Additional findings from the collaborative study include:

Between 2001 and 2021, a total of 11,330 claims were reported with incurred losses in excess of $2 million at 2022 cost levels.
Frequency in mega claims has increased across all industries with the largest increase in construction. Mega claims are being recognized earlier across industries.
The share of claims greater than $5 million is higher than those in the $2 million to $5 million range for injuries in construction to the head and brain and from motor vehicles. Claims with these characteristics also represent a larger share of loss in excess of $2 million.
Claims in the highest severity categories are also the fastest to emerge. The categories with slowest emergence are office and clerical, lower back, and strain or injury by (strains).
Burn and electric shock mega claims have the fastest emergence. Almost all burn and electric shock mega claims are recognized within the first 18 months of policy inception.

The Workers’ Compensation Insurance Rating Bureau of California, Delaware Compensation Rating Bureau, Indiana Compensation Rating Bureau, Compensation Advisory Organization of Michigan, Minnesota Workers’ Compensation Insurers Association, National Council on Compensation Insurance, New Jersey Compensation Rating and Inspection Bureau, New York Compensation Insurance Rating Board, North Carolina Rate Bureau and Pennsylvania Compensation Rating Bureau collaborated to produce the report on mega claims in workers' compensation spanning the years 2001 through 2021.

Special Reports /

20-year study: The state of mega claims in workers’ compensation

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