Accident year -- The year in which the accident or condition occurred giving rise to the injury or illness. In accident-year data, all claims and costs are tied to the year in which the accident occurred. Accident year, used with insurance data, is equivalent to injury year, used with Department of Labor and Industry (DLI) data.
Administrative conference -- An expedited, informal proceeding where parties present and discuss viewpoints of a dispute. If agreement is not achieved, a "decision and order" is issued that is binding unless appealed. Currently, Department of Labor and Industry Alternative Dispute Resolution conducts administrative conferences for medical issues involving less than $1,500 and for vocational rehabilitation issues, and the Office of Administrative Hearings (OAH) conducts conferences for medical issues involving more than $1,500 and for discontinuance disputes presented on a Request for Administrative Conference form.
Assigned Risk Plan (ARP) -- The workers' compensation insurer of last resort, which insures employers unable to insure themselves in the voluntary market. The ARP is necessary because all nonexempt employers are required to have workers' compensation insurance or self-insure. The Department of Commerce operates the ARP through contracts with private companies for administrative services and sets the ARP premium rates, which are different from the voluntary-market rates.
Benefit Management and Resolution (BMR; formerly Customer Assistance or CA) -- A unit of the Department of Labor and Industry that provides information and clarification about workers' compensation statute, rules and procedures, carries out a variety of dispute prevention activities, conducts informal dispute resolution activities including mediations and conducts administrative conferences about some issues (see administrative conference).
Cases with days away from work, days of restricted work activity or job transfer (DART) -- For Survey of Occupational Injuries and Illnesses results in 2002 and later, these are cases that involve days away from work, or days of restricted work activity or job transfer, or both.
Cases without lost workdays -- For Survey of Occupational Injuries and Illnesses results prior to 2002, the Bureau of Labor Statistics divides total cases into two types: lost-workday cases and cases without lost workdays. "Cases without lost workdays" are those with medical treatment but no lost workdays.
Census of Fatal Occupational Injuries (CFOI) -- The CFOI, conducted by the U.S. Bureau of Labor Statistics with state and other federal agencies, covers all fatal work-injuries in the private and public sectors, whether the workplaces concerned are covered by the Occupational Safety and Health Act or other federal or state laws, or are outside the scope of regulatory coverage. For example, the CFOI includes federal employees and resident armed forces, even though they have different legal and regulatory coverage than other workers. It also includes self-employed and unpaid family workers, including family farm workers. Work-related fatal illnesses are excluded from the CFOI, because many occupational illnesses have long latency periods and are difficult to link to work. The CFOI provides a complete count of fatal work-injuries by using multiple sources to identify, verify and profile these incidents. Information is obtained from several sources, including death certificates, coroners' reports, workers' compensation reports, news media and others. Because of larger numbers, the national data has greater detail and greater statistical reliability than state data. Available national-level tables present data such as: nature of the fatal injury; how it occurred; industry, occupation and worker characteristics. Other nationwide tabulations focus on special topics, such as: fatalities involving cranes; falls; electrocutions; and excavation and trenching cave-ins.
Certified managed care organization (CMCO) -- A managed care organization certified by the Department of Labor and Industry, under the 1992 law, to manage medical services to injured workers. If the employer and insurer have arranged for medical care to be provided through a CMCO, injured workers must, with certain exceptions, obtain medical care for work injuries through health providers in the CMCO network.
Claim petition -- A form by which the injured worker contests a denial of primary liability or requests an award of indemnity, medical or rehabilitation benefits. In response to the claim petition, the Office of Administrative Hearings (OAH) generally schedules a settlement conference or formal hearing.
Company filed rates -- Rates used by insurance companies in determining premium for individual employers in the voluntary market. Each insurer determines its own filed rates (per $100 of payroll by insurance class) using the pure premium rates as the starting point, but adding: (1) certain components of loss costs that are excluded from the pure premium rates by law; and (2) company expenses, which include claims adjustment, litigation, insurance brokerage, overhead, assessments (including the Special Compensation Fund assessment) and profit. The insurer files these rates with the Department of Commerce for approval. The insurer determines premium for an individual employer by first applying its applicable filed rate(s) to covered payroll and then: (1) modifying the result on the basis of characteristics of the employer under rating plans approved by the Department of Commerce; and (2) adding taxes and assessments if these are not already included in the filed rates.
