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Wellness Programs Should Address Allergies that Affect Performance and Safety in the Workplace


We intend the outline to provide a rationale explaining what combinations of medicines may be used to control allergies.  Use only those steps that are needed to solve the problem for you.  In general, try to use remedies toward the top of the list.  Reducing the allergic load and using protective masks for special tasks are prudent for everyone with allergic problems.  Beyond that, most people prefer to use antihistamines as their sole treatment.  Antihistamines usually will work with one or two doses of medicine per day, which is more convenient than the four times a day required for Nasalcrom®.  Some people find that antihistamines make them nervous or jittery.  Usually, it is not an antihistamine that causes this but rather a decongestant mixed with antihistamines in over-the-counter sinus or cold remedies.  Watch for the word "decongestant;" it usually means there is an adrenaline-like drug in the preparation.  If antihistamines alone are not adequate, or if they cannot be taken for some reason, the next line of defense usually is a corticosteroid nasal spray to reduce the inflammation caused by the allergic reaction.  Again, the reason is mostly the convenience of once- or twice-daily dosing.  Nasalcrom® would also be an excellent choice for a second level treatment.  For patients using both an antihistamine and a corticoid spray, Nasalcrom® really is the next best addition, despite the need to use four times a day for best effect.  Using a decongestant such as pseudoephedrine (Sudafed®) would follow as a fourth level of defense.  Treatments lower in the outline than the decongestants are usually needed only if the problem developed without warning, so that the other remedies could not be applied in time.  If you should reach the point of requiring antibiotics, it is important to use methods to open the sinuses at the same time and afterwards.  If you do not, the bacteria causing sinusitis may be destroyed as planned, but may be replaced with a fungal or yeast infection, which is even more difficult to treat. Using a saline solution to rinse mucous out of the nose often helps symptoms greatly.  The recipe is 2 tsp salt, 1 tsp baking soda, and 1 quart (~900 mL) water.  You can buy a salt solution in a spray bottle and then refill the bottle.
 
Author:  Sanford S. Leffingwell, M.D., MPH is a board certified specialist in occupational medicine, with degrees from Harvard University, University of Colorado School of Medicine and The Johns Hopkins School of Hygiene and Public Health.  He can be reached at ssl@hlmconsultants.com. www.HLMConsultants.com

 Click on these links to try it for yourself. WC Calculator www.ReduceYourWorkersComp.com/calculator.php TD Calculator www.ReduceYourWorkersComp.com/transitional-duty-cost-calculator.php WC 101 www.ReduceYourWorkersComp.com/workers_comp.php Do not use this information without independent verification.  All state laws are different so do not implement any cost containment procedures until you have discussed them with your corporate counsel. Your individual doctor must treat medical issues. We are not giving medical advice; this is an overview of wellness topics, not medical advice.     ©2008 Amaxx Risk Solutions, Inc. All rights reserved under International Copyright Law. If you would like permission to reprint this material, contact Info@WorkersCompKit.com

Posted in Medical Issues, Wellness Programs and WC |


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Idiopathic Fall Claims Presents Difficult Causation Issue in Iowa Workers Compensation


Here’s What Happened
Albertson worked  the midnight shift at her employment.  On the date of her injury, she walked to the employer’s cafeteria to get a cappuccino and then walked toward the restroom. After she opened the restroom door she thought/assumed the door hit her on the back of her head.  She fell backward, striking her head on a concrete wall screening the restroom from the work area. Unconscious for a brief period, she came to next to the concrete wall.  A co-worker partially witnessed the incident and noted that Albertson may have fainted just as she entered the restroom.  Albertson sustained a C2 fracture that required two surgeries.  The Commissioner determined that Albertson was entitled to benefits based on a positional (workersxzcompxzkit) risk theory and, in the alternative, found the injury compensable as an idiopathic fall. The employer appealed to the district court, pointing out that there was some evidence that Albertson was battling a severe cold and that she just fainted, sustaining a noncompensable injury.  The district court ruled that Iowa did not utilize the positional-risk doctrine and also concluded that the commissioner’s idiopathic fall analysis was “confusing.” The district court accordingly remanded for additional analysis.

