Michigan Provides Better "Value Proposition" for Injured Workers and Employers Compared to 10 Other States, Reports WCRI Study

CAMBRIDGE, Mass.--(Business Wire)--
When employers pay more for medical care for injured workers, workers should
experience better outcomes. Otherwise, the logical question becomes: "Why are
employers paying more?"

Comparing Outcomes for Injured Workers in Michigan, a new study bythe Workers
Compensation Research Institute (WCRI), analyzed how Michigan compared with 10
other states within the context of this "key value proposition."

When compared to 10 other states, outcomes for injured workers in Michigan were
generally in the middle of the range on most measures.

The study juxtaposed worker outcomes in each study state within the areas of
recovery of physical health and functioning, return to work, access to health
care and satisfaction with health care with data on the costs and utilization of
medical care.

On average, employers in Michigan paid less for medical care per claim with more
than seven days of lost time than most other study states. The average paid
medical cost per claim with more than seven days of lost time was 27 percent
lower than the average medical cost in the median of the 11 states studied,
largely due to a lower than typical fee schedule.

Recoveries of injured workers in Michigan were in the middle of the range of
states studied, according to WCRI. The average worker in Michigan received a
typical amount of medical care and reported a typical physical recovery after
his or her injury.

Workers in Michigan had return-to-work outcomes typical of the study states,
said WCRI. Some 10 percent of Michigan workers reported never having returned to
work and 14 percent reported never having a substantial return to work (one that
lasted at least one month) predominantly due to their injury as of 2.5 years
postinjury.

Michigan workers typically returned to substantial employment about nine weeks
after their injury, putting the state in the middle of the group of states. Only
22 percent of Michigan workers did not have a substantial return to work one
year postinjury - a better outcome compared to most other states studied.

The study also found that:

* The vast majority of workers in Michigan reported that they were somewhat or
very satisfied with the timeliness of their first visit to their initial and
primary provider (83 and 79 percent for each measure, respectively).
* Some 14 percent of workers reported that they were very dissatisfied with how
quickly they saw their primary provider after their injury, similar to the
middle group of states (10 to 14 percent).
* Twelve percent reported "big problems" in gaining access to the primary
provider they wanted.

* The vast majority of workers (82 percent) reported that they were somewhat or
very satisfied overall with the care they received. Although approximately 1 in
10 said they were very dissatisfied with their medical care, this was still in
the middle of the range of states studied.

* Michigan had among the lowest percentage of workers who wanted to change their
primary provider due to dissatisfaction with their care. Fewer Michigan workers
wanted to change providers than in most other study states.

The study consisted of telephone interviews with 786 workers in Michigan who
received workers` compensation income benefits for injuries that arose between
October 2005 and September 2006. The interviews were conducted during September
and October 2008 - on average, about two and one-half years after the dates of
the workers` injuries.

The Workers Compensation Research Institute is a nonpartisan, not-for-profit
membership organization conducting public policy research on workers`
compensation, health care and disability issues. Its members include employers,
insurers, and governmental entities, insurance regulators and state
administrative agencies, as well as several state labor organizations.

To order this report, contact WCRI at 617 661 9274.

Workers Compensation Research Institute
Richard A. Victor, 617-661-9274

Copyright Business Wire 2009