Menu Close

Tag: 2022 News

Telehealth Utilization Growth Continues for Third Straight Month

For the third straight month, national telehealth utilization, measured as a percentage of all medical claim lines, grew in January 2022, according to FAIR Health’s Monthly Telehealth Regional Tracker.

Telehealth utilization increased 10.2 percent, from 4.9 percent of all medical claim lines in December 2021 to 5.4 percent in January 2022. Telehealth utilization also increased in January in every US census region (Midwest, Northeast, South and West), with the greatest increase (17.5 percent) in the West. The data represent the privately insured population, including Medicare Advantage and excluding Medicare Fee-for-Service and Medicaid.

With January 2022, FAIR Health’s Monthly Telehealth Regional Tracker enters its third year of reporting on the evolution of telehealth from month to month. As before, a free, interactive map of the four US census regions allows the user to view an infographic on telehealth in a specific month in the nation as a whole or in individual regions.

In January 2022, social worker was the leading telehealth specialty nationally and in every region but the West, where primary care physician was the leading telehealth specialty, 0.1 percent ahead of social worker. In every other region and nationally, primary care physician was in second place behind social worker. Nationally, psychiatrist, psychologist and primary care nonphysician were in third, fourth and fifth place, respectively.

For January 2022, the Telehealth Cost Corner spotlighted the cost of CPT 92507, treatment of speech, language, voice, communication and/or hearing processing disorder. Nationally, the median charge amount for this service when rendered via telehealth was $129.92, and the median allowed amount was $77.64. The costs varied by region. For example, the highest median allowed amount was $88.47 in the Midwest, and the lowest $69.50 in the South.

In January 2022, COVID-19 continued to rank at number two or three among the top five telehealth diagnoses nationally and in all regions. Its share of telehealth claim lines, however, fell in all locations but the West, where the share remained the same. Mental health conditions remained in first place nationally and in all regions, but certain other diagnoses changed. Developmental disorders, for example, rejoined the top five diagnoses in the Northeast after a month off the list, and encounter for examination rejoined the top five in the South after a month off that list.

In January 2022, CPT 90837, one hour of psychotherapy, was in first place among telehealth procedure codes nationally and in every region. CPT 90833, psychotherapy with evaluation and management visit, 30 minutes, rejoined the top five procedure codes nationally and in the Midwest after a month off those lists. It remained in the top five in the Northeast and West but was not on the list in the South in either December or January.

FAIR Health President Robin Gelburd stated: “As the COVID-19 pandemic enters its third year, FAIR Health begins our third year of tracking the evolution of telehealth. Once again, we have modified our Monthly Telehealth Regional Tracker to keep pace with the changing needs of stakeholders for current information about this venue of care.”

Orthopedist Lacks Expertise to Add vs Combine Internal Disabilities

William Valdez, while employed as a firefighter for the Orange County Fire Authority, sustained a continuous trauma industrial injury in the form of hypertension, coronary artery disease, hands including thumbs, shoulders, feet including toes, and to the upper digestive tract in the form of a hiatal hernia.

In finding permanent disability of 89%, his right and left thumb disabilities were added together rather than combined utilizing the Combined Values Chart in the 2005 Schedule for Rating Permanent Disabilities, as were his right and left foot disabilities. The disabilities were otherwise combined utilizing the Combined Values Chart. (2005 Schedule at pp. 8-1 – 8-4.)

Valdez contended on reconsideration that the WCJ erred in combining applicant’s orthopedic disabilities with his internal medicine disabilities by way of the CVC rather than adding the percentages of permanent disability. Reconsideration was denied in the panel decision of Valdez v Orange County Fire Authority ADJ11323413 (March 2022).

Valdez argues that the orthopedic disabilities should be added to the internal medicine disabilities based on the June 23, 2021 deposition testimony of orthopedist Mitchel Silverman, M.D. Dr. Silverman opined that applicant’s orthopedic impairments did not “overlap” with the internal medicine impairments.He opined that the impairments affected different activities of daily living and work restrictions, although the activities of daily living and work restrictions were not specified.

Explaining why the orthopedic disability should be added to the internal medicine disability, Dr. Silverman testified, “I understand the CVC, but the courts have decided. I haven’t decided, the courts have decided, that there’s a way to look at this in terms of adding them, and I agree in this particular case.”

