is only as good as its management and people, as we all know. Oftentimes, a business owner thinks the day to day business operations would continue in the event of their absence. That said, regardless of whether the plan is to retire and sell the company or something tragic happens, all businesses should know what might happen when the inevitable comes.

I have heard of some companies testing the waters with a mock death, of sorts, where   employees are aware it is only a drill. But the idea is to see how smoothly operations would really run if an unplanned exit should occur. It helps to answer questions like who handles the relationships with key business partners, inside and outside staff, etc.?  Having that peace of mind matters to everyone involved. So, this tool could be used by any business owner, whether that succession/transition is on the horizon today or not.  This may sound a little extreme, but for some, it could prove to be enlightening and assist with any weak links in what a transition plan/exit strategy might involve.

If you have any questions on any of this, feel free to reach out to me at awright@ranchomesa.com, (619) 937-0164, or John Ovrom at jovrom@exitconsultinggroup.com, (619) 202-6888.

Staying Up-to-Date with OSHA 300 Logs

Author, Jadyn Brandt, Client Communications Coordinator, Rancho Mesa Insurance Services, Inc.

Employers who maintain accurate OSHA logs not only avoid costly fines but also gain valuable insights into workplace safety trends by identifying hazards early and in real-time, thus strengthening the effectiveness of their safety programs.

Under OSHA’s recordkeeping regulations, employers with more than 10 employees in designated industries are required to keep detailed records of injuries and illnesses that occurred on the job. Often referred to as OSHA logs, these records include OSHA Forms 300, 300A Summary and 301.

OSHA Logs

OSHA Form 300

The OSHA Form 300 is a list of each occupational injury or illness and basic details including the employee’s name, job title, date of injury or illness, location and a brief description. The 300 log shall also include the seriousness of the injury or illness, the number of days the employee was away from work or was transferred as a result of the injury or illness, and the category of the incident.

OSHA Form 300A Summary of Work-Related Injuries and Illnesses

The OSHA Form 300A is a summary of the workplace injuries and illnesses that are listed on the Form 300 for the calendar year. The summary does not include any personal data such as employee names or incident descriptions. This is the document that will need to be posted in your workplace.

OSHA Form 301

Each injury or illnesses listed on the Form 300 must have a corresponding Form 301. The Form 301 includes specific information describing how the injury or illness occurred. Employers do not need to submit this form to OSHA, however, they must keep Form 301 in their records for at least five years after the incident occurs.

Posting Deadline – February 1st through April 30th

OSHA 300A Summary

Employers will need to post OSHA Form 300A in “a conspicuous place or places where notices to employees are customarily posted,” (1904.32 (b)(5)) between February 1st and April 30th each year. Be sure that the annual summary is not altered, defaced, or covered by other material throughout the posting period.

Submission Deadlines – March 2nd

OSHA 300A

Employers with 20 - 249 employees in an industry listed in Appendix A to Subpart E of 29 CFR Part 1904 or employers with 250 or more employees who are not listed in the Exempt Industries list in Appendix A to Subpart B of OSHA’s recordkeeping regulation of 29 CFR Part 1904 are required to submit the information from the OSHA Form 300A by March 2nd.

OSHA Forms 300 and 301

Employers with 100 or more employees and is in the industry listed in Appendix B to Subpart E of 29 CFR Part 1904 must submit the information from Form 300/301 to federal OSHA via the ITA by March 2nd.

Submissions must be posted through federal OSHA’s online Injury Tracking Application (ITA) website or your state’s own reporting mechanism if applicable.

Rancho Mesa Resources

Rancho Mesa has a number of resources available for employers who want to stay up-to-date with their OSHA logs.

Injuries and illnesses can be documented via the SafetyOne™ mobile app or QR code-accessible mobile forms to satisfy the Form 301 requirement. Clients can also complete the OSHA Form 300 with each injury or illness case and download/print  the Form 300A Summary using the RM365 HR Advantage portal™.

For more information on how to manage OSHA logs requirements in SafetyOne and the RM365 HRAdvantage Portal, register for Rancho Mesa’s on-demand OSHA Recordkeeping and Annual Reporting Webinar.

Google AI shows “10 or more employees” but if you read the actual requirement, it says “10 or fewer employees.” So, employers with more than 10 employees are required to keep the OSHA logs.

This is not correct. The 300A is just totals of all injuries and illnesses from the 300.

WCIRB Approves Dual Wage Threshold Increases for 2026: What California Contractors Need to Know

Author, Jeremy Hoolihan, Partner, Rancho Mesa Insurance Services, Inc.

