10 Strategies to Combat the Rx Abuse Epidemic - An Insurer's Perspective

The misuse and abuse of prescription drugs has taken a devastating toll on communities all across America. For insurance companies, the financial impact of rising opioid costs continues to cause concerns, as medical payments exceed indemnity payments. 

In 1987, medical losses represented only 46 percent of the dollars spent on workers’ compensation claims. Today, medical losses represent roughly 60 percent of the dollars spent on these claims.[i] In the Winter edition of the NAMIC Mutual Insurance magazine, the article “Opioids: A Workers’ Compensation Epidemic” discussed the Accident Fund Insurance’s 60%/40% medical loss/indemnity loss split, in addition to calling opioids workers’ compensation’s current worst enemy.[ii]