NCCI Releases Part 2 of Inflation and Workers Compensation Medical Costs — Facility Services

WHAT: New NCCI research focuses on facility services and how they contribute to countrywide (CW) and regional WC facility cost trends. Facility services have been the biggest driver of increased medical costs for WC in recent years.

WHAT WE’RE SEEING:

• Two factors help explain the changes in medical facility costs: the amount paid per visit and the number of visits per claim.
• Facility-paid cost per claim grew 3.3% annually, with regional averages ranging from 2.5% to 4.1%.
• Across facility types, increases in the amount paid per visit were the main drivers of increased facility costs for the past decade.
• Hospital outpatient services are the most prominent contributor to the increase in facility costs.
• The number of inpatient visits decreased about 3% per year, while the number of surgery visits for ambulatory surgical centers (ASCs) grew across the regions.

MORE DETAILS: NCCI drills down on price and utilization trends for different types of facilities and how each contributes to WC costs in the different US geographical regions. This article also provides state-specific results.

HOW TO ACCESS THE REPORT: The full report can be accessed on NCCI’s website using this link: Inflation and Workers Compensation Medical Costs—Facility Services

FOR MORE ON INFLATION AND WC: Check out Inflation and Workers Compensation Medical Costs—Overall Medical – the first installment in this series.

COMING SOON: The next installment in this series will cover: Physician Services.

WHO: The report, “Inflation and Workers Compensation Medical Costs – Facilities Services” is authored by: Jon Sinclair-Manager & Associate Actuary, Raji Chadarevian, Executive Director-Actuarial Research, and David Colon-Assistant Actuary.

To schedule an interview with one of our experts, please contact: Cristine Pike, Director, Public Relations & Communications at NCCI: Cristine_Pike@NCCI.com

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