July 9, 2025 | SIBTF.org – The CWCI Report for 2025 reveals a notable shift in California’s workers’ compensation landscape. While the number of claims filed by private self-insured employers has declined, total losses are up—driven largely by rising per-claim costs, more complex medical cases, and higher benefit payouts such as those from the Subsequent Injuries Benefits Trust Fund (SIBTF).
CWCI Report Shows Higher Costs Despite Fewer Claims
According to the California Workers’ Compensation Institute (CWCI), claim frequency dropped for private self-insured employers in 2024–2025. However, total indemnity and medical losses per claim continue to rise, indicating that fewer but more severe cases are inflating overall system costs.
This trend highlights the increasing influence of complex injuries, permanent disability (PD) benefits, and SIBTF claims, which require more detailed medical evaluations and often result in extended or lifetime benefits.
What the Data Means for SIBTF and Employers
The surge in claim losses is significant for the SIBTF program, which plays a growing role in California’s workers’ comp system. The fund provides financial support to workers with pre-existing disabilities who suffer additional injuries—leading to compounded impairments.
Attorneys and claims professionals say that many of today’s high-value cases involve SIBTF eligibility, requiring employers to be more proactive in documentation, legal consultation, and cost forecasting.
Action Steps for Self-Insured Employers
In light of findings from the CWCI Report, self-insured employers should take proactive steps to mitigate rising claim costs and reduce exposure to complex benefit liabilities, including SIBTF claims.
- Analyze high-cost claims for potential SIBTF exposure
- Stay current on permanent disability and apportionment law
- Train claims teams on SIBTF and CWCI trend data
- Improve safety protocols to prevent complex injuries
By implementing these action steps, self-insured employers can better manage risk, improve claims efficiency, and stay ahead of rising costs highlighted in the latest CWCI Report. With SIBTF exposure on the rise and claim complexity increasing, proactive strategies are no longer optional—they’re essential for long-term financial and compliance stability.
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Read More from SIBTF.org:
- 2025 SAWW Rise Boosts Workers’ Comp and SIBTF Payouts
- California Senate Reviews AB 1329: Major Reforms Proposed for SIBTF
- SB 555 Introduced: COLA for Permanent Partial Disability Benefits
FAQs: About the CWCI Report and SIBTF Impact
What does the CWCI Report say about 2025 claim trends?
The 2025 CWCI Report shows that although claim frequency declined, total losses rose due to increased costs per claim—driven by SIBTF eligibility, PD benefits, and medical complexity.
Why are individual claims more expensive now?
Medical inflation, wage adjustments, and more complicated disability cases (including those involving SIBTF) have significantly raised the average cost per claim.
Where can I find the full CWCI Report?
Access the original document at CWCI.org, which includes complete claim and cost breakdowns for private self-insured employers.
What is SIBTF?
The Subsequent Injuries Benefits Trust Fund (SIBTF) helps California workers who suffer a new workplace injury and already had a prior disability. It offers supplemental compensation when combined impairments severely limit earning capacity.