The purpose of the workers' compensation system is to provide compensation to employees who suffer an economic loss after being injured at work. Each state codifies its own workers' compensation laws. In Pennsylvania, all businesses must have worker's compensation insurance.

A report from the National Academy of Social Insurance indicates that overall, the amount employers are paying in workers' compensation benefits is lower than it has been in the last 10 years. The information the NASI used to generate the report was from 2009.

Throughout the nation workers covered under the workers' compensation program saw the largest drop in 20 years. The total number was down 4.4 percent. The amount paid by employers for benefits also decreased. Dropping to under $74 billion, the 7.6 percent decrease takes the number to the lowest it has been in two decades. Also notable is a decline in medical payments made. The 1.1 percent decrease is the first drop in this area in the last 10 years.

As most would expect, the numbers regarding benefit payments varied from state to state. In Pennsylvania, benefit payments changed little. In total, the state paid $2.9 billion in benefits in 2009. This amount accounts for a small rise in the amount paid for cash benefits and a drop in the amount paid in medical benefits.

Regardless of the statistics behind workers' compensation benefits in Pennsylvania, it is important that any employee injured on the job take swift action to determine whether he or she is entitled to benefits.

Source: Risk & Insurance, "Employers' costs for workers' comp is lowest in decades, NASI reports," Sept. 6, 2011