Workers Compensation - Rating Bureau Releases Annual Report on Losses and Expenses

Publish Date:Jul 05, 2017
Summary:
This week, the Workers’ Compensation Insurance Rating Bureau released its annual report on California workers' compensation losses and expenses.

This week, the Workers’ Compensation Insurance Rating Bureau released its annual report on California workers' compensation losses and expenses.  “Among the findings in the 2016 report: 

  • Medical losses paid in 2016 were $4.8 billion, or 57 percent of total loss payments. Of these payments, $1.2 billion were paid for physician services, $1.3 billion were payments made directly to injured workers, $0.6 billion were paid to hospitals, $0.3 billion were paid for pharmaceuticals, and $0.3 billion were paid for medical-legal evaluations.
  • The total cost of medical cost containment programs in 2016 was $468 million compared to $510 million in 2015.
  • Indemnity benefits paid in 2016 were $3.6 billion, or 43 percent of total loss payments. Of this amount, temporary disability benefits paid totaled $1.8 billion and permanent partial disability benefits paid totaled $1.5 billion.
  • Total insurer losses incurred in calendar year 2016 were $10.7 billion, or 60 percent of calendar year premium. In calendar year 2015, total insurer losses incurred were $10.7 billion, or 62 percent of calendar year premium.
  • Total insurer loss adjustment expenses incurred in calendar year 2016 were $2.8 billion compared to $3.1 billion in 2015.

To view a copy of the report, click the link below.
Report on 2016 California Workers' Compensation Losses and Expenses (Rel. June 28, 2017)

Copyright © 2017 by the Property Casualty Insurers Association of America
1415 L St., Suite 670, Sacramento, CA 95814
phone: 916-449-1370, fax: 916-449-1378