SB 863 Surgery Center Payment Reductions Slightly Greater Than Expected

Payments to ambulatory surgery centers (ASCs) in the post-SB 863 workers’ comp world are down an average of 27% per episode and 29% per procedure, according to a new industry study on costs. The findings slightly exceed initial predictions that the cuts would produce savings of roughly 25%. The findings update an earlier study that … Read More »

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SB 863 Changing Medical Spending In California’s Workers’ Comp System

SB 863’s limits on payments to ambulatory surgery centers and for the cost of certain hardware used in spinal surgeries is having a positive impact on workers’ comp costs for California employers. New data shows that the average payment by workers’ comp carriers in some areas is down as much as 14%, but overall the … Read More »

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Researchers Recommend Status Quo For Surgery Center Fee Schedule

Researchers are recommending against creating a new workers’ comp fee schedule that would establish maximum payments to ambulatory surgery centers (ASCs) for procedures that Medicare considers to be inpatient only type surgeries. The findings by the RAND researchers to maintain the status quo likely means that payments will continue being negotiated on a case-by-case basis, … Read More »

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Difference In Workers’ Comp Rate Recommendations Based On Methodologies, Savings Estimates

Insurance Commissioner Dave Jones and his staff at the California Department of Insurance (CDI) are now mulling competing proposals for where to set the advisory pure premium rates for 2014 policies. The debate is whether the rates should increase 8% or 9.6% to account for the continued high rate of claim frequency, adverse development on … Read More »

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New Rules Cut Surgery Center Payments 30%

Draft rules designed to slash payments to ambulatory surgery centers (ASCs) are continuing to torment the ASC community, but the Division of Workers’ Compensation (DWC) has little leeway to change the rules and rates it is setting. Under the explicit terms of SB 863, the DWC is charged with setting these payments for treating injured … Read More »

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DWC Eases Hit on Surgery Center Fees

The Division of Workers’ Compensation (DWC) is circulating a new draft regulation that if adopted will reduce payments to ambulatory surgery centers (ASCs) that treat injured workers. An original proposal floated last spring would have cut payments by an estimated $70 million, but the current draft would cut only $30 million, according to the division. … Read More »

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Regulations Could Save Employers Millions

Ambulatory surgery centers (ASCs) play a key role in treating injured workers under the California workers’ comp system, treating 110,000 workers in 2007 and performing 69% of the surgical procedures required by injured workers. But are California employers paying more than they should for the care provided at these centers? A new research paper suggests … Read More »

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