Here’s How the Court Ruled
In Benco Mfg. v. Albertsen
,  2009 Iowa App. LEXIS 72 (February 4, 2009), the Court of Appeals of Iowa reversed the district court and reinstated the Commissioner’s finding of compensability.  The court first observed that Iowa indeed had not adopted the positional risk rule.  Compensation could be awarded, however, for injuries resulting from risks that were personal to the employee (idiopathic falls/injuries) where the employment aggravated the injury. The court indicated that the concrete wall screening the restroom door was related to the working environment and had aggravated Albertson’s injury from her fall by causing the neck fracture.  Accordingly, the employee was entitled to benefits.  The court of appeals reversed the district court’s judgment and remanded for entry of a judgment affirming the Commissioner’s award of benefits.

See generally Larson’s Workers’ Compensation Law §§ 7.04, 9.01.

Author: Tom Robinson, J.D.
Tom Robinson, J.D. is the primary upkeep writer for Larson’s Workers’ Compensation Law (LexisNexis) and Larson’s Workers’ Compensation, Desk Edition (LexisNexis). He is a contributing writer for California Compensation Cases (LexisNexis) and Benefits Review Board – Longshore Reporter(LexisNexis), and is a contributing author to New York Workers’ Compensation Handbook(LexisNexis). Attorney Robinson is an authority in the area of workers’ compensation and we are happy to have him as a Guest Contributor to Workers’ Comp Kit Blog. Tom can be reached at: compwriter@gmail.com.
http://law.lexisnexis.com/practiceareas/Workers-Compensation

Click on these links to try it for yourself.
WC Calculator www.ReduceYourWorkersComp.com/calculator.php
TD Calculator www.ReduceYourWorkersComp.com/transitional-duty-cost-calculator.php
WC 101 www.ReduceYourWorkersComp.com/workers_comp.php

Do not use this information without independent verification. All state laws are different. Consult with your corporate legal counsel before implementing any cost containment programs.

©2008 Amaxx Risk Solutions, Inc. All rights reserved under International Copyright Law. If you would like permission to reprint this material, contact Info@WorkersCompKit.com

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Posted in Insurance Issues, Rates, Premiums |


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An Important Update from the Center for Medicare and Medicaid Services


In a continuing   effort to help keep you up-to-date on happenings in Medicare we offer the following summary of important and timely information about MSA compliance.

Today’s Centers for Medicare & Medicaid Services (CMS)  Town Hall Meeting focus was Non-Group Health Plans (NGHP) Registration with additional clarifications regarding registration, testing and software availabilities.  CMS announced a further extension of the Section 111 Reporting dates.

CMS will be releasing the following information as alerts: 

1. Responsible Reporting Entity  (RRE) Registration has been extendedfrom May 1st, 2009 through September, 30th 2009.
2. The Testing period  has been extended from January 1st, 2010 through March 31th, 2010.
3. Total Payment Obligationto the Claimants (TPOCs) occuring prior to January 1st, 2010 are not reportable. This is not true of ORM’s, which will need to be reported as of July 1st, 2009.
4. Reporting  will begin April 1st, 2010.

Contributed by Gould and Lamb, the nation’s leader in Medicare Secondary Payer (MSP) and Mandatory Insurer Reporting (SCHIP) compliance.

Click on these links to try it for yourself.
WC Calculator www.ReduceYourWorkersComp.com/calculator.php
TD Calculator www.ReduceYourWorkersComp.com/transitional-duty-cost-calculator.php
WC 101 www.ReduceYourWorkersComp.com/workers_comp.php

Do not use this information without independent verification. All state laws are different. Consult with your corporate legal counsel before implementing any cost containment programs.

©2008 Amaxx Risk Solutions, Inc. All rights reserved under International Copyright Law. If you would like permission to reprint this material, contact Info@WorkersCompKit.com

Posted in Medicare Set Asides (MSAs) |


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Intro to How Simple Ergonomic Interventions Can Reduce Workers Compensation Claims


Ergonomics  is the study of adapting the workplace environment to the worker in order to reduce the risk of musculoskeletal disorders.

