Pinnacol Policyholders Reap Benefits from Ease of Doing Business ...

First Quarter 2007
Safety Training,
Materials for
Non-English-Speaking
Employees
page 6
Self-Service Options,
New Menu Improve
Pinnacol’s Phone System
page 6
New Return-to-Work
CD-ROM Available
page 6
Pinnacol Announces
2007 Rate Reduction
page 7
Pinnacol Policyholders
Reap Benefits from
Ease of Doing
Business Initiative
1

Focus is published quarterly for
Pinnacol Assurance’s policyholders.
Pinnacol
Assurance’s
Phone Listing
Please have your policy
number ready when you call.
Toll Free
1-800-873-7242
Telephone Relay Service
1-800-659-2656
Claims Reporting Fax
1-888-329-2251
Fraud Hotline
Toll Free 1-800-873-1888
Report workplace injuries
immediately by going to
www.pinnacol.com and clicking
on “Pinnacol ServiceLink.”
President’s Message
Improvements Help Raise Customer
Satisfaction
Because Pinnacol Assurance is always looking for ways we can improve, we regularly ask our
customers about their interactions with us. In recent years, feedback from agents and policyholders
indicated that we were not easy to do business with, especially when compared to many
of our competitors – so we took action.
In 2006, we established a new corporate strategic theme – Ease of Doing Business (EODB) –
that focused on being more flexible and streamlined, with the goal of saving time and
eliminating inconveniences for our customers. Since we launched EODB, more than 30 underwriting
and policy management-related areas have undergone improvement, including our
installment plan options, payroll reporting form, and invoices. You can read more about these
and other EODB initiatives in this issue of Focus.
Have our efforts made a difference? We think so. One indication is our recent customer satisfaction survey results. The
results of our 2006 Policyholder Service Quality Survey show that Pinnacol received our highest-ever rating of 8.9 out of
10 points for overall customer satisfaction, which is significantly above the nationwide insurance industry norm of 8.2
and up from our 2005 score of 8.7. Survey respondents also gave Pinnacol a 9.0 rating on the likelihood of renewing their
policies, an all-time high mark for the company.
Few companies in any industry receive customer satisfaction scores as high as ours, and we couldn’t have achieved such
high numbers if not for our employees. Their focus on meeting customers’ needs, combined with all the services Pinnacol
provides, has clearly had a positive impact.
One example of that impact comes from Ted Roach, a Pinnacol policyholder and small business owner, who has benefited,
firsthand, from our EODB efforts (see story on page 3). With a seasonal cash flow, he struggled to pay his policy premium
in one lump sum – so we designed a payment plan that fit the seasonal nature of his business.
Although our EODB efforts have made a difference so far, there’s more to be done – so we are expanding these initiatives in
2007 and beyond. Ultimately, we want our policyholders, injured workers, and agents to acknowledge that we are easy to do
business with.
Business Update
2007 “Ease of
Doing Business”
Update
Last year, Pinnacol Assurance launched our Ease
of Doing Business (EODB) initiative aimed at
addressing feedback from customers, who said
that our paperwork requirements and other
processes were too cumbersome. Here’s a quick
overview of the improvements we’ve implemented
so far:
• Shorter Applications with Flexible Upfront
Deposits – We’ve cut our application
supplement in half.
• More Flexible Installment Plans – We’re helping
policyholders adjust their payment schedules to
meet their business needs (see story on page 3).
2
• Redesigned Safety Questionnaire – The new
“risk profile” saves policyholders time and
eliminates redundant paperwork.
• One-Time Independent Contractor Forms –
These forms are now required only once for the
lifetime of the policy, unless a change occurs.
• Streamlined Invoices – Our invoices are
shorter and contain better information on
payment plans, audits, and monetary disbursement
options.
• Streamlined ERM 14 Form (Change in
Ownership) – Policyholders now receive this
form with many of the fields automatically filled
in by our system.
• E-Signatures Acceptable – Our system now
accepts electronic “signatures” for new business
applicants and electronic fund transfer (EFT)
payments, eliminating the need for faxed
signatures.
• More Efficient Payroll Reporting – A
streamlined form, available online at Pinnacol
ServiceLink, makes payroll reporting simpler
and quicker for policyholders.
• Reduced Deposits with New “Pinnacol Pay
Partners” – Under certain circumstances, there is
now no deposit required when a Pinnacol policyholder
reports actual payroll instead of estimated
payroll.
