Multistate Comparisons, 1994-2000.
on the CompScope™
benchmarks, WCRI found wide variations in benefit payments and costs
per claim, timeliness of payments and litigiousness, suggesting wide
variations in performance for similar claims.
comprehensive tool to help manage change, CompScope™ provides the
most meaningful comparisons currently available for more than 60
system performance measures for twelve major states. These states
Connecticut, Florida, Georgia, Illinois, Indiana, Massachusetts, North Carolina,
Pennsylvania, Tennessee, Texas
about 50 percent of the nation’s workers’ compensation benefit
payments. Using this tool can help policymakers and others benchmark
state system performance or a company’s workers’ compensation
program, assess the effectiveness of policy changes and identify
important trends. The comparisons are more meaningful than those
commonly seen, because they measure how different systems would
perform if a similar set of claims were dropped into each system.
reference book provides information on two questions central to
study used data from WCRI’s Detailed Benchmarking/Evaluation
database containing over 10 million claims from 1994 through 2000.
study contains a separate section with findings for each of the 12
other findings that scan across the 12 states include:
a similar group of claims, the average total cost per claim for
all paid claims in the highest study state, Texas
more than twice the average total cost per claim in the states
with the lowest per-claim costs,
in benefit payments per claim (medical and indemnity payments)
accelerated in the most recent period studied in 9 of 12 study
states. This acceleration was particularly strong in Florida, Indiana, North Carolina, and Texas
– where the
growth rate in the most recent period studied was at least 5
percentage points higher than the six-year annual average growth
delivery expenses – expenses associated with managing claims
such as medical management, litigation, medical-legal exams –
represented 6 to 15 percent of total payments made on claims
with more than seven days of lost time. The percentage was
highest in California,
percent); lowest in
(6 to 8
and Wisconsin, growth in
benefit delivery expenses per claim in the study states slowed.
Despite this deceleration in most states, benefit delivery
expenses were still increasing at a double-digit pace in
of temporary disability in California
(16 and 17
weeks, respectively) was at least twice as long as it was in Wisconsin
(8 weeks) for
claims with more than seven days of lost time.
7 of the 12 study states, roughly half of the injured workers
were sent their first indemnity payments within 21 days of
injury (for 1999 claims as of mid-2000 with more than seven days
of lost time). Performance, however, varied widely. Nearly 60
percent of claims in
payments in this time period, while first indemnity payments in Georgia, North Carolina
were at or
below 40 percent.
Multistate Comparisons, 1994-2000, Carol A. Telles, Aniko Laszlo
and Te-Chun Liu. April 2003. WC-02-09.