What is a self-insured group?

Better Living Comp is a member-owned nonprofit offering unparalleled control to you, our member and owner, free from the profit-driven motives of conventional workers’ compensation providers. This empowers employers to take charge of their own coverage, ensuring that decisions are made in the best interest of the group and member-owners, not big insurance carrier shareholders.

For more than two decades, self-insured groups have revolutionized workers’ compensation in California, providing employers with a unique, cost-effective solution. By uniting with others in the same industry, employers create a member-owned nonprofit, governed by a Board of Trustees composed of their own peers setting policy in the members’ best interests.

With expert administration from The PATH Alliance, Better Living Comp delivers unmatched advantages: greater control, improved outcomes, lower costs, and most importantly—peace of mind. This is not just a smart business move; it’s a transformative approach to securing your company’s future.

For over 108 years, self-insurance has stood as a powerful, trusted alternative to traditional insurance—proving its reliability and security time and time again.

What are the benefits of
self-insurance?

Greater Control – Better Living Comp is owned, operated, and governed by the members.

Improved Outcomes – A program tailored for Specialty Trade Contractors ensures a close fit and alignment between the services provided and the members’ needs and business interests.

Greater Efficiency – Better Living Comp was created to serve its members using best practices shown to deliver an efficient and cost-effective program.

Improved Claims Results – Innovative claims programs that make sense for its members.

Lower Cost – Better Living Comp’s objective is to run an exceptional program at the lowest overall cost. As a nonprofit Better Living Comp rates cover actual costs without accruing profits for shareholders.

Peace of Mind – Better Living Comp is members serving members, so you can relax knowing your interests are top of mind. Better Living Comp cares about your business like it is our own, because it is!

Greater Control & Efficiency
Improved Outcomes & Claims Results
Lower Cost & Stability
Peace-of-Mind

Why Choose Self-Insurance

Self-insurance is a strategic option for business owners seeking greater control over their workers’ compensation expenses.

Self-insurance allows companies to directly manage claims, improve workplace safety, and potentially lower long-term expenses. With the guidance of PATH, over 100 employers have successfully transitioned to self-insurance, unlocking significant cost savings and gaining the ability to tailor their coverage to better meet their specific needs.

Who We Serve

carpentry

plumbing

electrical

hvac

landscaping

painting

concrete

framing

Why Self-Insured Groups (SIGs) are a Smart Alternative for Workers' Compensation

Better Living Comp offers several advantages over traditional workers’ compensation insurance for safety-minded contractors, particularly those looking for more control and potential cost savings. Here is how: 

Self-insuring your workers’ compensation provides unparalleled control over the entire claims process, driving efficiency and cost savings. As a member owner, you have direct access to key professionals—claims adjusters, attorneys, underwriters, and executives—ensuring transparency and alignment with your company’s values. By having the right people in place, you can reduce costs, ensure employees receive prompt care, and get them back to work quickly, minimizing disruption.

This degree of control not only lowers claims costs and litigation but also fosters a healthier workplace culture, leading to greater employee loyalty. Additionally, resources like private investigators can be used to combat fraudulent claims, ensuring the integrity of the process. Being self-insured ultimately maximizes efficiency and strengthens both your workforce and your bottom line.

Unlike traditional insurance models where claims are managed by third-party insurers, self-insurance allows businesses to oversee and customize how claims are handled. This often results in faster claim resolution, as employers can focus on early intervention, injury prevention, and timely medical treatment. This close involvement of the company in the claims process also fosters stronger communication between the employer, injured worker, and healthcare provider, leading to more accurate and proactive claims management.

Self-insured employers are incentivized to focus on safety and risk management, lowering both the frequency and severity of claims, leading to quicker return-to-work outcomes and fewer long-term claims. By prioritizing efficient care and minimizing delays, self-insurance simultaneously benefits both the company and the well-being of their employees.

With direct control over claims outcomes, self-insured employers can significantly reduce costs and achieve greater rate stability. Unlike traditional insurance, where premiums fluctuate due to market conditions and insurer profit margins, self-insured groups avoid these external factors altogether.

Additionally, in a self-insured group if a member’s loss ratio increases, the emphasis is on reducing and maintaining lower losses rather than simply raising premiums. This strategy encourages members to report claims in the best interest of their employees, without fear of automatic premium hikes. By prioritizing support and solutions over penalties, self-insurance fosters a healthier, safer work environment along with greater rate stability than the traditional market.

Self-insuring workers’ compensation offers peace of mind by giving employers greater control over their claims management process, costs, and outcomes. Unlike traditional insurance models, where premiums are unpredictable and claims handling is outsourced to third-party administrators, self-insurance allows businesses to directly manage their claims. This control enables faster claim resolution, better communication with injured employees, and more efficient care, all of which contribute to a smoother and more transparent process.

Moreover, self-insured employers are not subject to the unpredictable premium fluctuations driven by market conditions or insurers’ financial performance. Instead, they can establish more consistent, stable rates over time by focusing on safety, risk management, and injury prevention. Knowing that claims will be handled with a focus on employee well-being and financial stability gives employers the reassurance that they are doing right by their workers, while also protecting their bottom line. This comprehensive approach provides long-term stability and reduces uncertainty, offering peace of mind to both employers and employees alike.