However the panel concluded that “Dr. Silverman’s report is not substantial medical evidence sufficient to rebut the use of the Combined Values Chart.

In Athens Administrators v. Workers’ Comp. Appeals Bd. (Kite) (2013) 78 Cal.Comp.Cases 213 (writ den.), the evaluator explained why the disparate impairments were not actually disparate, and the impairments in question were all under the physician’s expertise.

In contrast, here one specialist is suggesting that we add impairments found by him in his own specialty to impairments in completely different body systems found by a different specialist. As an orthopedist, it was Dr. Silverman’s role to describe and give a whole person impairment with regard to the orthopedic impairment.”

“Dr. Silverman did not give any compelling reason why the orthopedic and internal medicine impairments should be added, and questions beyond applicant’s orthopedic impairment, including applicant’s overall impairment or the operation of the CVC, are beyond Dr. Silverman’s expertise.” (Applied Materials v. Workers’ Comp. Appeals Bd. (D.C.) (2021) 64 Cal.App.5th 1042, 1097 [86 Cal.Comp.Cases 331].)

Truck Driver Hit by Train Was “Sudden and Extraordinary” Injury

Marlon Johnson filed an application alleging that he sustained injury to various body parts, including left forearm, left elbow, left shoulder, left wrist, chest, neck, ribs, abdomen, left side, facial, lung left side, and injury to his psyche on January 10, 2020, while employed by MHX LLC as a truck driver.

The parties stipulated that Johnson had not completed six months of employment prior to his injury. One of the issues to be resolved at trial was to determine if the alleged psych injury was “sudden and extraordinary” and thus non-compensable under Labor Code Section 3208.3.

On the day of the injury, Johnson testified that he was driving his truck on an assigned route when he was caught in bumper-to-bumper traffic near railroad tracks. He suddenly saw “cars zooming off the tracks….” Crossing guards came down between the cab and the trailer of his truck so he was unable to move, however, he believed his truck was clear of the tracks.

He took off his seatbelt to get out of the truck, but, based on how quickly the train was approaching, he did not have time to leave the safe haven of his truck. He testified that his truck was shaking because the train was coming at him “real fast.” He saw the bright lights of the train, his truck was shaking really hard, and the next thing he remembers is the train colliding with his truck.

The WCJ found that section 3208.3(d) exempts defendant from liability for applicant’s psychiatric injury. Johnson’s petition for reconsideration was granted and this finding reversed in the panel decision of Johnson v. MHX LLC – ADJ12944107 (March 2022).

The Legislative and judicial history of section 3208.3 (d), shows that an “extraordinary” employment condition is something that is other than regular and routine, and is uncommon and unusual. This is a primarily fact-driven inquiry.

In Matea v. Workers’ Comp. Appeals Bd. (2006) 144 Cal. App. 4th 1435, the Court of Appeal noted that Webster’s Third International Dictionary “defines ‘sudden’ as ‘happening without previous notice or with very brief notice : coming or occurring unexpectedly : not foreseen or prepared for.'” The Court further observed that “extraordinary” is defined “as ‘going beyond what is usual, regular, common, or customary’; and ‘having little or no precedent and usu[ally] totally unexpected.'”

In Lira v. Premium Packing – ADJ8015423 (2015) Cal. Wrk. Comp. P.D. LEXIS 299,4 a worker was injured when a train collided with tractor being operated by the worker. The WCAB found compensability, and reasoned that a type of accident where a train collides with a tractor-trailer, such as occurred here, was not routine or ordinary but rather was uncommon and unexpected, so as to fall within “sudden and extraordinary” exception.

While automobile accidents generally are not extraordinary events for a truck driver, they may become extraordinary because of extremely unusual circumstances. In this case, being hit by a commuter train is not a common or normal part of a truck driver’s employment conditions. Based on these facts, the collision occurred suddenly, unexpectedly, and without previous notice.

Court of Appeal Clarifies Time for Service for Out-of-State Administrator

On April 2020 Rogelio Trigueros filed a claim for workers’ compensation benefits claiming injury to his upper extremities, shoulders, arms, hand and fingers while employed as a farm laborer for respondent Gonzalez Ag., Inc.

