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Comp reforms lower Calif. disability costs: Study


SAN FRANCISCO--Workers compensation permanent disability benefit costs have been reduced by 31% to 55% because of changes to California's permanent disability rating schedule, a new report estimates.

The 2006 Legislative Cost Monitoring Report, released Monday, is the third in a series of studies prepared annually by the Workers' Compensation Insurance Rating Bureau of California that evaluate system reforms that became effective in 2003 and 2004.

Among other findings, the report states that physical therapy utilization has been reduced by about 61% while chiropractic care has been cut by about 77%. Indemnity claim frequency, meanwhile, dropped by 46%, primarily as an indirect result of the recent reforms.

The report can be found at