The Workers’ Compensation Insurance Rating Bureau (WCIRB) has reviewed and approved a proposal to increase the hourly wage threshold for 13 out of the 16 dual wage classifications by $2 to $5 per hour that would go into effect September 1, 2026, once Insurance Commissioner Ricardo Lara agrees. 

This upcoming change could have a direct impact on your workers’ compensation premium, if you employ workers in any trade subject to the dual wage classifications.

There are 16 dual wage classifications that will affect California Contractors:  

Dual Wage Classifications	Curent Threshold Effective 2024	Recommended Threshold Change	Recommended Threshold
5027/5028 Masonry	$35	+$2	$37
5190/5140 Electrical	$36	+$4	$40
5183/5187 Plumbing/HVAC	$32	+$3	$35
5185/5186 Automatic Sprinkler Install	$33	+$3	$36
5201/5205 Concrete or Cement Work	$33	+$3	$36
5403/5432 Carpentry	$41	+$5	$46
5446/5447 Wallboard Install	$41	+$4	$45
5467/5470 Glaziers	$39	+$4	$43
5474/5482 Painting/Waterproofing	$32	+$4	$36
5484/5485 Plastering or Stucco Work	$38	+$4	$42
5538/5542 Sheet Metal	$33	+$4	$37
5552/5553 Roofing	$31	+$2	$33
5632/5633 Steel Framing	$41	+$5	$46
6218/6220 Excavation/Grading	$40	TBD	TBD
6307/6308 Sewer Construction	$40	TBD	TBD
6315/6316 Water/Gas Mains	$40	TBD	TBD

Data from the WCIRB’s Classification and Rating Committee Meeting on November 11, 2025.
https://www.wcirb.com/sites/default/files/2025-11/20251111_cr_presentation.pdf

In California, certain construction class codes use a dual wage system to separate employees into two tiers:

• Higher Wage – Workers earning at or above a set hourly threshold qualify for lower workers’ compensation rates because statistically these workers have lower claim frequency and severity.

• Lower Wage – Workers earning below the threshold qualify for in the higher workers’ compensation rates because they tend to be less experienced and have a higher frequency and severity of claims.

The WCIRB periodically adjusts these thresholds to reflect rising wages, inflation, and updated claims data. When wages increase across the industry but thresholds stay static, more employees drift into the higher wage threshold which creates an imbalance. Therefore, the WCIRB now reviews and adjusts the thresholds every two years.

In preparation for proposed wage threshold changes, business owners may want to consider implementing the following strategies:

1. Review your payroll and identify employees earning near the current dual wage threshold.

2. Model the impact and estimate how a $2 to $5 per hour increase could affect your premium classification mix.

3. Evaluate wage adjustments by comparing the cost of modest raises against the savings from qualifying for lower workers’ compensation rates.

4. Keep accurate records! Maintain clean timecards and payroll documentation for upcoming audits.

5. Talk with your broker now to help you analyze potential exposure and prepare for your 2026 renewal.

The WCIRB’s Classification and Rating Committee reviewed these proposed increases in a meeting on November 11, 2025 and has approved them as part of the Bureau’s regulatory filing next spring for Lara’s consideration. If accepted, the updated thresholds would apply to policies incepting on or after September 1, 2026.

For any questions relating to how the dual wage threshold increase will affect your workers’ compensation premiums, reach out to me at (619) 937-0174 or jhoolihan@ranchomesa.com.

Three Key Elements in A Fleet Safety Program for Plumbers and HVAC Contractors

Author, Matt Gorham, Account Executive, Rancho Mesa Insurance Services, Inc.

Commercial auto insurance continues to be problematic for plumbers and HVAC contractors as skyrocketing premiums are eroding profitability.

Unfortunately, indicators show that this trend will continue for the foreseeable future. For the 14th consecutive year, commercial auto has posted an underwriting loss, while just the last two years have developed more than $10 billion combined in net underwriting losses.

The primary driver behind these poor results is auto liability. Fueled by third-party litigation funding, social engineering, and shifting views of corporate responsibility, nuclear verdicts have upended the auto insurance marketplace, causing many carriers to re-evaluate their willingness to even offer commercial policies.

For those carriers that are still writing commercial auto, higher premiums and tighter underwriting guidelines are now standard. Along with closer scrutiny of claims history, the quality of a written fleet safety program has become critical to carriers who typically compete in the plumbing and HVAC insurance space.

While there are many components to a strong fleet safety program, there are three key elements that should be included:

1. Personal Use Policy

A company’s personal use policy specifies whether company vehicles may be used outside of work duties, under which circumstances, whether non-employee passengers are allowed, who may drive the vehicle, and whether trailers or recreational equipment may be attached.