On May 4, 2020, employer’s insurance carrier mailed a Notice Regarding Delay of Workers’ Compensation Benefits from Kansas City, Missouri, to petitioner in California.

Sixteen days later, Trigueros requested and obtained a panel of three chiropractic Qualified Medical Evaluators eligible to evaluate his workers’ compensation claim.

The Employer challenged the timing of his request for a QME panel and the matter proceeded to trial, resulting in the workers’ compensation administrative law judge concluding the panel was valid.

Reconsideration was granted, with the WCAB panel agreeing with employer. The WCAB replaced the WCJ’s finding with its own finding that the QME panel was invalid because petitioner prematurely requested it before waiting 20 days from mailing of the Delay Notice. In doing so, the WCAB stated it applied its own rules as set forth under California Code of Regulations, title 8, section 10605 (WCAB rule 10605) rather than the more general CCP § 1013 mail delay provisions.

In its prior en banc decision in Messele v. Pitco Foods, Inc. (2011) 76 Cal.Comp.Cases 956 and as established under section 5316, the WCAB’s own rules govern service of process and any applicable extensions of time to act where they differ from the more generally applicable provisions under CCP § 1013.

However, the Court of Appeal reversed the WCAB and remanded the case of Tigueros v WCAB and Gonzalez Ag., (March, 2022)

In granting the petition for writ of review, the court notified the parties that it appeared the WCAB based its determination on the out-of-state location where the claims administrator mailed the triggering delay notice from instead of the location where it served the notice on petitioner.

WCAB rule 10605 provides that the time added for service is “(1) Five calendar days from the date of service, if the place of address and the place of mailing of the party, attorney or other agent of record being served is within California; (2) Ten calendar days from the date of service, if the place of address and the place of mailing of the party, attorney or other agent of record being served is outside of California but within the United States;

And that, pursuant to WCAB Rule 10605(a)(1), the WCAB instead should have added only five days to the statutory 10-day waiting period, for a total of 15 days, before considering the first day a party may validly request a QME panel.

The WCAB responded that it agreed and requested the Court of Appeal to annul the WCAB’s decision and remand the matter for further proceedings.

Workers’ Positive Drug Tests Hit Two-Decade High

According to a report by the WSJ, the percentage of working Americans testing positive for drugs hit a two-decade high last year, driven by an increase in positive marijuana tests, as businesses might have loosened screening policies amid nationwide labor shortages.

Of the more than six million general workforce urine tests that Quest Diagnostics Inc., one of the country’s largest drug-testing laboratories, screened for marijuana last year, 3.9% came back positive, an increase of more than 8% from 2020, according to Quest’s annual drug-testing index.

That figure is up 50% since 2017. Since then, the number of states that legalized marijuana for recreational use grew to 18 from eight, plus the District of Columbia.

Despite the increase in positivity last year, fewer companies tested their employees for THC, the substance in marijuana primarily responsible for its effects, than in recent years, said Barry Sample, Quest’s senior science consultant.

The shifting legal backdrop and changing cultural attitudes have prompted some employers to stop testing for marijuana while companies in some states are barred from factoring the test results into hiring decisions, according to Dr. Sample. And those trends accelerated last year amid the recent shortage of workers, especially in states where recreational marijuana is legal, Dr. Sample added.

The percentage of specimens tested for THC declined 6.7% nationwide in 2021 from 2020, while that figure fell by 10.3% in states where recreational marijuana is legal, according to Quest’s data.

Overall, the proportion of U.S. workers who tested positive for the various drugs Quest screened for in 2021 rose to 4.6%, the highest level since 2001, according to Quest, which analyzed nearly nine million overall urine tests last year on behalf of employers.That percentage is more than 31% higher than the low of 3.5% a decade ago, in the early days of a resurgent heroin epidemic in the U.S.

In the hospitality industry, many employers stopped screening potential employees for drugs, including marijuana, before the pandemic, according to one representative for a hotel management company with operations across the country, including in Georgia, Minnesota and Colorado.

The representative said their company along with several of their industry peers stopped conducting pre-employment drug tests in the past five years because of the associated expenses and evolving legal landscape.

