Workers Comp Audit Stress Reducer
Use It For Your Next Premium Audit

Texas Reforms Results Analysis – WCRI – Blogging Live


Texas Reforms – WCRI Conference – Live blogging

The new Texas reforms  were presented along with the preliminary results.

Graphic of Texas Reforms Analysis

This is a very informative conference-session. The current  session is pre- and-post reforms in the state of TX.

This example could be applied to other states with upcoming or in-place reforms

  • Total costs were lowered post-reform
  • Medical costs were the drivers for Texas and caused the need for reforms
  • Utilization of non-hospital services plunged.  Usually the utilization rates increase when the medical costs factors are lowered.   Other cost factors in Texas showed an increase in utilization vs. the pre-reform years
  • Heavy pre-authorization requirements
  • Most impact were noticed in 2011 and 2012 claims
  • Decrease in chiropractic care (-8.5%).  This is a dramatic increase in such a short amount of time.
  • Only California had higher cost claims that included chiropractic care.
  • As with CA, TX medical cost containment costs increased, California cost containment became prohibitively expensive
  • As compared with others states, more monitoring of expenses increase utilization review- this is an expected result that has appeared in most states.

As a side note, I have performed many studies that indicate a decrease in medical rates is counteracted by an increase in utilization.   This is on a state-by-state and type of treatment basis.  We shall see more results soon on the Texas reforms.

©J&L Risk Management Inc Copyright Notice


2 Responses


James J Moore - Workers Comp Expert

Raleigh, NC, United States

About The Author...

James founded a Workers’ Compensation consulting firm, J&L Risk Management Consultants, Inc. in 1996. J&L’s mission is to reduce our clients’ Workers Compensation premiums by using time-tested techniques. J&L’s claims, premium, reserve and Experience Mod reviews have saved employers over $9.8 million in earned premiums over the last three years. J&L has saved numerous companies from bankruptcy proceedings as a result of insurance overpayments.

James has over 27 years of experience in insurance claims, audit, and underwriting, specializing in Workers’ Compensation. He has supervised, and managed the administration of Workers’ Compensation claims, and underwriting in over 45 states. His professional experience includes being the Director of Risk Management for the North Carolina School Boards Association. He created a very successful Workers’ Compensation Injury Rehabilitation Unit for school personnel.

James’s educational background, which centered on computer technology, culminated in earning a Masters of Business Administration (MBA); an Associate in Claims designation (AIC); and an Associate in Risk Management designation (ARM). He is a Chartered Financial Consultant (ChFC) and a licensed financial advisor. The NC Department of Insurance has certified him as an insurance instructor. He also possesses a Bachelors’ Degree in Actuarial Science.

LexisNexis has twice recognized his blog as one of the Top 25 Blogs on Workers’ Compensation. J&L has been listed in AM Best’s Preferred Providers Directory for Insurance Experts – Workers Compensation for over eight years. He recently won the prestigious Baucom Shine Lifetime Achievement Award for his volunteer contributions to the area of risk management and safety. James was recently named as an instructor for the prestigious Insurance Academy.

James is on the Board of Directors and Treasurer of the North Carolina Mid-State Safety Council. He has published two manuals on Workers’ Compensation and three different claims processing manuals. He has also written and has been quoted in numerous articles on reducing Workers’ Compensation costs for public and private employers. James publishes a weekly newsletter with 7,000 readers.

He currently possess press credentials and am invited to various national Workers Compensation conferences as a reporter.

James’s articles or interviews on Workers’ Compensation have appeared in the following publications or websites:

  • Risk and Insurance Management Society (RIMS)
  • Entrepreneur Magazine
  • Bloomberg Business News
  • WorkCompCentral.com
  • Claims Magazine
  • Risk & Insurance Magazine
  • Insurance Journal
  • Workers Compensation.com
  • LinkedIn, Twitter, Facebook and other social media sites
  • Various trade publications


Get the latest workers' comp news FREE!

This field is for validation purposes and should be left unchanged.