NCCI: Rule Changes Have Greater Impact on Medical Costs Than Inflation

The National Council on Compensation Insurance said pandemic-related price inflation will have a greater effect on property lines such as home and auto than on workers’ compensation, where cost pressures are the result of changes to reimbursement rules and rates for medical services. While inflation matters for work comp when it affects wages, NCCI said overall wage growth during the pandemic matched the pre-pandemic trend. However, the producer price index, or PPI, for health care services increased by 4.3% at an annualized rate since December 2020 and 2.7% from February 2020 to Decem...