Chris Layden, senior vice president at staffing firm ManpowerGroup, said the elimination of marijuana screening is one of the most common ways companies are seeking to expand their pool of eligible workers. ManpowerGroup estimated that drug testing eliminates about 5% of candidates.

ManpowerGroup is seeing companies across nearly all industries, except for financial services and federally regulated businesses, eliminate marijuana testing requirements, Mr. Layden said.

Michelle Bearden, chief risk and operating officer for Houston-based staffing and recruiting firm Link Staffing Services Inc., said she has yet to see a strong reason why Link Staffing should move to loosen pre-employment marijuana screenings before the federal government does. She acknowledged the job market has been tight during the pandemic, but said she doesn’t think nixing THC screenings is a good solution.

In Texas, Link Staffing, which mostly hires for the manufacturing and distribution sectors in the Dallas and Houston areas, has made some concessions to fill open roles amid the labor shortage, including by easing background-check requirements, Ms. Bearden said. And while it can still be tough to fill open roles, Link Staffing and the employers it works with still view marijuana use as a deal breaker.

Increase in Pharmacist Prescribing Privileges Heats Up Turf War

According to the National Alliance of State Pharmacy Associations, more than a dozen states have expanded what pharmacists can do to include testing and treating people for illnesses such as strep throat, flu, and urinary tract infections and preventing HIV. Some states allow pharmacists to prescribe oral contraceptives or drugs to help people quit smoking. Typically, pharmacists have prescribing authority under agreements with doctors or rules called statewide protocols.

But a report by Kaiser Health News says that a limited number of states have gone further, allowing pharmacists to prescribe medications on their own to treat a broad range of conditions for which there are rapid point-of-care tests, if it’s appropriate based on clinical guidelines.

We’re seeing more states looking at direct prescribing authority now as opposed to collaborative practice agreements,” said Allie Jo Shipman, director of state policy at the National Alliance of State Pharmacy Associations. The alliance offers point-of-care testing and point-of-care treating training programs for pharmacists and pharmacy students.

The Biden administration, which has leaned on pharmacies to help battle the covid pandemic by administering vaccines and tests, is now calling for a limited number of pharmacies with retail clinics that employ doctors or other health care workers with prescribing authority to directly provide medication rapidly to people who test positive for the virus. The “test-to-treat” program is designed to make sure that people with covid get a course of antiviral medication quickly because it is most effective if used within five days of when someone shows symptoms.

But physicians don’t necessarily welcome this development. Doctor groups have long objected to the taking on of certain types of patient care by pharmacists, nurse practitioners, physician assistants, and other nondoctors unless it is overseen by or approved by physicians.

In November, the American Medical Association, which represents doctors, announced that since 2019, it had successfully opposed more than 100 legislative actions that would have expanded nonphysicians’ scope of practice, called scope creep. The group also issued a statement criticizing the Biden administration’s plan to allow pharmacy-based clinics to prescribe covid antiviral medications, saying that the program poses a danger to patient safety and risks negative health outcomes. And the AMA unsuccessfully opposed a federal decision to let pharmacists give covid vaccines to children younger than 18.

Meanwhile, the American College of Physicians, which represents internists, announced it “opposes independent pharmacist prescriptive privileges and initiation of drug therapy outside of a collective practice agreement, physician standing order or supervision, or similar arrangement.”

The AMA didn’t respond to questions about independent pharmacist prescribing, and the ACP declined to comment on its policy.

But are physicians correct that patient safety is at risk if a doctor isn’t involved in prescribing decisions? Pharmacists say that they want to provide care in line with their training and skills and that they know their limits. And they note that timely prescribing is vital for treating covid and other infectious diseases.

They also note that pharmacists are increasingly part of the multidisciplinary clinical teams that direct patient care at hospitals and in health care systems.

Pharmacists are the professionals that are the most trained to deal with drug interactions,” said Rita Jew, a pharmacist who is president of the Institute for Safe Medication Practices, a nonprofit that focuses on preventing medication errors. “We monitor patients for both efficacy and side effects. So from that perspective, it’s not a safety concern. Delay in treatment is a concern.”

