Wyoming Among States With Highest Workers’ Comp Costs
According to a new report, Wyoming and Montana are among the states with the highest workers' compensation costs.
The report is from the Idaho-based Mountain States Policy Center.
They used 2020 data from the National Academy of Social Insurance.
Pointing to the Centers for Disease Control’s definition of workers’ compensation as “systems established to provide partial medical care and income protection to employees who are injured or become ill from their job,” report author Paige Thibaut said the purpose of the compensation is to incentivize employers to minimize injury and illness in the workplace. (Center Square).
Wyoming is an outlier in the way it works its workman's comp system.
The state has a “monopoly” on the program and as a result, the lack of competition has led to “increasing rates and questionable customer service,” according to Thibaut.
'Wyoming is also one of the four states in the U.S. to take a monopolistic approach to worker’s compensation, meaning worker’s compensation is publicly funded and there is no private sale of worker’s compensation,' the report said.
Monopolies always lead to higher costs and lower efficiency.
A government-run monopile is no different.
States that have moved away from a state-run system have seen costs drop and slow-moving, inefficient bureaucracy east.
“As we move forward, we are likely to see continued privatization of workers’ compensation - a free market solution which will promote competition and can only benefit businesses and employees alike,” Thibaut said.
Still, most workers fare well in Wyoming.
For a work-related injury, say a minor one, workers’ comp usually comes through quickly. Temporary disability income and the medical treatment needed to get back to work.