What's Happening?
A report from the Workers Compensation Research Institute indicates an increase in medical costs per claim across 18 U.S. states. This rise follows a period of stability post-pandemic and is driven by
increased medical utilization, prices, and updates to state fee schedules. Notable increases were observed in California, Delaware, Pennsylvania, and Wisconsin, with factors such as fee schedule adjustments and price increases contributing to the trend.
Why It's Important?
The rise in workers' compensation medical claims impacts businesses and insurers, potentially leading to higher premiums and operational costs. It reflects broader economic pressures, including inflation and healthcare costs, affecting the financial stability of companies and the affordability of insurance for workers. Understanding these trends is crucial for policymakers and industry stakeholders to address the underlying causes and mitigate financial impacts.
