Workers Compensation Rates Throughout the Years: How Your Expenses Stack Up
The healthcare profession has had a lot of attention in this country, and the disparity between the rates of service has been linked to practically every argument about how to compensate doctors while protecting patients as well. Each side claims they're getting the short end of the stick, and the whole debate becomes very tiresome to both citizens and politicians alike. Workers compensation rates are directly tied to to not just how long your employees aren't able to work, but how much each injury costs insurance.
It's rare, but sometimes people lose limbs while they're on the job in high-risk working conditions. More commonly, people are more likely to claim chronic back pain due to sitting in an air-conditioned office typing at a desk for 8 hours a day. Whatever threats are you on your plate, you should know there are doctors out there who see workers compensation cases primarily as an income booster, and they'll encourage people's claims in ways they shouldn't. These doctors get the same referrals from the same attorneys in the area, and proceed to perform tests and give out excessive disability time. This ultimately doesn't help the worker because the motivations are centered around greed and not the patient's actual health. Both the lawyers and medical professionals involved have no reason to complain, but the insurance companies and legitimate doctors in the area are hurt by this as well.
This is why rates will vary in different states depending on how your insurance model works. If your employee visits a doctor and is refused treatment, then your state probably has extremely low reimbursement rates for the hospitals. Legitimate doctors are also turned off by the time delay it takes for someone to review the bill and sign off on the services as well. Having someone perform this service also costs additional funds, which can bring up the rates for the wrong people. Some have proposed that it would actually work better to have more of a network of approved doctors like a group health care plan. This way certain treatments can be pre-authorized and rates could become more standardized.
In states where there have been major reforms, like California, there has been a significant decrease in premiums. If you're wondering how your rates stack up, your best bet is to keep up with how well your state is doing at managing the laws. If you have seen your premiums only decreasing over the years, then your state is likely implementing better plans to stave off fraud and eliminate intense (and costly) bureaucratic procedures. Workers compensation rates, like the cost of medical care, see huge differences depending on the area.