This
research focuses on analyzing impairment ratings, incorporating a diverse range of claim characteristics like age, medical condition, state, surgery count, and more.
The primary goal of this study is to provide insights into factors related to impairment ratings and analyze state differences using a regression model. By analyzing these factors comprehensively, we aim to provide a clearer understanding of the determinants of impairment ratings and insights into claim costs.
Permanent partial disability injuries account for approximately 50% of all workers compensation costs, with impairment ratings playing a key role in most states. Consequently, changes in impairment ratings can have a significant impact on workers compensation costs.
Key Insights:
- Across states included in the study, the average whole-body impairment rating is 6.5%, and the average time to maximum medical improvement (MMI) for claims identified as permanent partial is 363 days
- After accounting for key factors such as medical condition, surgery count, age, and time-to-MMI in a controlled model:
- The average impairment rating varies by state, ranging from about 4% to approximately 11%
- Claims involving surgery have, on average, impairment ratings that are 2 points higher than those without surgery (7.2% vs. 5%)
- Claims with time-to-MMI under 90 days average a 4.4% impairment rating, while those taking over two years average 9.1%
- Average impairment ratings for the most common medical conditions vary from about 3% for hand/wrist synovitis to approximately 10% for lumbar spine degeneration
For more research findings, check out the
complete report.
Connect with the authors if you have questions or want to gain additional insights.
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