Posted On: October 20, 2010 by Steven J. Malman

As Workers’ Compensation Costs Go Up, Frequency Claims Go Down

According to an NCCI Holdings Inc. research brief, last year, indemnity and medical severity for workers’ compensation claims continued to go up while the frequency of these types of claims continued to drop. The downward trend in frequency claims is expected to continue through 2010.

NCCI says that better safety practices, robotics use, and a workforce that is getting older have played parts in the ongoing frequency decline. The company noted that complex claims, including those involving lower-back issues and carpel tunnel syndrome, has gone down over the last five years.

That said, the drop in frequency has been partially offset by rising claim costs. Last year, average indemnity costs went up about 4.5% even though there was a decrease in average weekly wages. Also in 2009, average medical costs for workers’ compensation claims went up 5%. NCCI says this is the lowest increase in the last 15 years.

Illinois Workers’ Compensation
As an employee working in Illinois, your employer likely offers you workers’ compensation benefits for in the event that you are injured, get sick, or die in a work-related accident. Unfortunately, many injured workers never even file a work injury claim or, if they do, they agree to receive far less than what they should get paid.

Employers and insurance companies are not going twist your arm to get you to push for the maximum work injury benefits possible. This is why it is so important that you are represented by a Chicago workers’ compensation lawyer who can advocate on your behalf.

Workers compensation costs rise as claims frequency drops: NCCI, Business Insurance, October 18, 2010

NCCI Holdings

Related Web Resource:
Illinois Workers' Compensation Act (PDF)

Contact Chicago workers' compensation attorney Steve Malman today.

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