A personal use policy may also address whether a company’s employees’ vehicles or non-company vehicles may be used in the course of work, minimum standards for vehicle condition, maintenance regularity and documentation, and personal insurance limits that must be met.

2. Alcohol and Substance Abuse Policy

Alcohol and substance abuse policies outline expectations and consequences for drivers regarding the consumption, possession, or distribution of alcohol, recreational drugs, or illegal substances. These policies will often include drug testing requirements, such as prior to being selected as a driver, random, post-accident, or reasonable suspicion testing.

3. Distracted Driving Policy

Distracted driving policies emphasize the importance of attentive driving and prohibit or limit the use of cell phones, tablets, or other electronic devices. They may also address other activities that divert attention away from driving, such as eating, putting on makeup, getting dressed, or reading while driving.

Specific policies may also be developed in more detail to address hands free cell phone use, practices for looking up directions, or the use of technology that screens cell phone usage.

For these policies to be most effective, it is important for drivers to not only be aware of the policies but to clearly understand them. Discussing these policies with new drivers and periodically throughout the year with all drivers will keep them relevant.

In support of plumbing and HVAC contractors, Rancho Mesa has developed a library of weekly driver-specific safety toolbox talks, providing key topics to further conversations about safe driving practices. The extensive safety library is accessible within the SafetyOne™ platform and by subscribing to the weekly Driver-Specific Toolbox Talk emails.. SafetyOne also provides the tools necessary to implement a company’s Fleet Safety Program.

Another crucial factor that determines the effectiveness of these policies is consistent enforcement. When drivers understand that there are consequences for breaking company rules, they are more likely to adhere to them, especially if their livelihood is at stake.

While cameras, GPS tracking, and telematics have gotten a lot of attention in recent years, these tools, while powerful, simply provide information. Cameras do not make drivers better; they just show what drivers are doing behind the wheel. Similarly, GPS and telematics do not make a driver safer; they just show where vehicles are and how fast they are being driven. The company must review the data and take action, when needed, to ensure these tools are effective.

Defining, discussing, and enforcing clear policies that govern the safe use of company vehicles reinforces safe driving habits and decision making by individual drivers. It can also help to create a company culture that elevates the status of drivers, celebrating the fact that driving is a privilege that comes with responsibility.

While auto insurance premiums are expected to continue rising, there are actionable steps that can minimize increases and avoid costly accidents that impact your profitability, your productivity, and your people.

If you have questions about your fleet safety program or want to learn more about the strategies that we are leveraging to help our mechanical contractor clients navigate this challenging market, reach out to me at (619) 486-6554 or mgorham@ranchomesa.com.

Using Rancho Mesa Resources to Prepare Drivers for Winter Weather Conditions

Author, Jadyn Brandt, Client Communications Coordinator, Rancho Mesa Insurance Services, Inc.

Temperatures are beginning to drop across the United States, exposing companies to a number of dangerous weather conditions. Depending on where your company performs work, employees will encounter rain, ice, snow, and fog while performing job duties. This is especially dangerous for drivers, who for the coming months, will need to safely navigate the change in weather patterns. Additional training and accident preparedness is essential to keep employees safe behind the wheel. Rancho Mesa has resources available for both training and accident reporting.

Driver Training

The best way to prevent an accident is to properly train your company’s drivers. If a driver knows what obstacles to expect on the road ahead of time, and is properly equipped with the knowledge on how to handle them, the likelihood of an accident occurring can decrease significantly. Before placing any employee behind the wheel, it is a best practice to provide them with adequate training which can be accessed by Rancho Mesa clients through our SafetyOne™ platform.

Comprehensive driver safety training is available through SafetyOne’s Learning Management System in both English and Spanish, and covers the basics of driver safety as well as defensive and distracted driving.

Driver Toolbox Talks

Additionally, 52 driver-specific toolbox talks are available through SafetyOne in both English and Spanish. These toolbox talks can be used as weekly reviews of safe driving practices during the winter months. Available topics that cover winter weather conditions include:

• Driving in Fog & Low Light Conditions for Company Drivers

• Driving in High Winds for Company Drivers

• Proper Use of Headlights and Signals for Company Drivers

• Speed Management for Company Drivers

• Weather-Related Driving Hazards for Company Drivers

Subscribe to Rancho Mesa’s free weekly Driver Safety toolbox talk emails to start receiving driver safety meeting content directly to your inbox each week.

Vehicle Accident Report

Even with adequate training and preparedness, accidents may still occur. In the event of an accident, Rancho Mesa has resources available to help clients address the issue.

