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Health Care Workers Compensation Barometer

AGRC Actuarial & Analytics Health Care Workers Compensation Barometer


Aon Global Risk Consulting’s Actuarial and Analytics (A&A) practice has recently published the inaugural benchmark analysis for workers compensation for the health care industry, the 2012 Health Care Workers Compensation Barometer.

Aon actuaries and consultants collected data from more than 50 participants, which combined, represent approximately 1,000 facilities. The total incurred claim dollars accumulated and analyzed were just under $2 billion. For the upcoming 2013 accident year, we project health care systems will experience an annual loss rate of $0.79 per $100 of payroll. This projection applies at the countrywide level and is made assuming a $500,000 per occurrence limit. A&A projects that loss rates are increasing at a +1% annual rate. The frequency of workers compensation claims has been slowly, yet consistently, decreasing over the ten year study period. Aon A&A team members project claim frequency to decrease at an annual trend rate of -1%. Claim severity, including medical, indemnity and defense costs, has been slowly increasing at a trend rate of +2% per year.

Register to access an abridged version of the Health Care Workers Compensation Barometer analysis. If you would like to receive a full version of the report, please contact your Aon representative.

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