In what can only be described as excellent news, inflation is down to 3.2%.

Further good news – ahead of the heavy Thanksgiving travel week fuel prices are continuing to drop… in 11 states average prices are below $3 a gallon.

And there’s this really wonderful story about a gay professional hockey player’s journey...the response to his coming out announcement has been overwhelmingly positive – especially from other pros.

Gotta love the love.

 

Some think we should not be helping Ukraine protect itself and its people from Russia and the Russian invasion.

They note it is expensive, the battle is far from our shores, it isn’t any of our business, we have other priorities.

Here’s why it is most definitely in our best interest to help Ukraine.

1. The world is a dangerous place, and enemies large and small – Iran, North Korea, the Taliban, jihadists, and frenemy China – are always looking for signs of American weakness.
   
   If we had not provided aid and arms to Ukraine, Russia would have taken Kyiv (the capital of Ukraine) and own Ukraine today…and Iran, North Korea, the Taliban, jihadists and their ilk would be plotting attacks on us. 

   Instead, those enemies are watching a large and once-powerful country – Russia – get its ass kicked by a much smaller country, in no small part because we are supporting Ukraine. That ass kicking is most certainly giving would-be attackers nightmares… thanking whatever entity they worship they didn’t do something as blindingly stupid as taking on an ally of the US. 

2. War prevention – specifically Taiwan. As very/extremely conservative commentator Marc Thiessen notes:

   how much…would U.S. weakness in Ukraine embolden Chinese dictator Xi Jinping? The risk of war over Taiwan would skyrocket. And, unlike the war in Ukraine, it could very well involve U.S. troops. [emphasis added]

   Think of Xi’s calculation: If the United States won’t stand fast for Ukraine, an internationally recognized sovereign state, how likely is a stalwart defense of Taiwan, which is not? And if the United States is not willing to spend money to defend Ukraine, is it really going to risk American lives to defend Taiwan?

   China’s military is massive, has thousands of missiles, will soon have the largest navy in the world, and is increasingly belligerent.

   Chinese ship attacking Vietnamese coast guard ship
   

   After pushing around small countries like Vietnam and the Philippines and doing its damndest to illegally expand its territory, many of its leaders are were wildly over-confident. Watching as Russia’s battle-tested, quite experienced, once well-equipped and still very large army gets hammered by a much smaller country allied with the US is undoubtedly forcing Xi and his generals to think a lot harder about screwing with America and our allies.

3. The elimination of one of our two most dangerous enemies cost exactly no American lives.
   Putin is an extremely dangerous dictator and Russia is our enemy. Presiding over a country with very serious financial, demographic, ethnic and economic issues, Putin did what most dictators in that situation do – pick a fight with a supposedly weak neighbor.

   For Putin, the result has been catastrophic, eliminating Russia as a threat to  the US and our European allies. More than half of Russia’s armored vehicles and hundreds of aircraft have been destroyed, stocks of missiles and rockets have dramatically shrunk, hundreds of thousands of soldiers have been killed or grievously wounded, its Navy has lost much of its war-fighting capability.

   Russia’s military infrastructure is in deep trouble…every day there are new reports of factories making munitions, armored vehicles, explosives and missiles mysteriously exploding.

   a “fireworks” factory is now rubble…

As brutal and awful as it is, we are much safer because hundreds of thousands of Ukrainians have died, millions have lost their homes, and hundreds of towns, villages, and cities have been destroyed.

What does this mean for you?

Thanks to the Ukrainians, the world is less dangerous today – which is a good thing indeed.

Yeah…I know, this was a really awful week.

At times like these I retreat into the “control what you can control” mantra…Can’t do a darn thing about the Middle East or the incredibly dysfunctional House of Representatives…but we all can do something.

So, a couple thoughts.

Be outwardly cheerful and engaging, smile at everyone you see, say hello, and wish them well. Some will growl (looking at you, NYC pedestrians), some will smile back, others will wonder what’s wrong with you, but you’ll make things just a bit brighter for many.

It will also improve your mood…guaranteed!

Do something to build community – anything. Call someone you haven’t spoken to in a while, stop by a neighbor’s to just say hello, send a card to a distant friend or relative, maybe drop off cookies at a friend’s desk or home, get a few friends together for a walk, hike, ride…no agenda, just connecting.

At times like these we need each other more than ever.

And if you need something positive to talk about…inflation is moderating…sure it is still higher than the Fed’s 2% target, but things are improving.

