CWCI Notes Uptick in Indemnity Costs for Newer Claims

Average losses on newer indemnity claims are starting to tick up even as costs for older claims continue to level out or decline, the California Workers’ Compensation Institute said Friday. CWCI reported in a research brief that average losses for accident year 2015, 2016 and 2017 claims showed increases in average paid losses within the first two years of injury, driven primarily by rising indemnity payments. Average medical costs at six months, one year and two years post-injury showed only modest increases in paid medical costs, or none at all. Since accident year 2014, average...