Many pharmacists are eager to expand their menu of patient services, but payment remains a problem. Pharmacists aren’t generally recognized as service providers under Medicare and don’t typically receive payment when they spend time evaluating, testing, or treating patients. Many private insurers follow Medicare’s lead on payment.

Dr. Jeffrey Singer, a general surgeon and a senior fellow at the libertarian Cato Institute, wrote a recent blog post suggesting that doctors who object to nonphysician prescribing may be more worried about competition than patient safety.

“Rather than work to prevent laws that could meet the needs of patients, the onus is on the profession to persuade people that they need to see a doctor,” Singer said in an interview, adding that he has relied on pharmacists’ expertise in his practice. “I ask them, ‘Is there any particular problem with this drug?’ They have the software. And that’s what they’re trained to do.”

Gabapentinoid Abuse May Replace Opioids In Industrial Claims

The Workers’ Compensation Research Institute  recently announced that its 2022 Annual Report is now available. The report takes a comprehensive look at all of the Institute’s activities in 2021, from the studies that were published to how that research was used by policymakers and other stakeholders.

One of the 2021 studies highlighted in this annual report wasOff-Label Use of Gabapentenoids for Work-Related Injuries.”

The WCRI reports that with a growing number of workers receiving gabapentinoids (e.g., Neurontin®, Lyrica®) for managing pain arising from work-related injuries results in increasing safety and abuse concerns. Thus  Institute released the study that examined their use for work-related injuries and illnesses across 28 states.

The following are among the study’s findings:

– – When workers were prescribed medications, gabapentinoids were dispensed more often in some states than others ─ 1 in 10 workers with prescriptions were dispensed gabapentinoids in Louisiana, Massachusetts, and New York, whereas 3 percent of workers in California, Kansas, Missouri, and New Jersey received gabapentinoids.
– – Gabapentinoids were almost always dispensed for off-label uses in the workers’ compensation system ─ 99 percent of workers with gabapentin and 96 percent of workers with pregabalin did not have a documented diagnosis for one of the FDA-approved conditions. Roughly 2 out of 3 workers had a diagnosis for neuropathic pain conditions.
– – Off-label use of gabapentinoids is recommended on a limited trial basis for selected conditions with neuropathic features. However, 1 out of 3 workers with gabapentinoid prescriptions in workers’ compensation did not have a diagnosis for neuropathic pain conditions or FDA-approved indications.
– – Workers with gabapentinoids often received opioids concomitantly, which increases the risk of respiratory depression resulting in overdose deaths. Nearly half of the workers with gabapentinoids simultaneously received an opioid prescription in Iowa, Kansas, Louisiana, and Texas, whereas the concomitant use rate was 20 percent or lower in California and Nevada.

So how much of a safety concern for claims administrators might their be?  The Pew Research Center, a nonpartisan fact tank that informs the public about the issues, attitudes and trends shaping the world highlighted the dangers of this off label pain medication.

According to Pew Research, drug users say gabapentin pills, known as “johnnies” or “gabbies,” which often sell for less than a dollar each, enhance the euphoric effects of heroin and when taken alone in high doses can produce a marijuana-like high.

Gabapentin is the sixth most prescribed drug in the United States, and the vast majority of uses are off-label. Gabapentin has landed on Schedule V Controlled Substance lists in 7 states over the last 5 years. During that same time period, 12 other states have placed the drug in their prescription drug monitoring programs (PMP). Three others are in the process of adding the prescription medication to Schedule V lists or state PMPs. California is not one of the states in either category.

New National Study Shows 7,060% Increase in Telehealth Utilization

FAIR Health is a national, independent nonprofit organization dedicated to bringing transparency to healthcare costs and health insurance information through data products, consumer resources and health systems research support. FAIR Health possesses the nation’s largest collection of private healthcare claims data, which includes over 36 billion claim records and is growing at a rate of over 2 billion claim records a year.

The new FAIR Health white paper containing the fifth annual edition of FH® Healthcare Indicators and FH® Medical Price Index, shows that telehealth utilization grew nationally 7,060 percent from 2019 to 2020, an increase driven by the COVID-19 pandemic and the limits imposed on certain in-office services, coupled with the greater risk of infection from in-person encounters.

