Safety Investment ROI Calculator

Safety Investment ROI Calculator

Quantify the financial return of workplace safety investments

Input Parameters
1
incident(s)
0 1 2 3 4 5
$
$
Financial Impact
Workers' Compensation $0
Insurance Premium Reduction $0
Administrative Hours Eliminated $0
Total Annual Savings
$0
Investment Comparison
Prevention Cost (Safety System) $0
Cost of One Incident $0
Executive Summary
Calculation Methodology

This calculator uses industry-standard cost components derived from OSHA, National Safety Council (NSC), and insurance industry data:

  • Workers' Compensation: 45% of total incident cost (direct medical expenses, wage replacement, rehabilitation costs)
  • Insurance Premium Reduction: 25% of incident cost per incident avoided (based on experience modification rates)
  • Administrative Hours: 8 hours at $75/hour per incident ($600) for incident investigation, documentation, OSHA reporting, and compliance activities

Default incident cost of $50,000 represents the industry average for workplace falls, including direct costs ($48,575-$54,499) plus indirect costs such as lost productivity, training replacement workers, and potential litigation exposure.

Disclaimer

This calculator provides estimates based on industry averages and should be used for planning purposes only. Actual costs vary by industry, location, insurance carrier, injury severity, and organizational factors. Users should consult with their insurance providers, safety consultants, and financial advisors to determine costs specific to their operations. This tool does not constitute financial, legal, or safety advice.