The Texas Oil & Gas Association’s (TXOGA) Workers’ Compensation Safety Group announced on May 28 that its member companies earned a collective $1.65 million safety dividend from Texas Mutual Insurance Company.
The financial reward recognizes the group’s efforts to minimize workplace injuries and maintain a low insurance loss ratio through corporate safety protocols.
TXOGA President Todd Staples said that the multi-million dollar payout is a direct reflection of an outstanding safety culture built by state oil and natural gas producers, who continue to treat workplace safety as a core operational value.
According to industry officials, the specialized group dividend is paid out to penalize risk and reward premium-paying members who actively utilize the safety training modules, regular workshops, and operational resources provided through the association’s partnership with Texas Mutual.
According to the announcement, these safety group rewards are managed independently from Texas Mutual’s broader, corporate-wide policyholder distributions. The insurance provider is currently on track to distribute $300 million in general dividends to qualifying businesses across the state this summer, meaning many participating TXOGA members will qualify to receive both financial payouts.
While the association has contributed to an estimated $39 million in total dividend payouts since its inception in 2001, association leaders said that all future performance dividends are never guaranteed and remain subject to approval by the Texas Department of Insurance.