Why Emotional Intelligence Is a Strategic Advantage in Workers’ Compensation

In the workers’ compensation (WC) industry, we often talk about risk, compliance, claims ratios, and outcomes. But beneath those metrics is something far more personal, human emotion. The truth is, every claim represents a person navigating pain, fear, frustration, or even shame. And how we show up in those moments as leaders, professionals, and organizations makes all the difference.

That’s where emotional intelligence (EI) comes in.

Recently, I had the pleasure of speaking alongside Brittney Parr, MBA, MPS-ODC in a webinar focused on emotional intelligence in the WC space. As someone who’s been in this industry for decades, I can confidently say: emotional intelligence isn’t a “soft” skill anymore, it’s a strategic imperative. You may watch the replay here.

What Is Emotional Intelligence?

EI is the ability to recognize, understand, and manage our own emotions, as well as recognize and influence the emotions of others. The five core components are:

  1. Self-awareness – Understanding your emotional triggers and how they impact your behavior.
  2. Self-regulation – Managing your responses, especially under stress or pressure.
  3. Social awareness – Reading the room and responding with empathy.
  4. Relationship management – Navigating conversations and conflicts with trust and clarity.

When applied to workers’ compensation, these elements are not just nice to have—they improve outcomes.

Why Emotional Intelligence Matters in Workers’ Compensation

Let’s face it: claims handling is emotional work. Injured workers are often scared, uncertain, or in pain. Their ability to recover isn’t just shaped by medical treatment, it’s deeply affected by how we treat them.

Here’s what we’ve seen in emotionally intelligent WC programs:

  • Lower litigation rates – Empathy and clarity reduce the desire to “lawyer up.”
  • Faster claim resolution – When trust is built, information flows more freely.
  • Better return-to-work outcomes – Emotionally supportive conversations motivate recovery.
  • Improved employee retention and culture – Particularly relevant in today’s labor market.

I’ve seen firsthand how EI can transform not only the injured worker experience but also the culture within the claims department. Brittney shared that over 60,000 thoughts run through our minds daily and without intentionality, 80% of those are negative. Imagine how that mental noise plays out when someone is injured, anxious, and unsure what comes next.

This is where the concept of amygdala hijack comes in—when the brain’s emotional processing center overrides rational thinking, triggering an intense, often disproportionate emotional response. It can lead to impulsive actions, clouded judgment, and a heightened fight-or-flight reaction. For claims professionals, understanding this dynamic is critical when engaging with people under stress.

The Human Behind the File

One of the most powerful models Brittney discussed was the “stop and shift” model: the ability to pause when triggered, examine your thoughts and emotions, and choose a response aligned with your values. This alone can change the trajectory of a difficult conversation.

She also offered a simple yet profound exercise: choosing three words that define the kind of leader—or human—you want to be. Mine? Intentional. Compassionate. Clear. These words guide how I lead my business, show up in meetings, and even in personal moments.

And just like physical exercise strengthens the body, this practice strengthens the mind. Each morning, identify your three words. Throughout the day, look for opportunities to embody them. Then in the evening, reflect—how did you do? Start with three days a week. Build consistency. Over time, aim for all seven. It’s a small shift that can create lasting impact.

Leading with EI—Not Just Managing

This goes beyond frontline adjusters. As CEOs and leaders, we set the tone. Our belief in emotional intelligence shapes hiring practices, leadership development, and how we talk about people across the organization.

EI isn’t just a claims tactic; it’s a leadership standard. And in a space as deeply human as workers’ compensation, that standard must be rooted in empathy, self-regulation, and aligned motivation.

It’s also important to acknowledge the emotional toll on claims professionals themselves. This is tough, often thankless work. Day in and day out, professionals in this field bear witness to people at their most vulnerable grappling with pain, uncertainty, and, at times, anger. Over time, it’s easy to become jaded, especially when confronted with complex claims, system inefficiencies, or individuals who may not be operating in good faith.

But here’s the truth: cynicism is not a sustainable strategy. It erodes empathy, undermines trust, and slowly chips away at the very reason most of us came into this field, to help people.

We have a choice in how we show up. Every interaction is a moment to either reinforce distrust or to rebuild dignity. By choosing to focus on those we’re truly helping—the vast majority who are simply trying to recover and return to their lives—we reaffirm our purpose. We ground ourselves in what’s within our control: our mindset, our approach, our intent.

That mindset shifts from suspicion to service, from burnout to boundaries, from fatigue to focus—matters. It’s how we protect our emotional well-being while staying connected to the heart of the work. It’s not about ignoring the challenges or pretending all claims are clean. It’s about choosing to lead with integrity, humanity, and a clear-eyed commitment to impact.

Final Thought: Start with Self

Whether you’re leading a team or an organization, emotional intelligence starts with you. It starts with how you respond under pressure, how you listen, and how you choose to be present. Because when leaders embrace EI, they don’t just build better teams, they build better outcomes.

Let’s remember we are in the business of helping people through some of the hardest moments of their lives. And that requires more than process. It requires heart.