08/28/23

4 Ways Artificial Intelligence Can Help Reduce Workers’ Compensation Expenses

Artificial intelligence (AI) encompasses machines, computer systems and other devices that can simulate human intelligence processes. This technology has the potential to change many aspects of the workplace, especially as it pertains to preventing and managing occupational injuries. As a result, implementing such technology could significantly impact organizations’ workers’ compensation programs, particularly in the realm of cost-effective claims management. Here are four ways AI technology can be leveraged to minimize overall workers’ compensation expenses.

1. Investigating Claims
AI technology can utilize sophisticated coding capabilities and data analysis strategies to review workers’ compensation claims and conduct in-depth investigations of associated occupational injuries. From there, this technology can help identify key causes of workplace incidents, distinguish primary diagnoses for claims, detect comorbidities among injured employees and determine treatment-related cost drivers. Based on these results, AI technology can highlight incident trends and offer guidance to help organizations avoid similar claims in the future or make cost-effective decisions if claims arise.

2. Selecting Ideal Providers Medical
Services and treatment options can vary between health care providers. While claims adjusters may suggest certain doctors for treating injured employees, these providers may not offer the highest-quality care. AI technology relies on historical data and predictive analytics to recommend top-performing providers for injured workers’ particular situations, allowing them to receive the best possible care and experience optimal recovery outcomes.

3. Detecting Treatment Abnormalities
By taking a closer look at treatment records related to workers’ compensation claims, AI technology can recognize potential anomalies, such as procedures or medications administered for injuries that don’t usually require these services. This can help injured employees avoid unnecessary treatment and protect organizations from incurring additional workers’ compensation expenses associated with such services.

4. Reducing Claim Complexity
Many workers’ compensation claims involve minor injuries that don’t require treatment from medical specialists. Yet, some organizations direct injured employees to specialists for most occupational ailments. AI technology can permit organizations to easily determine whether specialist treatment is necessary, helping them save time and money amid the recovery process and prevent workers’ compensation claims from becoming overly complex.

Contact Us
AI technology could make all the difference in helping organizations improve their workers’ compensation programs. Nevertheless, AI technology continues to evolve, carrying the potential for unknown risks. With this in mind, organizations should consult trusted legal counsel and insurance professionals to assess their specific workers’ compensation needs before adopting AI technology. Contact us today for additional workers’ compensation resources.