Cat Comp Claims Represent Small but Costly Percentage of Frequency

Costs associated with catastrophic workplace injuries represent less than 0.1% of workers' compensation claims but account for up to 2% of all costs to insurers, according to a report released Thursday. The multibureau report from Boca Raton, Florida-based National Council on Compensation Insurance and nine state ratings agencies studied so-called “mega claims,” examining 11,330 from accident years 2001 through 2021. All of those claims had incurred losses exceeding $2 million. Such claims represent only one out of every 1,295 reported indemnity claims. Of those, 53% had...