Unfortunately,  too often, this crucial interaction is overlooked.  Factories design equipment for maximal productivity without taking into account human limitations.  Offices are often designed with more regard for aesthetics than human variability.  When you think about the fact that we have employees that are 4’10″ sharing the same workplace and same equipment with employees who are 6’6″, it is important to provide accommodation for these differences.

However,  quite often, some simple engineering and/or administrative controls go a long way towards eliminating an increasingly dangerous problem.  Some examples of engineering controls include raising the height of some of the machinery in a  factory so taller workers no longer have to work in a hunched posture, or adding keyboard trays in an office setting so shorter employees can type without elevating their shoulders. (workersxzcompxzkit) Examples of administrative controls include task rotation in an industrial setting, and frequent short breaks for computer users in an office setting.

Many studies  have shown that an ergonomic program can reduce injury rates, reduce reported discomfort, increase productivity and employee satisfaction, and as a result of all these, reduce workers compensation claims.

Author:  Hayley Kaye, MS, CPE, is a Board Certified Professional Ergonomist specializing in office and industrial ergonomics.  She earned her Masters in Ergonomics and Biomechanics from New York University, and an undergraduate degree in psychology from Emory University.  She can be reached at hayley@hlkconsulting.com  or www.hlkconsulting.com

WC Calculator www.ReduceYourWorkersComp.com/calculator.php
TD Calculator www.ReduceYourWorkersComp.com/transitional-duty-cost-calculator.php
WC 101 www.ReduceYourWorkersComp.com/workers_comp.php

Do not use this information without independent verification. All state laws are different. Consult with your corporate legal counsel before implementing any cost containment programs.

©2008 Amaxx Risk Solutions, Inc. All rights reserved under International Copyright Law. If you would like permission to reprint this material, contact Info@WorkersCompKit.com

Posted in Safety and Loss Control |


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Reducing WC Costs The MaxCo Success Story Part VIII


Three Key Steps in a Well-Designed Plan
1-Improving Insurance Company Relationships

MaxCo educates its broker,  third-party administrator, and its insurance division so they understand the program and know management wants all employees back at work as soon as medically possible. Everyone involved knows MaxCo goes to great lengths to return employees to the work force and requires their assistance in this effort.

MaxCo also redesigned  its insurance program so all auxiliary services provided by outside vendors fit together into the total program. The program is designed to be a vehicle for these services.

MaxCo  implemented very detailed Special Account Instructions, which include lower than normal “authority” levels and require written status reports every 30 days on all claims in excess of $10,000. The settlement authority level for all workers’ compensation claims is only $5,000.

2-File Audits
MaxCo audits all workers’ compensation files  at least twice each year in an attempt to develop a strategy to resolve each claim. These are face-to-face meetings composed of the division representative (usually personnel director and general manager), the insurance division file adjustor, insurance division supervisor, insurance broker, physician consultant, and often, corporate counsel. It is very important to follow up after these meetings to make certain all “action items” are completed.

File audits are a two-way street  so MaxCo makes an effort to keep the insurance company informed of the actions it takes to return an employee (workersxzcompxzkit) to work. MaxCo sends insurers copies of all correspondence and communicates frequently with them by phone so there is a cooperative effort and a good working relationship. There have been times, however, when MaxCo is successful in spite of its insurance carrier.

3-Investigation and Surveillance
Each accident is investigated  in the plant immediately after it occurs to determine the root cause and to identify corrective measures.

In addition,  claims with “red flags” are investigated by professional private investigators to determine whether the extent of the injury is legitimate, or whether it is being exaggerated. MaxCo divisions budgeted approximately 5 percent to 10 percent of the total cost of the claim for surveillance.
Watch this blog for MORE on “Red Flags.”

Author:  Robert Elliott, J.D.

Click on these links to try it for yourself.
WC Calculator www.ReduceYourWorkersComp.com/calculator.php
TD Calculator www.ReduceYourWorkersComp.com/transitional-duty-cost-calculator.php
WC 101 www.ReduceYourWorkersComp.com/workers_comp.php

Do not use this information without independent verification. All state laws are different. Consult with your corporate legal counsel before implementing any cost containment programs.

