National & Texas Workers’ Compensation Trends

By Yvonne Guibert

Greg McKenna, always an interesting presenter, presented a fast-paced thought-provoking review of what has transpired over the past four years or so in the workers’ comp industry from a national perspective. 

Greg took us on a fun journey to “binge watch” a new popular series currently on streaming media: House of Comp. A GB Original Series. For those of you not familiar, it is a political drama...all about money, power & influence. In this fictional intense political drama, factions take sides for the fate of workers’ compensation in the U.S. 


Backdrop 2015: Towards the end of Obama’s 2nd Term...Propublica’s Demolition of Workers’ Comp. Investigative reporters took a very serious look at whether or not the state-by-state workers’ comp system should be reconsidered. Featuring the Lobbyists of the Vesuvius Project. While it is a very interesting look into the wide variances in state-by-state workers’ comp systems, Greg pointed out there was no context provided. Something to consider. 

A preview of today’s binge watch list episodes

Episode 1. Landfall
Episode 2. Count Despair
Episode 3. 100 Days
Episode 4. Show Me The #’s
Episode 5. Mid-Term Exam
Episode 6. Marijuana
Episode 7. I’d Sooner
Episode 8. A New Gig
Episode 9. Insolvency
Episode 10. Hard as Granite
Episode 11. 20/20 Clear Eye
Episode 12. Full Heart. 

Episode 1. Landfall. Hurricane Matthew October 2016. 

The DOL and the Nat’l Academy of Social Insurance delivers a 43 page report on the State of Workers’ Compensation. End of Obama’s 2nd term. 

Episode 2: Election Night, November 2016

Agents see a disturbing trend. Many counties previously blue voted red. A phenomenon now known as “counties of despair” --  addiction, suicide rates very high. These counties overwhelmingly came out in support of Donald Trump. 

Episode 3: The First 100 Days, Winter / Spring 2017

Suspension of the DOL Blue Ribbon report on workers’ comp. Also some influence in respect to OSHA. Vesuvius is off the grid for the time being. Featuring Delays in electronic reporting. Back to a more digitized approach to OSHA reporting; injury tracking application. 

Episode 4: Show Me Numbers, Early 2018

Agents come to National Mall to meet an informant. Secret documents delivered by the agents to a Donald Sutherland-looking character wearing a trench coat. 2 reports. 

4 Extra: Oregon Dept of Labor Report. Ranking of states in terms of premium written. 

4 Extra: National Academy of Social Insurance (NASI). The gap between Employer Costs and Benefits is what is interesting to the secret agents. Who is controlling the dollars represented here? 

Cash Benefits Vs. Medical Benefits. 

Episode 5: 2018 Midterm Exam, 
Somewhere in the Southeast Fall 2018

Highest turnout for 104 years. 115 Million Voters. 
Partisan control changes as a result of the 2018 elections.
5 Extra: Turning Trifecta

Episode 6: Take the 65% Favorability Out For A Spin

Dirksen Federal Building, Washington, DC, Winter 2019

A populist movement toward the legalization of marijuana is taking hold across the US. But, Federalism still reigns. The senate committee on the judiciary holds a key. 

6 Extra: Gallup Poll

Americans’ Support for Legalizing Marijuana Continues to Rise

6 Extra: Red States? Blue States? Green States
-the darker the green, the higher the support for legalization


6 Extra: Farm Bill
6 Extra: Governor Abbott Signs Bill Into Law: Texas Hemp Law
6 Extra: Marijuana Revenue and Regulation Act -- S. 420

New Marijuana Bill -- the most expansive legalization bill introduced to Senate so far; would cause the most disruption if it passes

Episode 7: I’d Sooner Suffer the Pain, Oklahoma City, OK
Summer 2019

OKC Atty General marshals a lawsuit against the nation’s largest drug manufacturer on a theory of public nuisance for the alleged irresponsible marketing of opioid pain medications and claims hundreds of millions in damages. Where else in the supply chain will they go to recoup some of these costs?

7 Extra: Centers for Disease Control Figures
7 Extra: Texas Formulary 
7 Extra: WCRI Inter-State Differences in Opioid Use in WC

Episode 8: A New Gig, Sacramento, CA; Fall 2019

Confronting a new reality for the modern workplace. Vesuvius takes up the plight of gig workers and seeks legislation that would better protect workers

AB5, signed just this week in CA!

57 Million US workers are part of the Gig Economy...are they fairly protected?

8 Extra: The Future is Here

Someone you love will be a Gigger

50% of companies will increase their usage of contingent workers over the next 3-5 years. 

Episode 9: Insolvency Medicare, Washington DC, Georgetown

As regulars to Tues night Trivia at the Tombs, no one was surprised to see Vesuvius at the bar. As teams collected their scoresheets for the night’s action, there was a special envelope waiting for them. A report on Medicare Insolvency.

9 Extra: Congressional Research Service
9 Extra: Control the Press
9 Extra: Follow the Money

Performant -- Vendor Partner engaged by CMS to recover monies owed them to the tune of billions of dollars. 

Episode 10: Hard As Granite State, Nashua NH

10 Extra. Medicare for All

Majority of House Dems now support Medicare for All. 

This will disrupt the system. What will the impact be to workers’ comp?

Significant value of workers’ compensation is dependent on our “deal” with the injured workers.

Episode 11: 2020 A Clear-Eye View on the Politics of WC
A Polling Place, Austin, TX

2020 is one year away. Disruptive forces facing WC in the near term are:

  1. Equity of Worker Recovery
  2. Medical Outcomes & Addiction -- do we have culpability?
  3. New Definition of Work -- our workplaces look different than they did 100 years ago
  4. Universal Healthcare

Episode 12: Full Heart

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