• Provider Designation Over the Phone –
Policyholders can now designate medical
providers from Pinnacol’s SelectNet network by
completing the written form or by calling their
underwriter or our customer service team.
• Phone System Upgrade – Calls are answered
faster, our Automatic Call Distribution (ACD)
system does a better job of transferring calls to
the right person, and we’re enhancing our menu
options to include Spanish and self-service
options (see story on page 6).
cont. on page 6 >>

Feature Story
Flexible Premium Payments
Help Painting Contractor Deal
with Colorado’s Seasons
IT ALL BEGAN WITH A PAINT JOB – and a
conversation.
When Pinnacol Assurance Associate Vice
President Debby Magures needed to have her
house painted last summer, she asked around for
recommendations. A friend suggested that she call
Ted Roach, who owns Executive Painting in
Wheat Ridge, Colo. Magures hired Roach to do
the job.
While work progressed, Magures and Roach
began to chat. She learned that he had been a
Pinnacol policyholder since 1986; the two also
discussed some of the problems he faces as a small
business owner.
As anyone working in the outside trades
(painting, construction, etc.) in Colorado can tell
you, the weather and the elements are a constant
battle. Roach normally has two employees, but the
seasonal nature of his business – heavier in the
summer months – makes it hard for him to retain
good help. And, because his cash flow is so
seasonal, paying his workers’ comp premium in
one lump sum in January – the worst time of the
year – was problematic.
Roach mentioned casually that it would be helpful
if he could spread his premium payments over the
summer months, when his business is thriving.
“I listened to Ted and realized that this was exactly
the type of problem that Pinnacol’s Ease of Doing
Business (EODB) initiative was designed to solve,”
said Magures.
Magures then spoke with Jennifer Konecny, the
Pinnacol underwriter who handles Executive
Painting’s policy. Konecny knew that flexible
installment plans were one of the key objectives of
the EODB program; she told Magures, “I think we
can help him.” Konecny contacted Roach and
talked to him about a payment plan that would fit
the seasonal nature of his business.
When Executive Painting’s policy came up for its
2007 renewal, Pinnacol presented Roach with a
pleasant alternative. Konecny had redesigned his
premium payments: a modest re-installment fee
in January and the bulk of his payments spread
over June, July, August, and September – Roach’s
busiest months of the year.
“It’s a huge help to me,” said Roach. “In January, I
just don’t have that kind of cash lying around, so
that lump payment was always a struggle. I’m
impressed that Pinnacol took the time to
understand my business and come up with a plan
that works for both of us.”
Konecny encourages other policyholders to talk
with their underwriters about flexible payment
options, as well as other ways that Pinnacol can
make policyholders’ lives easier while meeting
their workers’ compensation needs.
“Pinnacol’s Ease of Doing Business initiative is
about actions, not just words,” said Konecny. “If
there’s a way we can help you, we’ll get it done.”
Jennifer Konecny, Pinnacol underwriter, and Ted Roach, owner of Executive Painting, discuss his redesigned payment schedule.
3

Reporte las
lesiones
inmediatamente
Minor injuries can become long-term problems.
Get medical attention now.
Las lesiones menores pueden crear problemas de largo plazo. Reciba
atención médica de inmediato.
Workplace accidents have a serious financial impact on families.
Report the injury so you can get needed medical care and
return to work quickly.
Los accidentes de trabajo tienen un fuerte impacto financiero en las
familias. Reporte la lesión para que reciba la atención médica necesaria
y podrá reincorporarse al trabajo más rápido.
POST9 11/06
Tell your employer what caused the accident so that your
co-workers don’t get hurt.
Diga a su empleador qué causó el accidente para que sus compañeros
de trabajo no se lastimen.
1-800-873-7242 www.pinnacol.com

Pinnacol Foundation
Scholarships
Available for
Injured Workers’
Children
The Pinnacol Foundation is accepting college
scholarship applications now through March
31, 2007, for the 2007-2008 school year. To
qualify, a student must be the natural child,
adopted child, or stepchild of a worker killed
or seriously disabled in a compensable workrelated
accident while employed by a
Colorado-based company, regardless of
insurance carrier. For more information, call
303-361-4775 or visit
www.pinnacol.com/foundation.