Cost-of-living adjustment (COLA) -- An annual adjustment of temporary total disability (TTD), temporary partial disability (TPD), permanent total disability (PTD) and dependents' benefits, computed from the annual change in the statewide average weekly wage (SAWW). The percent adjustment is equal to the proportion by which the SAWW in effect at the time of the adjustment differs from the SAWW in effect one year earlier, not to exceed a statutory limit. The timing of the first adjustment and the annual percent limit have changed over time, as described in Appendix B.
Customer Assistance (CA; changed to Benefit Management and Resolution, BMR) -- A unit of the Department of Labor and Industry that provides information and clarification about workers' compensation statute, rules and procedures, carries out a variety of dispute prevention activities, conducts informal dispute resolution activities including mediations and conducts administrative conferences about some issues (see administrative conference).
Days away from work -- Used in the Survey of Occupational Injuries and Illnesses, days away from work are days after the injury or onset of illness when the employee would have worked, but does not because of the injury or illness. The day of the injury or onset of illness is not counted.
Days-away-from-work (DAFW) cases -- Used in results from the Survey of Occupational Injuries and Illnesses, DAFW cases are subset of lost-workday (LWD) cases prior to 2002, and a subset of DART cases for 2002 and later years. DAFW cases are cases with any days away from work. These cases may have days of restricted work activity in addition to days away from work. Cases where the only missed work is the day of the injury or of onset of the illness are not counted.
Days of restricted work activity -- Used in the Survey of Occupational Injuries and Illnesses results prior to 2002, days of restricted work activity are days after the injury or onset of illness when the employee works reduced hours, has restricted duties or is temporarily assigned to another job because of the injury or illness.
Days of restricted work activity or job transfer-- Used in the Survey of Occupational Injuries and Illnesses results for 2002 and later years, these are days after the injury or onset of illness when the employee works reduced hours, has restricted duties or is temporarily assigned to another job as a result of the injury or illness.
Dependents' benefits -- Benefits paid to dependents of a worker who has died from a work-related injury or illness. These benefits are equal to a proportion of the worker's gross pre-injury wage and are paid for a specified period of time, depending on the dependents concerned.
Developed numbers -- Estimates of what the number of claims or their cost will be at a given maturity. Developed numbers are relevant for accident-year, policy-year and injury-year data. They are obtained by applying development factors, based on historical rates of development of claim and cost figures, to tabulated numbers.
Development -- The change, over time, in the reported number or cost of claims for a particular accident-year, policy-year or injury-year. Claim costs develop whether the costs are paid or incurred. The reported figures develop both because of the time necessary for claims to mature and, in the case of Department of Labor and Industry data, because of reporting lags.
Experience -- Prior premiums and losses. In determining pure premium rates, the Minnesota Workers' Compensation Insurers Association uses "experience" in the form of voluntary market indemnity and medical losses relative to pure premium for the most recent report periods.
Experience rating -- All insurers and the Assigned Risk Plan (ARP) are required to use experience rating, following a standard formula, for those employers with at least $3,000 of premium annually. Under experience-rating, premium is adjusted, by means of an experience modification factor, to reflect the employer's recent claims costs. This factor is calculated annually by the Minnesota Workers' Compensation Insurers Association (MWCIA) for every insured employer. It is based on claims costs, which reflect both the incidence of claims and the average cost per claim. The "mod factor" reflects the employer's claims costs for the most recent three years relative to the average for all employers in the same insurance class. It is greater than, equal to or less than 1.0, depending on whether the employer's claims costs per $100 of payroll are, respectively, greater than, equal to or less than the average for the employer's insurance class. Actual claims costs are a better indicator of underlying injury and illness tendencies for larger employers than for smaller ones; therefore, the modification factor is more sensitive to actual claims costs for larger employers than for smaller ones. The modification factor enters multiplicatively into the formula the insurance carrier uses to calculate the employer's premium. Thus, experience-rating increases premiums for employers with higher-than-average claims costs and reduces premiums for those with lower-than-average costs.
Full-time-equivalent (FTE) covered employment -- An estimate of the number of full-time employees that would work the same number of hours during a year as the actual workers' compensation covered employees, some of whom work part time. It is used in computing workers' compensation claims-incidence rates.