Workers compensation claim frequency continued to decline during 2007, although at a slower rate than during the previous two years, NCCI Holdings Inc. reports.
While a 2.5% decrease in 2007 claim frequency continues a trend that started during the 1990s, it is “more modest” than the 7.0% drops during each of the previous two years and was the smallest decrease in eight years, the NCCI said.
And while claim frequency continues to decline, indemnity costs and medical severity continue to rise, Boca Raton-based NCCI noted in its latest review.
Average indemnity costs per claim rose 4.0% in 2007, up slightly from the average of 3.3% since 2001. Medical costs per claim increased an estimated 6.0% during 2007, the lowest increase since 1995.