This trend of rising drug prices is having a major impact on workers’ compensation claims. As the cost of medications goes up, so do the costs of claims.
This puts a strain on employers and insurance companies alike. In order to keep premiums affordable, many insurance companies are cutting back on coverage or excluding certain drugs altogether.
Fortunately, there are some steps that both employers and workers can take to help mitigate the impact of rising drug prices on workers’ compensation claims.
By being proactive and aware of the issue, you can take steps to ensure that your employees have the coverage they need to get the treatment they deserve.
Employee Communication Is Key
Employers can help offset the cost of rising drug prices by shopping around for workers’ compensation insurance plans that offer comprehensive coverage.
There are a number of different plan types available, so it’s important to find one that meets your needs and budget.
Furthermore, many insurers offer discounts for businesses that take steps to promote employee health and safety.
Demystifying drug pricing in workers comp is a complex process, and it’s one that is a top concern for companies and individuals in industries of all kinds.
It’s also important for employers to stay up-to-date on changes in drug pricing and coverage. Many times, insurers will make changes to their plans without adequately informing their customers. By staying informed, you can help ensure that your employees have the coverage they need when they need it most.
How Employees Can Navigate Changing Drug Prices
Injured workers can also take steps to help offset the cost of rising drug prices by working with their employers to find an insurance plan that offers comprehensive coverage.
They can also stay up-to-date on drug pricing and coverage changes so that they know what medications will be covered under their plan.
Without the right information about a plan, an employee is often left feeling powerless.
Furthermore, injured workers can be proactive about their own health and safety by following their treatment plan as prescribed and attending all scheduled doctor’s appointments.
By doing so, they can help ensure a full and speedy recovery so that they can return to work as soon as possible.
Drug Prices and Their Impact On Workers’ Compensation Claims
There are two primary ways in which rising drug prices impact workers’ compensation claims. First and foremost, the cost of prescriptions for injured workers causes claims to have more complexity and nuance.
When an employee is injured on the job and needs to fill a prescription, the cost of that prescription will be covered by their employer’s workers’ compensation insurance policy.
However, as drug prices continue to rise, the cost of these prescriptions will also go up, resulting in higher premiums for employers.
In addition to the cost of prescriptions for injured workers, rising drug prices also impact the cost of drugs used for pain management.
Many injured workers require pain medication to help them cope with their injuries and return to work. As the cost of these drugs goes up, so too does the cost of workers’ compensation claims.
Mitigating Costs Is a Team Effort
There are a few things business owners can do to mitigate the impacts of rising drug prices on workers’ compensation claims.
First and foremost, review your current employees’ health plan to see if it covers prescription drugs. If not, consider adding this coverage to your plan.
Work with your insurance carrier to develop a pharmacy benefit management (PBM) program specifically tailored to your needs and you will see positive results ripple across your team.
You can also work to educate your employees on how they can save money on their prescriptions by using generic drugs whenever possible.
It’s also wise to stay up-to-date on industry news and trends so you can anticipate changes in drug pricing and adjust your benefits accordingly.
As part of this process, advocate for change at the state and federal levels by supporting legislation that would help reign in rising drug prices.
Rising drug prices are having a significant impact on workers’ compensation claims. By taking some proactive steps, business owners can mitigate these costs and protect their bottom line.
As you can see, drug pricing is a key component of any workers’ compensation claim. With both employees and businesses having a role to play in the claims process, collaboration is encouraged.
Keep this in mind when you are navigating a workers’ compensation claim and you will put your organization in a position to succeed.