Boomers to Affect Workers’ Comp in Long-Term Care Industry

The long-term care industry will be impacted substantially by the aging of the population and employment and certain sectors of the long-term care industry are forecast to grow significantly faster than average over the next several years.

A National Council on Compensation Insurance research study examines how aging baby boomers and a growing long-term care industry will present an emerging issue for workers’ compensation insurance.

In addition to examining industry growth rate the NCCI study explores injury characteristics for nursing home facilities, retirement living centers, and home health care services that together make up the long-term care industry.

Frequency for all long-term care industries is above average. Average frequency from 1993-2005 at nursing home facilities and retirement living centers is more than double the average for private industry, while frequency for home health care services is 17 percent higher than average, according to NCCI.

Severity at nursing homes and retirement living centers is below average due to below average wages. Severity for home health care services is about average.

The study finds that home healthcare severity is likely to be higher than severity at nursing homes and retirement living facilities due to a high share of more severe motor vehicle accidents.

Back strains due to lifting are an even greater share of claims in long-term care than for all other industries. The long-term care industry also has a significant exposure to injuries due to assaults by patients. These types of assaults have been increasing.

The entire report can be viewed at www.ncci.com.