Development of a Computational Policy Model for Comparing the Effect of Compensation Scheme Policies on Recovery After Workplace Injury

Abstract

AbstractIntroduction The direct comparison of real-world workers’ compensation scheme management policies and their impact on aspects of scheme performance such as health and return to work outcomes, financial sustainability, and client experience metrics is made difficult through existing differences in scheme design that go beyond the factors of interest to the researcher or policymaker. Disentangling effects that are due purely to the result of policy and structural differences between schemes or jurisdictions to determine ‘what works’ can be difficult. Method We present a prototype policy exploration tool, ‘WorkSim’, built using an agent-based model and designed to enable workers’ compensation system managers to directly compare the effect of simulated policies on the performance of workers compensation systems constructed using agreed and transparent principles. Results The utility of the model is demonstrated through and case-study comparison of overall scheme performance metrics across 6 simple policy scenarios. Discussion Policy simulation models of the nature described can be useful tools for managers of workplace compensation and rehabilitation schemes for trialing policy and management options ahead of their real-world implementation.