A traumatic construction accident left Ron Offerson
permanently disabled and unable to work. With the help
of a scholarship from the Pinnacol Foundation, his
daughter, Aspin, graduated from college in June.
Safety/LossPrevention
Safety Training,
Materials for
Non-English-
Speaking
Employees
Spanish-speaking workers now comprise
about 16 percent of Colorado’s workforce.
While safety training for these employees does
present challenges, the cost of injuries can’t be
ignored. One Spanish-speaking employee of a
Pinnacol Assurance policyholder who was
severely injured on the job (in part due to
inadequate safety training) incurred claims
costs of close to a quarter of a million dollars.
The policyholder’s premium then increased by
71 percent.
6
cont. on page 7 >>
>>‘2007 “Ease of Doing Business” Update’ cont. from page 2
We’re planning further improvements for 2007
(including a new and improved Benefits
Information Kit for injured workers), which we’ll
report on in future issues of Focus. And, as always,
we appreciate your feedback! If you’d like to learn
how to take full advantage of our EODB improvements
– or have a suggestion that would make it
easier for you to do business with Pinnacol –
contact your underwriter or our customer service
team at 303-361-4000 or 1-800-873-7242.
Business Update
Self-Service
Options, New
Menu Improve
Pinnacol’s Phone
System
What do self-help options, Spanish menu prompts,
and driving directions have in common? They’re
all new features of Pinnacol Assurance’s phone
system, which we’re constantly improving to
provide better service to our customers.
Here are some of the new features you’ll experience
if you call 303-361-4000 or 1-800-873-7242:
• Policyholder self-help options (available 24 hours
a day, seven days a week), such as checking
policy-payment receipt and claim status
• Injured worker self-help options (available 24
hours a day, seven days a week), so workers can
check the status of a mileage reimbursement
check or wage replacement check
• New menu options in both English and Spanish
• General Pinnacol information options, such as
business hours and directions, our billing address,
and our policy payment address
In addition to these upgrades, internal process
changes enable customers to talk to the right
person the first time – rather than being
transferred to multiple people.
This is just one of many ways we’re making it
easier for you to do business with Pinnacol. Need
help or have questions? Call us at 303-361-4000 or
1-800-873-7242.
Safety/Loss Prevention
Loss Prevention
CD-ROM
Pinnacol’s popular and comprehensive Loss
Prevention CD-ROM is an easy way to get all the
information you need to keep your employees safe
and your workers’ comp costs down. You can
access this CD through Pinnacol Online. After
signing in, just look for the Loss Prevention
Services headline on the upper right-hand side of
the screen.
If you don’t have a Pinnacol Online user ID, visit
www.pinnacol.com/polregfo.pdf to download a
registration form. Pinnacol Online gives you
instant access to your policy and claim
information and allows you to run a variety of
reports.
Return-to-Work
New Return-to-
Work
CD-ROM
Available
Having a returnto-work
(RTW)
program in place –
including a modified-duty
component – benefits you and
your employees. Policyholders that offer
modified duty to injured workers save money by:
• Speeding their injured workers’ medical recovery
• Reducing claims costs
• Holding down premiums
In addition, most injured workers are eager
to get back to work and make a contribution.
A RTW program helps promote employee morale
and a sense of job security.
Pinnacol now has a free Return-to-Work CD-
ROM packed with information to help employers
bring injured workers back to work. It offers clear,
easy-to-understand explanations and step-by-step
instructions for:
• Creating a RTW policy for your company
• Designing modified-duty tasks
• Completing the formal modified-duty job-offer
process

To make it even easier, the CD-ROM includes
more than 50 downloadable files, including a 20-
page Employer’s Guide to Return-to-Work booklet;
a RTW policy sample; sample letters
for employees and medical providers; and lists of
modified-duty jobs and tasks covering more than
40 industries.
The Return-to-Work CD-ROM is free to all
Pinnacol policyholders. To order it, call customer
service at 303-361-4000 or 1-800-873-7242, or
visit www.pinnacol.com/employers. Click on “Loss
Prevention” and then on “Return-to-Work CD.”
Safety/Loss Prevention
Mark Your
Calendar for
2007 Safety
Events
Pinnacol Assurance is again sponsoring two
important Colorado safety events. We encourage
policyholders – in particular, management
personnel who are responsible for safety programs
and procedures – to attend.
