Comparing Outcomes for Injured Workers in Michigan

One way to examine the performance of a state workers’ compensation system is in the context of a key value proposition. When employers pay more for medical care, workers should experience better outcomes for that higher expenditure. Otherwise, the logical question becomes: why are employers paying more? Using this framework, we found that Michigan’s workers’ compensation system provided a “better” value proposition for employers and injured workers.

When we compared Michigan with ten other states in the areas of recovery of health and functioning, return to work, and access to and satisfaction with health care, we found injured workers reported outcomes that were generally in the middle of the group of 11 states in this benchmark study. Because medical costs and utilization per claim with more than 7 days of lost time were lower than typical, we conclude that the Michigan workers’ compensation system provides a better value proposition for Michigan workers and their employers.