©2008 Amaxx Risk Solutions, Inc. All rights reserved under International Copyright Law. If you would like permission to reprint this material, contact Info@WorkersCompKit.com

Posted in Assessment & Diagnostics, Benchmarking & FTE & Operational Comparison, Communication with Employees, Coordinating Medical Care, Implementation and Rolling Out Your Program, Workers Comp Kit |


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How Understanding Depression in Wellness Programs May Improve Compensation Outcomes


Cognitive Distortions and Testing for Truth — It easy to find

 

Depression:  Cognitive Therapy  evidence to support a false assumption.  Want to believe the earth is flat?  Go to Florida and look around; it looks flat.  More evidence?  Go to west Texas and look around; it looks flat.  More evidence yet?  Gee, you’re a hard sell.  Go to Manitoba and look around; it sure looks flat there.  It is only when you look for evidence that the world is not flat that the truth emerges — it’s not flat!

Sometimes someone  says, “Nothing I do is right.  Everything I do goes wrong.”  And this person easily cites lots of things they messed up to support their view.  If you look at them and say, “Wait a minute.  Your clothes are on right-side-out.  Your shoes are on the right feet.  You drove here without killing anyone.  What do you mean everything you do is wrong?”  this may lead to a second cognitive distortion, “Oh, those are little things.  It’s the important things I mess up.”  One may respond to this statement by saying,  ”So it’s only important if you mess up?  Does that really make sense?  Have you ever tried wearing your shoes on the wrong feet; perhaps it’s more important than you think.  And wouldn’t you suppose the person you didn’t kill while you were driving here thinks that’s important?”   

It’s been found  people’s strengths and weaknesses are often the opposite sides of the same coin. They do what they are good at, when it might be better to try something else.  This idea seems to work in depression.  People are encouraged to “be responsible” or “take responsibility.” But if people take responsibility for things beyond their capacity to control, it sets them up for failure and depression.  Depressed people often seem laudable in their willingness to try to solve problems around them, but when it begins to hurt, it’s time to quit.  It may be worthwhile reminding oneself that one does not have to be perfect to be good, and good enough is often just that — good enough.  (workersxzcompxzkit) Many problems in life can be approached usefully by first asking “Who owns this problem?”  If it really isn’t yours, don’t volunteer! 

Note: Knowing this information, may help a WC Manager communicate more effectively with an employee with this type of problem.

Author:  Sandford S. Leffingwell, M.D., MPH  is a board certified specialist in occupational medicine, with degrees from Harvard University, University of Colorado School of Medicine and The Johns Hopkins School of Hygiene and Public Health.  He can be reached at ssl@hlmconsultants.com.

Click on these links to try it for yourself.
WC Calculator www.ReduceYourWorkersComp.com/calculator.php
TD Calculator www.ReduceYourWorkersComp.com/transitional-duty-cost-calculator.php
WC 101 www.ReduceYourWorkersComp.com/workers_comp.php

Do not use this information without independent verification.  All state laws are different so do not implement any cost containment procedures until you have discussed them with your corporate counsel. Your individual doctor must treat medical issues. We are not giving medical advice; this is an overview of wellness topics, not medical advice.  

©2008 Amaxx Risk Solutions, Inc. All rights reserved under International Copyright Law. If you would like permission to reprint this material, contact Info@WorkersCompKit.com

Posted in Medical Issues, Wellness Programs and WC |


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Understanding Depression – Often Seen in Long Term Workers Compensation Claims


Understanding Depression – A Definition
Depression is a condition that is often seen in workers who have been out of work for long periods of time.

There are two major  schools of thought on the cause of depression.  The first holds that depression is the result of chemical imbalances in the brain and advises treatment with anti-depressant drugs.  The tricyclic antidepressants, (Elavil®), have fallen from favor, but are still used.  Selective serotonin reuptake inhibitors (SSRI), ( Zoloft®, Prozac®, Paxil®, Lexapro®), are thought to work better with fewer side effects.  For many patients, drugs combining the inhibition of serotonin and norepinephrine reuptake (SSNRI) seem to be a better choice.  If you simply prescribe drugs, more than half of patients will improve dramatically.

