CompNotes

As of January 1, 2008, the new maximums for Total Disability ($522) and Permanent Partial Disability ($392) are in effect. AWCC Advisory 2007-1 also notes that the Death & Permanent Disability Trust Fund cap has increased from $75,000 to $169,650.

In February, Systemedic will have its first A.M. Seminar of 2008, which will focus on Trust Fund, P & T limits and cost containment issues. Invitations will be via Arkansas CompNotes within the next week.

As of December 31, 2007, the Second Injury Fund ceased to exist, and the exposure to employers for P&T claims increased from $75,000, to a cap of $169,000 — an amount that will increase annually as the maximum TTD rate increases. On Thursday, February 21, Systemedic will present the first of its 2008 series of AM Seminars on the implications of AWCC Advisory 2007-1, including “major cause” and cost containment issues.

Our speaker will be attorney Carol Worley, with the firm of Worley, Wood and Parrish. Ms. Worley’s specialty is Arkansas workers’ compensation defense.

Reminder: This Thursday, February 21, Attorney Carol Worley will be speaking on AWCC Advisory 2007-1, with implications for “major cause” and comp cost containment.

Mr. James T. sustained severe injuries to his right ankle in 2006, and was referred to Systemedic for specific vocational services. The employer had advised the TPA claims adjustor that numerous jobs were available that might be within the scope of the claimant’s residual physical limitations.

In December, 2007, a Systemedic vocational consultant traveled to the employer and did a brief Video Job Analysis (VJA) of 18 jobs that were believed to be RTW possibilities for James. The vocational consultant and the Systemedic RN case manager met with the attending physician, who approved 15 of the jobs as appropriate for the claimant’s return to work. James declined to pursue the approved jobs. He subsequently applied for short-term disability benefits and settlement is pending.

The VJA is one of the many cost-control services available from Systemedic’s medical and vocational case management staff.

Arkansas Insurance Commissioner Julie Bowman announced on April 23 that Arkansas has seen a decline in workers’ compensation rates—down about 52 percent since 1995. She attributed this decline to the passage of a workers’ compensation legislative reform package in 1993 (which included managed care cost-containment programs), as well as better workplace standards and aggressive health and safety programs.

The 52 percent drop includes this year’s 12.8 percent decrease in rates, she said, noting that the drop has resulted “in millions of dollars of savings” for Arkansas employers. Bowman said that despite the decline in premium rates, statewide premium volume has grown since 2001, indicating that wages and employment have also grown during this period. “Because of these investments in a stable workers’ compensation system, which is recognized as a prime economic development tool, rates are down and employers are finding Arkansas a great place for business.”

During the 1^st quarter 2008, Systemedic’s three-level medical bill review program saved our Arkansas customers $7.27 million on their workers’ comp medical bills. This is an average total savings of 55.4% on the 18,562 bills reviewed. Of the total savings, $2.6 million was generated by the USAble TrueBlue PPO network. If you are not currently seeing these savings on your Arkansas comp medical bills, contact Doney Williams in Systemedic’s bill review department at 501-227-5553 or 800-822-2680.

The 2008 Arkansas Workers’ Compensation Commission has announced that its Fall Forum will be held September 4–5 at the Arlington Hotel in Hot Springs, AR. The AWCC staff and other experts will provide information and training on basic and advanced topics of interest, including return to work; proper form filing; change of physician issues; fee schedule questions; disability and leave laws; managing claims with pre-existing conditions; rehabilitation challenges; mandatory Medicare reporting; and an Adjudication panel.

This year’s Forum is an opportunity for claims administrators, attorneys, occupational health & safety, human resource officials, case managers and rehabilitation professionals to visit personally with the AWCC staff while receiving up to date information on workers’ compensation issues in Arkansas.

Since January 1, 2008, the USAble True Blue PPO has saved customers of Systemedic $6.33 million on their AR workers’ compensation bills. As additional medical providers are added to this statewide PPO, more opportunities exist for even more savings.

The following providers have recently been added to the USAble PPO. An up-to-date online directory is always available on the home page of Systemedic.com.

In some cases, getting an injured worker back on the job requires only a modification of the work area. Systemedic’s vocational staff is now working with AliMed, the largest provider of ergonomic products in the US, for specific RTW resources such as: work stools, computer/keyboard aids, adjustable work tables, filters, wrist supports, lifting devices, lumbar support chairs, easy-grip hand tools, etc. The relationship with AliMed includes a discount to Systemedic customers/employers and consulting access to their ergonomic professionals.

With an aging workforce, these types of resources are becoming very cost-effective in facilitating post-injury RTW – and job retention. To request an employer/job-site assessment, call Heather Taylor, Edie Nichols, Gay Signoff or Tom Strickland at 227-5553 or 800-822-2680.

An Information Service of Systemedic Corporation

September 18, 2008

Return to Work, Full Commission Opinion, July 2008

At the recent AWCC Fall Forum, chief legal counsel Jennifer Love presented a summary of recent case law. In one of the cases reviewed (Drone v. Nestle USA, Inc.) the Commission affirmed the ALJ's decision which awarded the claimant benefits due to the employer's refusal to return the claimant to work, without reasonable cause, while suitable employment was available. View a summation of this opinion.

Transitional Employment

Many post-injury attempts at return-to-work fail due to the absence of a personally designed, time-specific plan, with goals and responsibilities understood by all parties. If "return to work Monday for light duty" is the only plan, the chances of failure, prolonged lost-time, and higher indemnity exposure are great.

Systemedic offers employers Transitional Employment Plan (TEP) services as part of a rehab plan, or as a one-time, design-management employer consultation. A free TEP guide is available upon request.