AIA: PROPOSED WORKERS’ COMP REFORMS A START

February 21, 2005

The American Insurance Association termed proposed reforms by Gov. Rod Blagojevich to Illinois’ troubled workers’ compensation system a “good beginning,” but added that more work remains in order to truly fix the system.

In his State of the State address, Blagojevich made workers’ comp reform one of his priority goals this year. The governor, a Democrat, is seeking to eliminate “balance billing,” under which injured workers are unfairly dunned by medical providers and their collection agencies. Illinois is one of only a handful of states that continue to permit this practice.

Additional reforms recommended by the AIA include: implementing American Medical Association impairment guidelines to reduce subjectivity in making injury determinations; using a Medicare-based fee schedule to make medical costs more stable and predictable; allowing for utilization review, which standardizes medical treatment and curbs unnecessary, costly medical treatments to help get the injured worker back on the job sooner and healthier.

Topics Workers' Compensation

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