A second school  holds that depression is the result of ideas people have about themselves.  The psychiatrist who advanced this theory noticed most of these ideas held by his patients were wrong, or only partly true.  He developed a system, called cognitive therapy, to teach patients to recognize the ideas leading to depression, then to test them to  see to what extent they were true or partly true. Treatment using cognitive therapy is usually short-term, less than three months, and demand a bit more work than traditional therapy (workersxzcompxzkit). The therapist may ask the patient to note certain things during the week and be prepared to discuss them at the next session.  If you simply use this therapy on patients, about the same percent get well as got well with drugs alone.

Combining drugs  and cognitive therapy, results in about half again as many people getting well.
If symptoms  are mild and intermittent, try reading Feeling Good: The New Mood Therapy, by David Burns, M.D.  It is a self-help book based on cognitive therapy which psychologists say “got it right”  –unusual praise for a self-help book.  If there is evidence of bipolar disorder defined as swings in mood from higher-than-normal energy and optimism to spells of depression, then mood stabilizers may work better than anti-depressants alone.

Author:  Sandford S. Leffingwell, M.D., MPH  is a board certified specialist in occupational medicine, with degrees from Harvard University, University of Colorado School of Medicine and The Johns Hopkins School of Hygiene and Public Health.  He can be reached at ssl@hlmconsultants.com. www.hlmconsultants.com

Click on these links to try it for yourself.
WC Calculator www.ReduceYourWorkersComp.com/calculator.php
TD Calculator www.ReduceYourWorkersComp.com/transitional-duty-cost-calculator.php
WC 101 www.ReduceYourWorkersComp.com/workers_comp.php

Do not use this information without independent verification.  All state laws are different so do not implement any cost containment procedures until you have discussed them with your corporate counsel. Your individual doctor must treat medical issues. We are not giving medical advice; this is an overview of wellness topics, not medical advice.  

©2008 Amaxx Risk Solutions, Inc. All rights reserved under International Copyright Law. If you would like permission to reprint this material, contact Info@WorkersCompKit.com

Posted in Medical Issues, Wellness Programs and WC |


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Medicare Set Aside MSA Abbreviations Used in Workers Compensation Settlement Discussions


Based on  the many requests coming into the blog, inquiring minds want to know!  So, here’s a list of some of the most common abbreviation used by the Center of Medicare and Medicaid Services (CMS) to describe their many services and programs.

AD:         Account Designee.  Assigned by the Account Manager
AM:         Account Manager.   Assigned by the Authorized Representative
AR:          Account Representative.  Can contractually bind the insurer
COBC:     Coordination of Benefits Center.  Responsible for receiving MQF and MIR files
COBSW:   Coordination of Benefits Secure Web-Site.  For RRE registration processing
CP:          Conditional Payment
CPR:        Conditional Payment Research
CMS:       Centers for Medicare & Medicaid Services
CSA:        Claim Settlement Allocation
EDI:         Electronic Data Interface
LC:          Lead Contractor, see MSPRC
MIR:        Mandatory Insurer Reporting
MMSEA:   Medicare & Medicaid State Children’s Health Insurance Program Extension Act
MQF:       Medicare Query Function. Used to determine Medicare eligibility & reporting requirements
MSA:       Medicare Set Aside.  Allocation
MSP:        Medicare Secondary Payer
MSPRC:    Medicare Secondary Payer Recovery Contractor.  Responsible for recovery of CP
NAIC:      National Association of Insurance Commissioners
NGHP:     Non-Group Health Plans.  Workers’ compensation, liability, auto No-fault, etc.
PIN:         Personal Identification Number.  For COBSW
RRE:        Responsible Reporting Entity
RRE ID:    Responsible Reporting Entity Identification
SCHIP:     State Children’s Health Insurance Program
S/J/A:      Settlement/Judgment/Award
TIN:         Tax Identification Number
TPA:        Third Party Administrator
TPOC:      Total Payment Obligation of Claimant

Thank you  to Gould & Lamb, LLC, for providing this list of abbreviations. They can be contacted at www.GouldandLamb.com.