FH Healthcare Indicators reveal trends and patterns in the places where patients receive healthcare. Focusing on alternative places of service – retail clinics, urgent care centers, telehealth and ambulatory surgery centers (ASCs) – as well as emergency rooms (ERs), FH Healthcare Indicators evaluate changes in utilization, geographic and demographic factors, diagnoses, procedures and costs.

Among the key findings:

– – Due to the pandemic and the limits imposed on certain in-office services, coupled with the increased risk of infection from in-person encounters, telehealth grew in 2020 on a scale unseen in previous years. Telehealth utilization increased nationally 41,919 percent from 2015 to 2020, a more than 40-fold increase over the growth of 1,019 percent from 2014 to 2019 reported in last year’s edition. From 2019 to 2020, national growth was 7,060 percent.
– – In all other places of service studied for changes in utilization, utilization decreased from 2019 to 2020, probably because of the impact of COVID-19. Utilization fell 38 percent in ASCs, 30 percent in ERs, 16 percent in urgent care centers and 4 percent in retail clinics.
– – Among the places of service studied, telehealth held the highest percentage of medical claim lines in 2020, with 15.41 percent of all medical claim lines nationally. The comparable percentages for the other places of service were 2.07 percent for ERs, 1.31 percent for urgent care centers, 0.64 percent for ASCs and 0.05 percent for retail clinics.
– – In 2020 as in previous years, more claim lines were submitted for females than males in most age groups in the places of service in which FAIR Health studied gender-related patterns—retail clinics, urgent care centers, telehealth, ASCs and ERs.
– – However, in some places of service, such as retail clinics, urgent care centers, ASCs and ERs, the gap between males and females narrowed. For example, in ERs, in the age group 61-70, the male and female shares were approximately equal (50 percent) in 2020, a change from 2019, when the female share had been 52 percent and the male share 48 percent. This trend bears monitoring in the future.
– – In 2020, the five states in which retail clinic claim lines constituted the greatest percentage of medical claim lines were (from greatest to least) Arkansas, Missouri, Rhode Island, Maine and Minnesota. In 2018, Minnesota had ranked first in this list; in 2019, it ranked third, and in 2020 it fell to fifth.
– – Connecticut, which had been fourth from the bottom in its use of telehealth as a percentage of all medical claim lines by state in 2019, rose to fifth from the top in 2020.
– – In 2020, exposure to communicable diseases joined the list of most common diagnostic categories in retail clinics, urgent care centers and telehealth. This category largely was associated with testing and/or treatment for COVID-19 when a patient was exposed to the condition.
– – Across offices, urgent care centers and retail clinics in 2019, urgent care centers had the highest median charge amount for CPT®2 99203 (30-44-minute new patient office visit), but in 2020 the median charge for an office ($226) was slightly higher than that for an urgent care center ($221).

FH Medical Price Index reports shifts in costs and facilitates useful comparisons among medical prices in six procedure categories from May 2012 to November 2021:

– – Of the six procedure categories, hospital E&Ms had the greatest percent increase in charge amount index, seven percent, and in allowed amount index, five percent.
– – Radiology and medicine each had the smallest percent increase in charge amount index, two percent.
– – Radiology had the smallest percent increase in allowed amount index, one percent.

FAIR Health President Robin Gelburd stated: “This year’s edition of FH Healthcare Indicators and FH Medical Price Index opens a window on the impact of the COVID-19 pandemic on the nation’s healthcare system. We hope that this new edition, like those in previous years, continues to inform decision making throughout the healthcare sector by payors, providers, government officials, policy makers, academic researchers and others.”

2022 Comp Trends Report Shows Increased Use of Technology

Enlyte, the parent brand of Mitchell, Genex and Coventry, just released survey results of its 2022 Workers’ Compensation Technology Trends Report. The research reveals significant technology transformation in the industry as a result of the pandemic, provides insights into companies’ technology investments and adoption strategies, and explores which products and services will impact the industry next.

Enlyte’s survey of workers’ compensation professionals shows over the past year, workers’ compensation companies invested most in finding ways to use technology to improve internal efficiencies and manage the effects of COVID-19. However, many companies have not yet tapped into the full advantages of automation. Going forward, the research suggests the industry will turn its attention to applying technology to create better experiences for injured employees, focus on communication, improve return-to-work processes and more.

