Study: Cost for Non-hospital Services in Workers’ Comp Highest in Wisconsin

In 2010, Wisconsin’s workers’ compensation system was the costliest for non-hospital services in a study of 25 study states.

Prices in Wisconsin for non-hospital services were more than twice that of the 25-state median, and nearly 50 percent higher than the median of the six states with no fee schedules, according to a new study by the Workers Compensation Research Institute (WCRI).

Over the nine years covered in the study, Medical Price Index for Workers’ Compensation, Third Edition (MPI-WC), prices in Wisconsin grew most rapidly. The prices in Wisconsin increased 42 percent, much faster compared to median growth rate of 11 percent of the states with fee schedules, also faster than the 28 percent typical growth rate of the states without fee schedules.

The MPI-WC tracks medical prices paid in 25 large states from calendar year 2002 through June 2010 for non-hospital, non-facility services billed by physicians, physical therapists, and chiropractors. The medical services fall into eight major groups: evaluation and management, physical medicine, surgery, major radiology, minor radiology, neurological testing, pain management injections, and emergency care.

The 25 states included in the MPI-WC, which represent more than three quarters of the workers’ compensation benefits paid in the United States, are: Arizona, Arkansas, California, Connecticut, Florida, Georgia, Illinois, Indiana, Iowa, Louisiana, Maryland, Massachusetts, Michigan, Minnesota, Missouri, New Jersey, New York, North Carolina, Oklahoma, Pennsylvania, South Carolina, Tennessee, Texas, Virginia, and Wisconsin.

Source: Workers Compensation Research Institute (WCRI)

Topics Workers' Compensation Wisconsin