About RTW®

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About RTW®

A revolutionary approach to medical costs and absence

Changing how organizations manage injured workers

To understand workers' compensation at State Auto and RTW, you first need to understand the history of workers' compensation.  

Workers’ compensation was created over 100 years ago to provide a “sole remedy” solution to employees injured on the job.  Unfortunately, the solution created its own problems as the management of claims lacked accountability and trapped injured employees in the disability “system.”

In later years, escalating costs and rates steered the system toward collapse.  Seeking to better understand the problems facing the workers’ compensation system, RTW’s founders began studying the system in the early 1980’s.  Through extensive research on workplace, medical and legal issues, they discovered the following:

  • 15% of the injuries generated 80% of the system costs
  • Many of those in the 15% had personality traits resulting in an addiction to the system
  • Some of those in the 15% did not cope well with a serious personal or family issue
  • Despite similar injuries, the speed of recovery and return-to-work differed
  • Injured employees away from work beyond 12 weeks had only a 50% chance of ever returning to the workforce
  • Rapid return-to-work was the best intervention
  • Traditional insurance products and services failed to address those needs or the source of the problem


New methods cut costs in half

RTW identified the need for a non-traditional approach to address the problems observed in the workers’ compensation study.  They began a pilot program with companies to incorporate a new methodology.  Over the next 12 months, licensed nurses were used to manage their injured employees. 

As a result, workers’ compensation costs were reduced by over 50% that first year. 

Interestingly, a cultural change also took place, as injured employees more quickly returned to their normal duties or transitional jobs that conformed to their physician-defined capabilities.

The foundation of RTW was based on the lessons we learned.  We built an insurance company and a consulting division to deliver our services. When State Auto and RTW combined, we brought our expertise to all aspects of State Auto workers' compensation - including our debit mod niche. Today, RTW is part of the State Auto Insurance family, working together to provide workers' compensation that's a true solution to rising medical costs, chronic pain and unnecessary lost time.   


Our products today

The State Auto/RTW solution applies our unique claims management approach to each segment of our workers' compensation business.