Click on these links to try it for yourself.
WC Calculator www.ReduceYourWorkersComp.com/calculator.php
TD Calculator www.ReduceYourWorkersComp.com/transitional-duty-cost-calculator.php
WC 101 www.ReduceYourWorkersComp.com/workers_comp.php

Do not use this information without independent verification. All state laws are different. Consult with your corporate legal counsel before implementing any cost containment programs.

©2008 Amaxx Risk Solutions, Inc. All rights reserved under International Copyright Law. If you would like permission to reprint this material, contact Info@WorkersCompKit.com

Posted in Medicare Set Asides (MSAs) |


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Six Important Steps to Take When Multiple Medical Providers Disagree on Return to Work Capabilities


Anytime there  are multiple physicians involved, there's potential for costly delays, says Gordon Butler, leading authority in return to work strategies. In this situation work status communication is frequently volleyed indefinitely between parties in a claim with no resolution. Taking a proactive approach to complex cases where  ORTHO/PAIN MTG/PSYC providers cannot concurrently reach agreement on a point of recovery or MMI is worth the effort!  6 steps towards obtaining a current work release when multiple doctors disagree 1.  Address the challenge  head on. Initiate a "Prognosis Request" clearly outlining questions related to current work status, physical restrictions, and potential MMI date. 2.  Distribute a copy  of your Return-to-Work Status Request simultaneously to ALL physicians involved. Make it easy to read and always clearly provide a FAX number for reply.  3.  Coordinate a Functional Capacity Evaluation (FCE) to clearly address current medical return-to-work capability. Make sure the findings from this valuable diagnostic test don't get lost in the shuffle. If full duty is not possible, but modified  duty is appropriate – congratulations you've got something to work with. (workersxzcompxzkit) Get copies of the report to all physicians involved and request an updated Medical Work Status. 4.  Do your RTW homework.  Once it is clear some level of work is possible, explore a Labor Market Research Report and prepare several types of position descriptions for consideration.  Visit    www.SOARresearch.com as a good resource for this type of data research. 5.  Be diligent with paperwork. Multiple medical providers who stubbornly disagree on full duty work status, often readily concur on some level of modified duty as appropriate. Narrowing down this agreement may require initiating several rounds of discussion. 6.  Use legal support  if needed. Medical RTW status checks are important. If an Authorized Treating Physician (ATP),  Independent Medical Evaluation (IME) or other provider is not responding to your requests, check-in with legal council to discuss deposition options. 7.  Don't forget  to say "thank-you" to the medical provider and staff for their help in facilitating Work Status Requests and review/approval of Job Descriptions. 6.  Do remember  to take action. Send written notification to respective parties in a claim when medical RTW status has changed. Include transitional duty or job search support,  mediation and or settlement offers about your future claim strategy. Author:  Gordon R. Butler, national authority and consultant on employability & wage capacity in workers' comp, liability, PIP and LTD Claims. He can be reached at 321-377-1164 (cell) or email gbutler@gbutlerconsult.com www.gbutlerconsult.com Click on these links to try it for yourself! WC Calculator www.ReduceYourWorkersComp.com/calculator.php TD Calculator www.ReduceYourWorkersComp.com/transitional-duty-cost-calculator.php WC 101 www.ReduceYourWorkersComp.com/workers_comp.php Do not use this information without independent verification. All state laws are different. Consult with your corporate legal counsel before implementing any cost containment programs. ©2008 Amaxx Risk Solutions, Inc. All rights reserved under International Copyright Law. If you would like permission to reprint this material, contact Info@WorkersCompKit.com

Posted in Return to Work and Transitional Duty |


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ALERT for Non Group Health Plan Users Guide from Center for Medicare and Medicaid Services


