The New Rating Guidelines: An Update

Sunday, August 15, 2004 | 0

As the Workers' Compensation community begins to apply the components of SB 899, one aspect that we await is the new Permanent Disability rating schedule. The new schedule is to be based on AMA Guidelines. However, it is unclear as to how closely the new schedule will adhere to the AMA Guides.

A survey of states with an AMA based disability schedule (approximately 40) indicates schedules vary from state to state, as each state applies its own "twist" to their own schedule.

My best guess is that ratings will be entirely based on Objective Findings, doing away with Subjective Findings and Work Restrictions. For upper and lower extremity injuries, these include the old stand bys - loss of motion, immobility, amputation, atrophy and grip loss. In addition, sensory and motor deficits, muscle weakness, gait derangement and other factors apply.

The assessment of Spinal injuries is another matter. As Objective Findings are difficult to quantify for rating purposes in Spinal injuries, a Category system may be utilized. For instance, the Schedule may outline Categories of disability consistent with specific Objective Findings. Category 1 may reflect mild Objective Findings, while a Category 5 restriction finds very significant Objective Findings.

The rating will be expressed in terms of a Whole Person Impairment, which will then apparently be adjusted for age and occupation. Converting the final impairment rating to a monetary figure will apparently involve a complex formula which takes into account the body part and nature of impairment.

Finally, when will the Schedule be published? Per the legislation, the final schedule is required to be in place by January 1, 2005. Thus, a first draft will probably be available in the fall, at which point hearings will be held and input from interested parties heard. Shortly thereafter, the DEU will publish the finished product.

Needless to say, the new schedule will generate a great number of questions and concerns.

Article by Mark Kremer, owner Speed Rating. Mark can be reached at speedrating@earthlink.net, or by phone at (800) 408-8883.

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