And, when you unpack the latest inflation data, housing prices increased more than expected…further unpacking by ABC News found “unusual jump in housing prices in Los Angeles as accounting for much of last month’s housing inflation, which may not be sustained. ”

So, for those of us not looking for a place to live in LA, prices aren’t increasing nearly as much as they were just a few months ago.

What does this mean for you?

You’re all set to be the cheerful bright spot at the barbecue, tailgate, kid’s soccer game, or morning walk.

 

 

 

 

This email arrived earlier this week;

I really enjoyed your newsletters until you started showing your political side; It’s unfortunate that you had to make that known to your audience.

I’ll leave aside the fact that I’ve been “showing my political side” for the more than two decades I’ve been writing MCM, moreover I’ve been transparent on my views on everything from:

• opioids to
• politics to
• physician dispensing to
• Congressional Republicans’ attacks on the ACA to
• Russia’s war on Ukraine to
• vaccination skeptics to
• the work comp industry’s failure to understand health care to
• TPA profiteering on managed care fees to
• some state legislators’ unconscionable failure to expand Medicaid to
• Texas’ legislators ridiculous grandstanding
• and about a gazillion other topics.

What is distressing about the former subscriber’s note is the underlying unwillingness to consider alternative viewpoints, to open one’s mind to different ways of thinking through issues, of critically evaluating one’s own beliefs.

That is especially true today, when we seem more willing to build walls than open windows.

I’d bet exactly none of my 2,510 subscribers agree with every one of my opinions and posts – nor should they. As I’ve publicly admitted, on occasion I’ve been wrong on facts, gone a bit too far or changed my opinion (right Rob Gelb?), mostly because a reader challenged me to think differently or I’d been lazy or lax in my research.

What’s distressing about the former subscriber’s note and subscription cancellation is it is symptomatic of a much broader “closing of the American mind.”

We lament society’s polarization while refusing to engage with others who may have different views.

We ostracize others for their views on a single subject, when we may well agree on most things.

We decry government’s ability to get anything done while supporting candidates who refuse to compromise.

I’m quite sure the unsubscriber and I agree on many things…perhaps the evil of Purdue Pharmaceuticals, the unconscionable profiteering of physicians dispensing drugs, the questionable ethics of non-transparent claims “fees”, the critical importance of getting patients to the right provider quickly, the problems with brokers and consultants who follow the latest fad instead of doing the hard work to actually help their employer clients (nurse triage, anyone??).

Alas we’ve become latter day Inquisitors, willing to demonize anyone that doesn’t agree entirely with us. The Pope’s inquisitors tortured, burned, and crippled Cathars for the sin of their different interpretation of Catholicism.

Today, nine centuries on, we are at risk of returning (hopefully only metaphorically) to the horrific days of the 1300s.

What does this mean for you?

We are far more alike than we are different, share far more similarities than differences. 

Let’s try.

 

Well, in an effort to counter the stupidity that has infected some in Washington, I’ll do my best to find glimmers of good news to start your weekend.

Ukraine

Ukraine is making solid if not spectacular progress in its offensive…and the news that we are sending very capable missiles may help our allies speed things up. The missiles – known as ATACMS – are very elusive and pack a big punch. These are NOT the long range ATACMS…at least not yet.

Grain, shipping, and avoiding world hunger

Resilient Africa headed south to deliver grain

Most notably, Ukraine has figured out how to win the war at sea – without having any ships. This has enabled Ukraine to ship grain to Africa and other places , a huge help for people at high risk of starvation. Seven ships have passed through Ukraine’s “grain corridor” despite Russian threats to sink any and all ships.

Aging…or not.

Big medicine is spending gazillions on research to help us live longer. While that’s kind of a good thing, reality is most of what kills (excluding firearms, traffic accidents, and drugs) us is due to:

• not enough exercise
• not enough sleep
• too much food
• too much alcohol

So, the “good news” is if you commit to exercising (cardio and strength), sleep, a healthy diet and one drink per day, you won’t need to buy whatever Big Medicine is selling.

And you can use those dollars to buy books, go to concerts, visit your grandkids, and donate to worthy charities!

Lastly, Crime.

News from the FBI that its efforts to combat violent crime is yielding dividends.  From the FBI…The FBI, alongside its state and local law enforcement partners, executed over 4,000 arrests, over 2,500 drug seizures, over 1,600 weapons seized, and the dismantlement of over 50 violent organizations.

remember that when some knucklehead politician says he’s going to eliminate the FBI..

