AI Transformation in Workers’ Compensation: Benefits and Roadblocks

The use of artificial intelligence (AI) in workers’ compensation has the potential to significantly transform claims management. AI can help streamline processes by offering data-driven insights that guide decision-making, from predicting medical outcomes to determining treatment plans and settlement timelines. For example, it can assess when an injured worker has reached maximum medical improvement (MMI) or provide predictions based on factors such as comorbidities and regional treatment availability.

However, AI also brings challenges. Data quality, accuracy, and transparency are critical concerns, as unreliable information could lead to flawed decisions. In addition, legal and ethical questions about intellectual property and standardization will need to be resolved. The successful adoption of AI requires addressing these issues while collaborating across medical, legal, and technological fields to ensure that AI enhances the workers’ compensation ecosystem without compromising rights or ethical standards.