Waltham, MA, January 16, 2025 — A new study from the Workers Compensation Research Institute (WCRI) offers an in-depth look at workers' compensation claims in New York, focusing on the prevalence and costs of various claim types.

"The results of this research provide a valuable overview of the types of claims that occur in the New York workers’ compensation system, the costs associated with them, and the timing of key payments, including lump-sum settlements," said Sebastian Negrusa, vice president of research at WCRI. "This information is useful for stakeholders to gain a more detailed perspective of the system and provides a helpful basis for evaluating future policy decisions."

The report, Life Cycle of a New York Workers’ Compensation Claim, analyzes workers’ compensation claims at a snapshot of time, claims from 2018 evaluated in 2023 (60 months after injury). It provides a thorough examination of overall claim costs, timing of key indemnity payments, and other essential system performance indicators. The study explores several important research questions, including the following:

• What percentage of claims and associated costs pertain to each type of claim?
• For indemnity claims, when do key payments, such as the first indemnity or lump-sum payment, typically occur?
• What is the average total cost per claim, and how are costs distributed across categories (indemnity benefits, medical expenses, and benefit delivery costs)?
• What percentage of claims remain open at the time of evaluation?

The data used to evaluate the frequency, costs, and timing of New York claims by claim type come from WCRI’s Detailed Benchmark/Evaluation (DBE) database. This information was collected from national and regional insurance providers and claims management organizations. The data underlying this report come from 15 companies representing a mix in terms of premium volume and claim share, as well as insured and self-insured employers.

For more information or to purchase a copy of the study, visit www.wcrinet.org. The report was authored by William Monnin-Browder and Carol A. Telles.

About WCRI:

The Workers Compensation Research Institute (WCRI) is an independent, non-profit research organization based in Waltham, MA. Established in 1983, WCRI remains neutral on the issues it investigates; instead, it provides objective information drawn from studies and data collection efforts that adhere to recognized scientific methods. Rigorous, impartial peer review procedures further ensure objectivity. WCRI’s diverse membership includes employers, insurers, government entities, managed care organizations, healthcare providers, insurance regulators, state labor groups, and state administrative agencies across the U.S., Canada, Australia, and New Zealand.

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