In addition to the recent publication of the Non-Group Health Plans (NGHP) User Guide on 3/16/09, Center for Medicare & Medicaid Services (CMS) recently released an Alert intended to answer a few open issues remaining from the User Guide.  The Alert was published on March 23, 2009. Contained within the Alert are a few key updates: Extended Testing Periods CMS has extended the testing period an additional three months.  Testing will now occur between 7/1/09 and 12/31/09, shifting the requirement for live-data reporting to Q1 2010.  This is substantial from a preparation standpoint, but should not give anyone the mistaken hope that it is time to slow down.  Registration is a lengthy multi-step process still scheduled between 5/1/09 and 6/30/09 (just 36 days away).  Registration is expected to include tens of thousands of Responsible Reporting Entities (RREs).  After registration, each RREs Reporting Agent must conduct a series of data tests with the Coordination of Benefits Center (COBC) before the first Medicare Query Function (MQF) file can be submitted.  Imagine how long this testing might take CMS to complete with +50,000 RREs registering at the same time. After successful completion of the testing, an MQF file must be loaded to CMS to determine Medicare beneficiary status on the RRE's claims.  It takes CMS 14 days to respond to the MQF file.  The MQF response file from CMS will tell us which claims need to be reported in the first Mandatory Insurer Reporting (MIR) input file as early as January 2010.  All of these cases involving Medicare (workersxzcompxzkit) beneficiaries must be updated to include CMS' new required data.  This is a large endeavor for an Insurer/TPA/self-insurer, requiring a great deal of time pre-live reporting.  As an example, if you have 500,000 open claims and 8% of them involve a Medicare beneficiary, then 40,000 claims need to be updated to meet CMS reporting requirements.  If your system is robust and captures 100 of the 180 CMS fields, there are still up to 80 fields per claim to enter, or roughly 3.2 million individual items for data entry. Bottom-line:  The extended testing period just gives us more time to get our files in order for the 1st live report in Q1 2010.  Don't relax yet.Interim Reporting Thresholds CMS has also offered  some much wanted low dollar thresholds for settlements, judgments, and awards Settlement/Judgment/Award (S/J/A) in workers' compensation (WC) and liability, meaning these cases do not need to be reported at the time of S/J/A.  What is interesting about the thresholds is that they reduce over time.  Here is the summary of these thresholds and their effective dates: TPOC* Date between 7/1/09 and 12/31/10 and TPOC Amount less than or equal to $5000.00 – Not Reportable

  1. TPOC Date between 1/1/11 and 12/31/11 and TPOC Amount less than or equal to $2000.00 – Not Reportable
  2. TPOC Date between 1/1/12 and 12/31/12 and TPOC Amount less than or equal to $600.00 – Not Reportable *TPOC:  Total Payment Obligation of Claimant.

After 1/1/13,  all TPOC Amounts will be reportable.  CMS reiterates that these are not "safe harbors" and that their MSP rights apply regardless of whether or not the S/J/A is reportable through MIR.  They reserve the right to change these thresholds in the future.  Multiple TPOC Amounts must be summed to determine if the threshold was breached, no cheating by breaking the settlements into 47 individual settlements allowed. Another threshold  they discussed is only applicable to Workers' Compensation cases with ORM (Ongoing Responsibility for Medicals) through 12/31/10.  It appears to have been developed to focus on medical only claims with little to no loss time and limited medical payments.  The rules for this exception are clearly articulated in the attached document.  There is no threshold for liability or no-fault cases with ORM. Bottom-line:  These thresholds take away reporting responsibility on a lot of nuisance value settlements and claims in the short term, but eventually everything will be reported. Conclusion There were also a few technical notes and updates that are ultimately not relevant unless you are a Reporting Agent in the Alert.  Both the testing extension and interim reporting thresholds were much desired requests from the industry.  CMS has delivered on both in the short term, but ultimately we will be reporting all the data CMS needs to enforce its Secondary Payer Rights in workers compensation, liability and no-fault. Many thanks to  Gould & Lamb, LLC for providing this article. Click on these links to try our calculators and WC 101. WC Calculator www.ReduceYourWorkersComp.com/calculator.php TD Calculator www.ReduceYourWorkersComp.com/transitional-duty-cost-calculator.php WC 101 www.ReduceYourWorkersComp.com/workers_comp.php Do not use this information without independent verification. All state laws are different. Consult with your corporate legal counsel before implementing any cost containment programs. ©2008 Amaxx Risk Solutions, Inc. All rights reserved under International Copyright Law. If you would like permission to reprint this material, contact Info@WorkersCompKit.com

Posted in Medicare Set Asides (MSAs) |


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