The association of health risks with workers' compensation costs

The purpose Of this Study was to investigate the association between health risks and workers' compensation (WC) costs, The 4-year study used Health R isk Appraisal data; and focused on 1996-to-1999 WC costs among Xerox Corpor ation's long-term employees, High WC costs were related to individual healt h risks, especially Health Age Index (a measure of controllable risks), smo king poor physical health, physical inactivity, and life dissatisfaction. W C costs increased with increasing health risk status (low-risk to medium-ri sk to high-risk). Low-risk employees had the lowest costs, In this populati on, 85% of WC: costs could be attributed to excess risks (medium- or high-r isk) or nonparticipation. Among those with claims, a savings of $1238 per p erson per year was associated with Health Risk Appraisal participation. Add ressing WC costs by focusing on employee health status provides an importan t additional strategy for health promotion programs.