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Workers’ compensation cost-containment strategies that you may want to institute at your company

National Council on Compensation Insurance (NCCI) data highlights how medical benefits claims have been steadily increasing since 2003. Recommendations published by NU Property Casualty 360 suggest that the self-insured businesses or larger corporations’ risk managers can take more proactive claims management measures to better manage workers’ compensation costs

Here are some suggestions that may help your business.

Instituting medical necessity reviews

Although it may come off as costly to perform medical necessity reviews (MNRs) on all claims, doing this may result in significant savings in the long run. You may find that the onset of your employee’s alleged work-related illness or injury was instead brought about, at least in part, by their pre-existing or co-morbid conditions.

In combing through their billing, you may also discover that a worker attempted to pass on expenses associated with one of these non-work-related conditions to you. You may notice that these resulted in deviations from treatment plans, an unnecessary extension of patient care and the accumulation of additional costs.

Enhanced profiling of medical providers

Not all doctors are equally effective in treating patients. Some may require unnecessary tests or order more treatments than what’s necessary. These can run up patient costs that end up getting passed on to you as the employer. You may find it helpful to profile treating physicians before referring patients to them. You’ll want to look at how effective they are at treating certain ailments and how on-point they are in only billing for necessary services. 

Adoption of proven medical guidelines

Self-insured employers can minimize their workers’ comp expenditures by requiring their chosen medical providers to abide by established evidence-based medical guidelines. These outline a treatment plan that doctors should follow when treating a patient with specific medical conditions. 

Learn more about cost containment strategies that your company can implement

Workers’ compensation claims can easily financially cripple your New York company unless you implement proven cost containment strategies. An attorney can go over the strategies that you may want to implement at your Troy business before claims affect your bottom line.