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Workers Comp Claim Frequency Continues Decline in 2009

21 Oct, 2010 WorkersCompensation.com

                               
In a new research brief, NCCI reports that the decline in claim frequency for workers compensation injuries continued in 2009, and economic factors suggest further reductions are likely in 2010.
Preliminary results indicate a decline in claim frequency of 4.0% for 2009. This is on the heels of a 3.4% drop in 2008 and extends a downward trend that started in 1991. (WCxKit)
Note, however, that NCCI's latest data reveals that, while claim frequency is down, indemnity and medical severities continue to rise, somewhat offsetting the good news.
Key findings in this year's analysis include:
Preliminary data for Accident Year 2009 reveals a continued overall decline in claim frequency and overall increases in indemnity and medical severities.
Over the latest five years, the decline in frequency continues to be widespread. Frequency declines were observed for all industries, geographic regions, and employer sizes, as well as for most claim types. 
Claims considered “Likely-to-Develop” exhibited a larger percentage frequency decline than those considered “Not-Likely-to-Develop.” 
Some of the more complex claims, such as carpal tunnel and lower back, declined more than average over the latest five years. (WCxKit)
Frequency changes vary considerably by type of injury. 
Injury type differences notwithstanding, frequency changes are relatively consistent by size of loss for claims under $250,000.
To see more analysis, visit: https://www.ncci.com/Documents/research-claims-frequency-sept-2010.pdf

Author Robert Elliott, executive vice president, Amaxx Risks Solutions, Inc. has worked successfully for 20 years with many industries to reduce Workers Compensation costs, including airlines, healthcare, printing/publishing, pharmaceuticals, retail, hospitality and manufacturing. Contact:  Info@ReduceYourWorkersComp.com or 860-553-6604.
 
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Do not use this information without independent verification. All state laws vary. You should consult with your insurance broker or agent about workers comp issues.
 
©2010 Amaxx Risk Solutions, Inc. All rights reserved under International Copyright Law. If you would like permission to reprint this material, contact Info@WorkersCompKit.com.

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