Today’s issue of WorkCompRecap features the release of a new report from CWCI that examines 10 year payment trends on California Workers’ Comp claims, finding that average paid losses on lost-time claims fell immediately after legislative reforms (SB 863) took effect a decade ago, but then gradually increased up until the pandemic hit.
CWCI noted that as a result, average paid losses on claims at all valuation points within 60 months of injury are above their post-reform lows, with only the most developed data on older claims (72-month data on accident year (AY) 2016 claims) still showing declines in loss payments in the wake of the 2012 reforms. The study tracked average paid losses at 6, 12, 24, 36, 48, 60 and 72 months post injury, breaking out the results by accident year to identify growth trends. In addition to average total losses, the study notes the average medical and indemnity payments at each level of development and compares the loss payments for claims from 5 key industry sectors and from different regions of the state.