(note three family members worked for the FBI (two were special agents), one died in the line of service, so, yeah, I’m “biased”)

 

 

Two mostly-ignored things will have way more impact on workers’ comp than any other ten factors.

And as usual, workers’ comp is out to lunch.

Let’s quickly review the work comp industry’s failure to understand reality.  When COVID hit, the workers’ comp industry’s caterwauling and catastrophizing hit epic levels… mostly driven by

• ignorance of actual research on COVID’s cost,
• a failure to focus on COVID cost drivers,
• a complete lack of understanding of how the US healthcare system functions
• misguided focus on claims costs and initial failure to
• anticipate the real impact – a drastic drop in premiums.

That led to far too much angst and far too little reality-based planning by the workers’ comp industry.

Fast forward to today, where the opposite is happening.

The industry is blithely ignoring the impact;

• heat will have on claims, loss ratios, combined ratios, and claim duration, and
• infrastructure investment will have on premiums and claims.

Heat

The massive and seemingly endless heatwave in multiple states is affecting restaurant workers, agricultural workers, folks in logistics and manufacturing.

Sure there’s heat exhaustion and heat stroke and heat prostration (which costs about $38k per claim…)

But that’s the (forgive the analogy) tip of the iceberg…Excessive heat also creates more injuries of all types…injuries to cherry harvesters in Washington State increase 1.5% for every 1 degree C above 25 C (77 degrees F) – mostly from falling off ladders.

Oh, and California data shows: compared to days with temps in the 60s,

• • • on days when the temperature was between 85 – 90 degrees Fahrenheit…the overall risk of ALL types of workplace injuries was 5 to 7 percent higher.
    • when temps topped 100 degrees, the overall risk of injuries was 10 to 15 percent greater.

This means more claims in an industry that is generally unprepared to “manage” heat-related claims.

Jobs

Hundreds of billions of dollars is flowing into infrastructure, investment that has already created ninety thousand jobs in:

• construction,
• transportation improvements,
• highway, bridge and road maintenance and replacement, and
• heavy industry.

And many more jobs are on the way. (check out where this is happening here).

These are very well-paid, high-frequency and high-severity jobs.

This means premiums will increase as will claims and claims costs. And this will continue for years.

What this means for you.

At risk of belaboring the obvious, a more dangerous environment for many more workers  in already high-risk jobs. 

Heat + Jobs = more premium dollars, higher costs for self-insureds, more claims, and higher severity claims.

 

 

If you’re wondering what the heck happened in Russia, join the crowd.

Here’s what I’ve been able to “learn”…

first – the actors

The Wagner Group – a private company that is a combination of a mercenary, terrorist organization, and exploiter of poor countries that supplies Russia with tens of thousands of fighters. Wagner is the most effective fighting force in Ukraine. Wagner is really, really awful.

Yevgeny Prighozin is Wagner’s leader – he’s the former hot-dog stand operator now old bald guy commanding a huge criminal enterprise while always wearing full tactical gear even though he’s never been anywhere near actual fighting.

nice look, eh?

Friday:

• Prighozin called for the firing of Russia’s top two military leaders,
• Wagner Group troops took over critically important supply bases near Ukraine,
• advanced on Moscow with convoys of his troops,  artillery and armored fighting vehicles;
• was met with cheers, flowers, food and drink by Russian citizens;
• shot down a super-sophisticated Russian surveillance plane and several Russian helicopters;
• then Prighozin abruptly turned those convoys around and ostensibly went into exile in Belarus (a neighboring country that is essentially a Russian protectorate) after
• Belarus’ president – a Putin lackey – negotiated some kind of deal between Putin and Prighozin.

Yeah, the entire US and NATO intelligence world is as confused as we are.

As I am far from “expert” in eastern European politics and “strategery”, I’ll just share what credible experts are saying:

1. Putin is much weakened…he relied on a lackey/puppet – Belarus’ president – to end the crisis.
2. Russia is also weaker than many including me thought – and likely getting weaker…
3. Hard to see how merging Wagner’s troops into Russia’s Army will make the Army stronger – there’s too much mutual suspicion and distrust…
4. Our efforts to recruit Russian intel sources seem to be ramping up…

Lastly, there’s this.

“Mr Putin was counting on a long war in which the West would grow tired of arming and funding Ukraine. There is now strong evidence that the war’s prolongation is also accelerating the fragmentation and decay of his regime.”