Opioid addiction — or the epidemic as it is sometimes called — is costly for employers. The Society of Actuaries took a look at the problem and examined statistics from 2015 to 2018. It found that employers lost $96 billion in productivity in that time period.
These are the categorized costs:
• Reduced labor force participation
• Opioid-related incarceration
• Workers’ compensation costs
• Disability benefits
The workers’ compensation and disability benefits take up about 15% of the costs of non-medical opioid use to the U.S. economy. Here’s that breakdown:
• In 2015 the non-medical use of opioids cost employers $362 million
• In 2018 that figure was $500 million
• Short-term disability costs from opioid use went from $312 million in 2015 to $417 million in 2018
• Long term disability costs jumped from $28 million to $58 million from 2015 to 2018
Additional disability and work comp costs for employers because of opioid use hit $3.4 billion from 2015 to 2018. Projecting into 2019, the report predicts workers’ compensation and disability cost could jump up from $1 billion to $1.2 billion because of population increases and additional costs.
Source link: Business Insurance