Workers' Compensation Medical Price Index: Q2 2017

The National CPI for All Services as reported by the Bureau of Labor Statistics in August 2017 is 120.9, which reflects a 1.7 percent decrease since Q1 2017. For the same period of time, Q1 2017 to Q2 2017, the National Workers’ Compensation MPI decreased 2.8 percent and as August 2017, sits at 110.7. Since Q1 2006, the MPI has increased 10.7 percent while the National CPI for All Services increased 20.9 percent.

• Charges associated with physical medicine services experienced a 2.04 percent increase from Q1 2017 to Q2 2017. This increase brings the total unit cost change for physical medicine since Q1 2006 to 6.1 percent – significantly below the National CPI for All Services reported by the Bureau of Labor Statistics. Please recall that the physical medicine MPI is looking strictly at unit charge while holding utilization constant.
• Major radiology services experienced by the workers’ compensation industry experienced a 6.9 percent increase in Q2 2017 when compared to Q1 2017; it remains below the average unit charge seen by the industry in Q1 2006.
• The unit cost for evaluation and management services decreased 9.01 percent in Q2 2017 when compared with its Q1 2017 result. Over the past year, comparing Q2 2016 results with Q2 2017 results, the unit charge associated with evaluation and management services has increased 2.01 percent. Since Q1 2006, evaluation and management services have seen unit charge increase 30.7 percent as reflected by the index value 130.7.
• The unit charge for professional services in the emergency room experienced a 5.63 percent decrease in Q2 2017 when compared to Q1 2017. Despite this decrease, the index remains 67.8 percent higher than the Q1 2006 unit charge benchmark.

National MPI

Evaluation & Management MPI

Emergency Room MPI

Major Radiology MPI

Physical Medicine MPI