Research and Analysis by Jack Schmulowitz
Benefit payments under workers' compensation programs in the United States during 1992-93 stabilized in comparison with the experience of prior years, which had been marked by substantial growth. In 1992, the total benefit amount of $44.7 billion was 5.9 percent higher than the amount in 1991. The 1993 benefit amount of $42.9 billion represented a 3.9 percent decrease from the amount in 1992. From 1991 to 1993, benefits increased by only 1.8 percent. The payments for 1993 included $25.4 billion in wage-loss compensation and $17.5 billion for medical care.
Employer costs of providing workers' compensation was $55 billion in 1992 and $57.3 billion in 1993. The cost of protection per covered employee was $597 in 1993, equal to $2.30 per $100 of payroll. In the same year, there were 96.1 million workers covered under Federal and State programs.
This article examines 1992–93 program experience in terms of benefits, costs, and the components of change.