The workers' compensation system got a much needed diagnostic last month in the form of two very important studies by the Division of Workers' Compensation (DWC). The first, analyzing return to work outcomes under the reform laws, showed a slight but distinct improvement in return to work rates for injured workers whose permanent disability was rated within 18 months of the date of injury. This study is the first in a series of studies that will gauge wage loss for injured workers post-SB 899. If, as expected, wage loss has declined since the reforms, then there is every indication that the permanent disability rating schedule is meeting its objectives.

 The second study released in February deals with access to medical care. Conducted by the UCLA Center for Health Policy, this study indicated that the vast majority of injured workers were satisfied with the health care that they were receiving under the workers' comp system and had appropriate access to medical care within the time frames required by state laws.

On the other hand, providers were less pleased with the reforms and indicated their displeasure over both utilization review requirements and their compensation under the Official Medical Fee Schedule (OMFS). This study was conducted prior to recent changes in the OMFS that increased fees for certain services performed by treating physicians.

Over the past several years, much of the public discussion over the reforms has been anecdotal and orchestrated to undermine the improvements to the system enacted in SB 899 and prior reform laws. As more experience is gained and the results of studies have been published, a better understanding has emerged as to how the reforms have benefited both injured workers and employers. The system remains far from perfect but we have a clearer understanding of what improvements still need to be made after the work by the DWC.

Our goal at Employers Direct is to assist policymakers in their ongoing efforts to improve California's workers' comp system. As your insurance carrier and partner, we are committed to delivering the highest level of service, whether in claims, loss control, or by fighting workers' comp fraud, consistent with the fundamental bargain between employers and workers that established this system nearly 100 years ago. We have that same level of commitment to protect the reforms signed into law by Governor Schwarzenegger against efforts to return the system to its wasteful past.