A reader posted a very insightful comment on my post regarding hospital overypayments in workers comp.
Her point? “overpayments to hospitals and other providers whom participate in PPO’s are not necessarily accidental or unintentional.”
She is right, and the explanation should give any PA workers comp payer or employer pause.
It is well worth a read.
Insight, analysis & opinion from Joe Paduda
Joe,
This is a bit off topic, but I wondered if you could make this a blog item: Why are state administrative costs for Worker’s Comp so high?
According to National Health Expenditures data for 2005, the AER for worker’s comp administered by states was 24%. This compares to 21% AER for state Medicaid expenditures, 7% AER for federal Medicaid expenditures and 3% AER for Medicare expenditures.
What gives with WC, and can it be made more efficient?