SafetyFest of the West –
March 21-22, 2007
SafetyFest of the West provides low-cost safety
training in English and Spanish to construction
personnel, as well as an advanced safety course
called Focused Advanced Supervisor Training
(FAST) to help foremen, supervisors, and safety
personnel provide safety leadership on the job site.
There’s also an exhibition featuring vendors of
safety supplies and materials. Visit the SafetyFest
Web site at www.safetyfest.org for information
and to register for the event.
The Rocky Mountain Health
and Safety Conference and Expo –
April 24-25, 2007
Hosted by the Colorado Safety Association, this
annual event is the largest safety conference in
the Rocky Mountain region. The seminar
program features safety experts from around the
country, and the exposition showcases a wide
variety of safety vendors. Pinnacol policyholders
receive a 10 percent discount on their registration
fee. For more information and to register, visit
www.coloradosafety.org.
Safety/Loss Prevention
Tips on Avoiding
Slips, Trips, and
Falls
The National Safety Council estimates that,
nationwide, workers’ compensation and medical
costs associated with employee slip and fall
accidents are approximately $70 billion per year.
Even more disturbing, slips and falls are the
leading cause of death in the workplace and cause
more than 20 percent of all disabling workplace
injuries. As a result of Colorado’s recent
snowstorms, Pinnacol has seen a jump in the
number of slip, trip, and fall claims reported.
You can help educate and protect your employees
from these types of accidents by viewing Pinnacol’s
Slips, Trips, and Falls PowerPoint presentation.
Visit www.pinnacol.com/employers/loss
prevention and click on “Slips, Trips and Falls
PowerPoint.” This four-minute presentation is full
of tips about how to be safe during snowy
conditions as well as general information about
avoiding slip, trip, and fall injuries.
Corporate News
Pinnacol
Announces 2007
Rate Reduction
For 2007, Pinnacol is decreasing rates overall by an
average of 9 percent. This decrease is due in part to
the frequency of workplace accidents decreasing in
each of the past five years, including 2006.
Bear in mind that the 9 percent decrease is an
average and may be higher or lower based on class
codes and classifications. Some policyholders, with
an increasing experience modifier, may see
premium increases because of accident history or
payroll growth. With Colorado's improving
economy, many companies have hired more
employees, which raises their total payroll amount
and thus their workers' compensation premium.
But while some policyholders' premiums may go
up, the good news for Colorado overall is that
employers are hiring and workers' comp rates are
continuing to come down.
If you have any questions about this rate change,
please contact your agent or your Pinnacol
underwriter.
>>“Safety Training, Materials for Non-English-Speaking Employees”
cont. from page 6
Pinnacol offers many free bilingual safety
training materials, including posters, training
booklets, and paycheck stuffers. (Our latest
bilingual safety poster, “Report Injuries
Immediately,” is included in this issue of Focus.)
Our safety consultants are also available to help
you with effective employee training. To order
these materials or to speak with a Pinnacol
safety consultant, call us at 303-361-4000 or
1-800-873-7242.
We also offer a free policyholder safety seminar
titled “Effective Training for All Employees”
that teaches proven safety training methods for
English and non-English-speaking employees.
This seminar will be held twice in 2007:
Wednesday, May 30, 8 a.m. to 11 a.m., at
Pinnacol’s Denver offices; and Tuesday,
August 14, 8–11 a.m., at the Doubletree Hotel
in Colorado Springs. To attend, please register
online at www.pinnacol.com/employers/
semlist.html or call 303-361-4776.
Safety/Loss Prevention
Pinnacol, Red
Rocks Community
College, and
OSHA Host Free
Seminar
Pinnacol Assurance is partnering with Red Rocks
Community College and the Occupational Safety
and Health Administration (OSHA) to present a
free seminar focusing on OSHA recordkeeping
and workers’ compensation cost containment.
The class is divided into two parts. OSHA
compliance assistance specialists will teach part 1,
“OSHA Injury and Illness Recordkeeping.” Part
2, “Timely Reporting Saves Workers’ Comp $,”
will be taught by Pinnacol safety consultants.
This free class is scheduled for Wednesday, March
14, from 8:30–11:30 a.m. at Red Rocks
Community College, Lakewood Campus, 13300
W. 6th Ave., Lakewood, CO 81004. To register,
contact George Flynn at flynn.george@dol.gov or
303-843-4500, extension 132.
