Indiana Injured Worker Medical Costs Rising: WCRI

The costs per claim of medical care for injured workers in Indiana were higher than most states and growing faster, according to a new 16-state report from the Workers Compensation Research Institute (WCRI).

The study, CompScopeMedical Benchmarks for Indiana 14th Edition, found the main reason for higher medical payments per claim was higher and growing prices, like other states with no price regulation. Lower to typical utilization of medical care helped to offset the higher prices paid.

Higher costs per claim for hospital care were an important factor in the higher overall medical costs per claim in Indiana, especially for outpatient services. Hospital payments were among the highest of the study states, at nearly $12,000 per 2010 claim evaluated in 2012. Higher prices and inpatient payments were the main reasons for that result.

The study noted that recent legislation in Indiana addressed hospital costs, a key driver of higher medical payments, by enacting a hospital fee schedule, effective in 2014.

“Future studies will help policymakers measure the effectiveness of the reforms on the costs and growth of medical care for injured workers in Indiana,” said Ramona Tanabe, WCRI’s deputy director and counsel.

Medical payments per workers’ compensation claim in Indiana grew 8 percent per year, on average, from 2006 to 2011, faster than in other states.

Paste the following link in your browser to purchase a copy of the study: http://www.wcrinet.org/result/csmed14_IN_result.html.

A webinar on this report will also be held on April 17, 2014. For more information visit: http://www.wcrinet.org/4.17.14_webbriefing_More.html.

Source: WCRI