An Automobile Accident Report is available through SafetyOne. The report outlines the steps an employee should take once they have been involved in an accident, and allows the employee to record important information including vehicle information, injuries, witnesses, and photos.

Injuries caused by auto accidents can also be recorded in a company’s OSHA 300 logs for end-of-year reporting using the RM365 HRAdvantage™ portal.

Adequate training can help to reduce accidents for company drivers when weather conditions like snow, rain, or fog make driving difficult. If an accident does occur, employees should be prepared to handle and report the situation. Rancho Mesa’s resources streamline both training and reporting to ensure a safer winter season for our clients. To learn more about training and reporting resources, reach out to your client technology contact.

Mitigating Risk on the Move: The Case for Third-Party Subhauler Agreements

Author, Sam Clayton, Vice President, Construction Group, Rancho Mesa Insurance Services, Inc.

Street and road, general engineering and trade contractors understand the importance of having a written and executed subcontract agreement in place when using different subcontractors to complete a project. This agreement serves to protect both parties by clarifying responsibilities, managing risk and providing legal protections in the event of a dispute. 

However, many of these same contractors will overlook having a subcontract agreement in place for third-party subhaulers or what is called a subhauler agreement. If you hire a third-party to move a piece of heavy equipment or use someone to import/export material from a project, we recommend implementing a subhauler agreement. While this type of exposure will not affect the project once it reaches its final intended use (i.e., completed operations), it may have an impact during the construction phase. 

For example, if a street and road contractor needs to import or export material, they contact a subhauler to let them know that they will need two dump trucks running eight hours a day for one week. On the first day, they enter the jobsite and accidently hit a pedestrian because they are unfamiliar with project site. That individual will more than likely obtain legal representation and file suit against the subhauler who caused the bodily injury and will more than likely name the street and road contractor as well.

In order to protect and transfer the risk in the scenario above, we recommend working in conjunction with your legal counsel to establish a written subhauler agreement to include:

1. Scope of work

2. Indemnification – subhauler agrees to protect and indemnify contractor

3. Insurance requirements – general liability, workers’ compensation, commercial auto, excess/umbrella and pollution

4. Equipment and maintenance – subhauler must maintain its own equipment, pay for all related charges/expenses and ensure compliance with all regulatory requirements and licenses.

5. Safety – subhaulers are responsible for hiring qualified and safe drivers and show that they have protocols in place to monitor drivers.

In today’s legal environment, it is imperative that companies understand their potential exposure to risk. Those that can successfully implement and manage both their subcontract and subhauler agreements will not only protect the assets of their companies but also receive more favorable insurance pricing and improve their risk profile.

If you have questions about your subhauler risk, contact me at (619) 937-0167 or sclayton@ranchomesa.com. 

Workplace Etiquette Guidelines for New Employees and Those New to the Workforce

Author, Jadyn Brandt, Client Communications Coordinator, Rancho Mesa Insurance Services, Inc.

Starting a new job brings opportunities to learn and grow, but it also can be challenging for new employees to navigate if they are unprepared. Understanding proper office etiquette is key to finding success in the workplace. Office etiquette can include behaviors, communication styles, and social norms that can help maintain a respectful and efficient work environment.

Every workplace is different. So, to help new employees and those just beginning their careers, here are some essential office etiquette tips every employee should know:

1. Professionalism & Attitude

• Be punctual. Arrive on time for work, meetings, and deadlines.

• Take ownership. Follow through on tasks and meet commitments.

• Be adaptable. Welcome feedback and stay open to learning new things.

2. Communication Etiquette

• Use professional language and avoid slang. Be polite, clear, and concise in emails, chats, and meetings.

• Write effective emails. Include a subject line, greeting, and signature; proofread before sending.

• Be meeting-ready. Come prepared, avoid multitasking, and respect others’ time.

• Listen actively. Pay attention, don’t interrupt, and show understanding.

3. Respect & Collaboration

• Respect boundaries. Be mindful of personal space, noise levels, and others’ time to focus on their work.

• Work as a team. Offer help, share credit, and communicate openly.

• Handle conflict professionally. Address concerns calmly and privately.

4. Technology & Digital Conduct

• Follow company IT policies. Use devices and software responsibly and as directed.

• Keep it professional online. Maintain appropriate email signatures and chat messages.

• Limit distractions. Avoid excessive personal phone or social media use during work hours.

• Protect confidentiality. Do not share client or company information without permission.

5. Workplace Behavior & Environment

• Keep areas clean. Tidy up after yourself in shared spaces like the kitchen and restrooms.

• Be considerate of noise. Use headphones and maintain a respectful volume during conversations.

• Dress appropriately. Follow the company dress code and represent the company well.