Top findings from the 2022 survey include the following:

– – The workers’ compensation industry invested most in telemedicine and electronic payments/billing throughout 2021. In fact, electronic payments made the biggest jump from last year’s results, moving from fourth to second place.
– – Mobile apps for injured employee communication are expected to have the greatest impact on the industry in the next 5-10 years, with the goal of improving communication and the return-to-work process.
– – Most organizations are only automating 25% of their medical bills using straight-through processing, which demonstrates a clear opportunity for efficiency improvement.

“Workers’ compensation technology adoption is still being driven by COVID-19. Payers are still looking for ways to better manage COVID-19 claim trends, improve efficiency as they experience turnover and find better ways for their teams to work remotely,” said Shahin Hatamian, senior vice president of product management at Mitchell. “As the world begins to transition into more of an endemic phase, we anticipate a continued focus on technologies that can automate manual processes, improve productivity, increase patient and provider engagement, enable faster and smarter decision making, and ensure the continuity of care.”

In addition, Enlyte survey respondents said communicating with injured employees is considered the most important step in the claim lifecycle that could benefit most from applying new or more technology.

“As organizations continue to focus on stabilizing and improving their businesses in the coming years, using technology to improve the injured employee experience and return-to-work processes will become even more important for the workers’ compensation industry,” said Hatamian. “This will continue to create better overall experiences for all stakeholders in the claims process and enable better claim outcomes.”

Enlyte surveyed 115 workers’ compensation professionals at a range of companies, including insurance carriers, third-party administrators, public entities, brokers, and managed care and risk management organizations.

State Auditor Finds Large-Scale Hospice Fraud in Los Angeles County

As directed by the Joint Legislative Audit Committee, the California State Auditor conducted an audit of the State’s licensure and oversight of hospice agencies and found that the State’s weak controls have created the opportunity for large-scale fraud and abuse.

Hospice is a specialized form of interdisciplinary health care primarily designed to provide palliative care and alleviate the physical, emotional, social, and spiritual discomforts of a person who is experiencing the last phases of life because of a terminal disease.

The fraud indicators that were found particularly in Los Angeles County include the following:

– – A rapid increase in the number of hospice agencies with no clear correlation to increased need.
– – Excessive geographic clustering of hospices with sometimes dozens of separately licensed agencies located in the same building.
– – Unusually long durations of hospice services provided to individual patients.
– – Abnormally high rates of still-living patients discharged from hospice care.
– – Hospice agencies using possibly stolen identities of medical personnel.

According to the report “These indicators strongly suggest that a network or networks of individual perpetrators in Los Angeles County are engaging in a large and organized effort to defraud the Medicare and Medi-Cal hospice programs. Such fraud places at risk the extremely vulnerable population of hospice patients.”

Los Angeles County has experienced a 1,500 percent increase in its number of hospice agencies since 2010. It had more than six-and-a-half times the nationwide average number of hospice agencies relative to its aged population in 2019. Although the majority of hospice services were provided by nonprofit organizations in the past, this recent wave of growth is almost exclusively in for-profit companies.

Investigators identified several areas within Los Angeles County with extremely high concentrations of hospice agencies, including individual buildings supposedly housing dozens of hospice agencies. In fact, the California Department of Public Health reported a single building in the community of Van Nuys as having more than 150 licensed hospice and home health agencies – a number that exceeds the structure’s apparent physical capacity.

Further, numerous indicators suggest that many of these hospice agencies may have been created to fraudulently bill Medicare and Medi-Cal for services rendered to ineligible patients or services not provided at all. This type of fraud can be lucrative. For example, a hospice agency that bills for 20 patients at the most common rate can collect about $122,000 per month.

Despite these widespread problems in the hospice program, Public Health and the two state agencies primarily responsible for identifying and investigating hospice fraud in Medi-Cal – the California Department of Health Care Services and the California Department of Justice – have not sufficiently coordinated their efforts.

In October 2021, California passed a general moratorium on licensing new hospice agencies beginning Jan. 1, 2022, and lasting until one year after the publication of the auditor’s report.