New Study Shows Fee Schedules Keep Medical Costs In Check

March 29, 2012

A new study by the Workers Compensation Research Institute (WCRI) shows that the costs of medical services for injured workers is higher and rising faster in states without a fee schedule than states that do have one. According to a press released published by The San Francisco Chronicle, states without the fee schedule in place could have rates for services that are 51 percent higher than states that do utilize such a statute.

The study examined 25 states across the country and found that six didn’t have workers’ compensation fee schedules in place. In those states—Indiana, Iowa, Missouri, New Jersey, Virginia, and Wisconsin—rates for medical services offered to a hurt employee cost anywhere between 27 and 51 percent higher than states with a fee scheduling system. The rates had also significantly jumped and continued to rise in cost at roughly the same rate. There was an average 14 percent rise in cost in states with a fee scheduling system in place.

The study was conducted to allow state law and policy makers to examine the costs of medical coverage in their area compared to the rest of the country.

While the state of Pennsylvania does have a fee schedule in place for medical services covered by workers’ compensation, the Pennsylvania Workers’ Compensation Lawyers with Lundy Law say it’s important that you obtain legal advice to help you evaluate your options with these costs.