• Use breaks wisely. Take appropriate breaks and be mindful of your schedule.

6. Office Culture & Participation

• Engage with the team. Attend meetings, trainings, and events.

• Understand the organization’s structure. Follow proper channels when communicating or escalating issues.

• Ask questions. Learning is encouraged and don’t hesitate to seek guidance.

• Don’t be the story. Represent the company professionally whether in person, by phone, or online.

• Be present. Turn your camera on and participate actively in virtual meetings.

• Stay accessible. Keep calendars and chat statuses updated.

In addition to this list, a Professional Etiquette online course is available through Rancho Mesa’s RM365 HRAdvantage™ Portal, and is a great resource for new employees or can be used to remind current employees of company expectations.

Practicing proper office etiquette is about more than just following the rules, it is a way to show respect and consideration for others. When employees communicate effectively and respectfully, behave professionally in person and online, and collaborate with coworkers, they help create a workplace where everyone can thrive. No matter where you are in your career, staying mindful of these guidelines can lead to a more productive and enjoyable work environment for you and your entire team.

Beyond Blood Sugar: How Diabetes Impacts Workers’ Compensation Claims

Author, Kevin Howard, Partner, Rancho Mesa Insurance Services, Inc.

November is National Diabetes month and a chance to pause and think about prevention, early detection, and long-term care. For companies, it is also a reminder that chronic health conditions can quietly influence safety, mental health, work performance and even workers’ compensation exposures.

A Closer Look at Diabetes

Diabetes is a long-term condition that affects how the body turns food into energy. When insulin is not produced or used properly, blood sugar stays too high and starts to damage blood vessels and nerves.

Roughly 38 million Americans live with diabetes, and another 97 million are in the pre-diabetic range. This is equal to one out of every three adults in the country. I am sure many readers including myself, are close to someone who is battling this condition. I am glad to shine some light on important details regarding diabetes and how this condition can create a worker’s compensation scenario/claim.

Crossing Into Workers’ Compensation

Most of the time, diabetes is considered a personal health issue. However, under California law, it can become compensable when credible medical evidence shows that job duties or an industrial injury worsened, triggered, or complicated the condition. A few examples of this include:

• A cut or puncture wound that heals slowly because of diabetes, delaying the employee’s return to work.

• A steroid prescribed for an accepted industrial injury that causes a diabetic episode.

• Rotating shifts or high-stress work that demonstrably throw off blood-sugar control.

• Foot or toe injury that has a heighted pain level if the worker is diabetic.

The standard test remains whether the condition arose out of and in the course of employment which is a decision that depends on medical documentation and timely reporting. Similar to any other claim scenario, the more information gathered, the better chance your carrier will have to determine if the condition worsened or arose from the course of employment.

What Supervisors Can Notice Without Diagnosing

For all business owners, supervisors and or safety directors are in a good position to spot potential trouble. Watch for employees who appear unusually tired, shaky, or disoriented, who take frequent breaks for water, or who suddenly have blurred vision. If you notice something is off, pause the task, call first-aid or 911 if necessary, and then notify HR or your claims contact. Do not try to label the condition; just keep the scene and your employee(s) safe.

Rancho Mesa’s Approach

Rancho Mesa  works with carefully selected workers’ compensation carriers and medical provider networks that understand complex health conditions like diabetes. Our in-house Claim Advocate, Jim Malone, brings deep field experience and a calm hand when claims become complicated. He assists clients and coordinates with adjusters and medical providers so cases move forward in full compliance with California regulations.

Four Practical Next Steps for your Team

1. Refresh supervisor training on health-related safety responses.

2. Make sure every manager knows how and when to deliver the DWC-1 form.

3. Double check that medical and personnel files are stored separately.

4. Reinforce wellness initiatives that make blood sugar management easier during work hours.

Diabetes is a complex pre-existing condition that can create complications with workers’ compensation claims. Like many other comorbidities, it can affect an employee’s recovery and overall productivity.

Reach out to me via email at khoward@ranchomesa.com to learn more about how Rancho Mesa’s approach can mitigate these challenges at your organization.

About the Author
Kevin Howard is a Commercial Insurance Broker at Rancho Mesa Insurance Services, Inc., specializing in risk management and insurance solutions for artisan contractors including solar, roofing, and other skilled trades. Based in San Diego, California, Kevin serves contractors throughout the Southern California region, helping them protect their businesses with tailored coverage and proactive support. His clients benefit from access to exclusive tools like the SafetyOne™ Platform, RM365 HRAdvantage™ Portal, and workers’ compensation claims advocacy services, designed to improve safety, streamline HR processes, and support better claims outcomes.