7

Corporate News
Supporting the
Community
Pinnacol is proud of our efforts
to support the community. Our
newly published Community
Involvement Report shows how
these efforts not only benefit people in need,
but also help Pinnacol improve employee
satisfaction, customer service, and our business
relationships. Here are a few highlights from
the report:
• In 2005 and 2006, Pinnacol employees
volunteered 7,000 hours to organizations such as
9Health Fair, Big Brothers and Sisters of
Colorado, and Adopt-A-Spot.
• In these two years, employees also donated more
than $143,000 to the United Way, Community
Health Charities, and victims of Hurricane
Katrina and the Asian tsunami.
• In addition, the Pinnacol Foundation awarded
$237,000 in college scholarships over the last two
years to children of injured workers.
If you’d like a copy of the report, please call
our customer service team at 303-361-4000 or
1-800-873-7242.
In addition to learning about Pinnacol’s
community outreach efforts, we’d also like to invite
you to support these efforts by telling others about
the Pinnacol Foundation scholarship program and
helping us attract more applicants. To learn more
about the Foundation, go to www.pinnacol.com/
foundation or contact Elizabeth Starkey, program
manager, at 303-361-4775.
Managing Claims
What Is
“Subrogation”?
Subrogation means “to substitute.” In workers’
compensation, subrogation occurs when a third
party – someone other than the injured worker
or the employer – is responsible for the injury.
In these cases, Pinnacol Assurance can legally
substitute itself for the injured worker to recover
claims costs from the third party.
Subrogation is common with on-the-job
automobile accidents in which a third party – the
other driver – causes the accident. While Pinnacol
must pay benefits to the injured worker, we use
subrogation to attempt to recover benefits costs
from that driver and/or the driver’s insurance
company. Another example might be going after
an equipment manufacturer if an equipment
malfunction causes an injury.
Recovering claims costs helps hold down the
policyholder’s premium. For this reason, Pinnacol
aggressively pursues third parties that we believe
bear responsibility for workers’ injuries.
What You Can Do
If one of your employees is injured and a third
party may responsible, document everything. Take
pictures of the accident scene as soon as possible.
Also preserve any evidence, such as a broken piece
of equipment. And – as with any injury – contact
Pinnacol immediately.
If you have any questions about subrogation, contact
your agent or call Pinnacol’s customer service team
at 303-361-4000 or 1-800-873-7242.
Upcoming Policyholder
Seminars
March
March 13: Office
Ergonomics/Train
the Evaluator
8 – 11 a.m.
Fort Collins,
Hilton Hotel
March 14: Accident
Investigation and
Analysis
8 – 11 a.m.
Denver, Pinnacol
Assurance
March 20: Modified Duty:
Identifying Tasks
and Developing
Programs
8 – 10 a.m.
Denver, Pinnacol
Assurance
March 21: OSHA 10-Hour
Construction
8 a.m. – 8 p.m.
Durango,
Doubletree Hotel
March 28: Domestic and
Workplace
Violence
8 a.m. – Noon
Denver, Pinnacol
Assurance
April
April 3 & 4:OSHA 10-Hour
Construction
April 3:
8 a.m. – 5 p.m.
April 4:
8 a.m. – 1 p.m.
Pueblo, Pueblo
Convention
Center
April 18: Safety Program
Development
8 a.m. – Noon
Grand Junction,
UTEC
May
May 3:
Modified Duty:
The Formal
Job-Offer Process
8 – 10 a.m.
Sterling, Ramada
Inn
May 17: Modified Duty:
Identifying Tasks
and Developing
Programs
8 – 10 a.m.
Fort Collins,
Hilton Hotel
May 30: Effective Training
for All Employees
8 – 11 a.m.
Denver, Pinnacol
Assurance
To register for a seminar,
contact Rachel Morley at
303-361-4776 or go to
www.pinnacol.com/employers
/semlist.html.
The 2007 Policyholder
Seminar Schedule, which is
included in this issue of
Focus, contains a complete
listing of 2007 seminars.
Please pass the schedule on
to your company’s safety
manager. If you have ideas
for future seminar topics,
call 303-361-4776.
7501 E. Lowry Blvd.
Denver, CO 80230
PRSRT STD
U S POSTAGE
PAID
DENVER CO 80203
PERMIT NO. 680