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Craigmile's Cost Avoidance Calculator

The following information details the methodology of the CACC, description of data points, in-direct multiplier calculations and FAQ's.  If there are further questions please contact Chris Craigmile at [email protected] or (315) 955-5422.  

WORKERS COMPENSATION DATA-
As with any calculation, the outcome is only as accurate as the information provided. 
PLEASE PROVIDE BOTH INCURRRED AND RESERVE WORKERS COMPENSATION COSTS.  

When identifying SPHM (Safe Patient Handling and Mobility) workers' compensation (W/C)–specific injuries, include the following types of incidents:
SPHM-Inclusive Injury Criteria:
  • Any injury sustained while moving a patient, including:
    • In-bed repositioning (e.g., boosting, turning, peri-care)
    • Ambulation
    • Toileting
    • Lateral transfers
    • Sit-to-stand transfers
  • Transportation-related tasks, such as:
    • Pushing or pulling stretchers or beds
    • Moving SPHM equipment
    • Car extractions
  • Fall and fall recovery incidents
  • Extended periods of limb support (e.g., during Labor & Delivery or in the Operating Room)
  • Injuries caused by physically aggressive patients if the injury occurred during any of the above tasks
 
Injuries not considered SPHM-related:
  • Injuries from physically abusive or aggressive patients not engaged in SPHM tasks
  • Needle sticks
  • Slips, trips, and falls
  • Non–patient care injuries
Note: SPHM-related musculoskeletal injuries are often cumulative. In cases where an incident occurs and the caregiver is injured, use your best clinical judgment to determine whether the injury should be categorized as SPHM-related. When in doubt, include the data or reach out for clarification.

In Direct Costs Multiplier 
Calculating an exact "indirect multiplier" for workers' compensation specifically for nursing can be challenging due to several factors:
  • Variability of Indirect Costs: Indirect costs associated with workplace injuries (like lost productivity, training new staff, decreased morale, etc.) are highly variable and difficult to quantify precisely.
  • Industry-Wide Estimates: Studies and estimates on indirect costs often focus on broader industry contexts or provide wide ranges (e.g., 2-20 times the direct costs).
  • Specific Challenges in Healthcare: The healthcare setting, including nursing, presents unique challenges, such as the high potential for patient-related injuries, exposure to bodily fluids, and the possibility of workplace violence. These factors can further complicate the calculation of indirect costs. 
General Industry Estimates: The Bureau of Labor Statistics suggests that indirect costs for workers' compensation claims across all industries can range from two to 20 times the direct costs.
Acuity Insurance: Highlights that hidden or indirect costs (like lost productivity, training replacement employees, increased premiums, legal fees, and diminished morale) can be even more detrimental than direct costs.
Factors Affecting Indirect Costs in Nursing:
  • Loss of productivity: When a nurse is injured, it disrupts patient care and may require other staff to take on additional tasks, potentially affecting patient outcomes and staff workload.
  • Training costs: Hiring and training a replacement nurse can be expensive and time-consuming.
  • Reputation damage: Workplace injuries, particularly if they become public, could negatively affect a healthcare facility's reputation and ability to attract and retain staff and patients.
  • Increased turnover: Nurses feeling unsafe or undervalued might leave, contributing to higher turnover rates and associated recruitment costs. 

Based on the forementioned studies, OSHA Database, Nationally Recognized Workers Comp Standards and recommendations from experts in the field of Workers Compensation in HealthCare the Indirect Multiple should be between 3 and 10 times that of the direct cost.  

We have incorporated the lowest recognized indirect multiplier to be as conservative as possible.  The equation uses a multiplier of 3.

Average Daily Census
The average daily census is calculated using the CMS data provided by the facility based on prior 12 months of information.  That data is collected through the American Hospital Directory  (www.AHD.com) and is updated monthly.   IF you facility does not show any data or there is an error please contact [email protected].  Some facility data is combined as a health network and is accessible only as a system through the website.  

The Craigmile Cost Avoidance Calculation (CCAC) 
Workers Compensation Data (2-4 yrs) X Indirect Multiplier= Total SPHM W/C Cost (TWC)
TWC / Number of Years of Data (2-4 yrs) = Annual W/C Cost (AWC)
AWC / Average Daily Census = Cost Per Bed Annually or CCAC figure
 
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OUR MISSION is to provide education, consultative services and equipment to effectively assist healthcare organizations across Upstate New York with:
  • Safe Patient Handling & Mobility (SPHM) Program Implementation and Management 
  • Infection Prevention
  • Pressure Injury Prevention and Management
  • Non-Invasive Wound Closure
Our proactive approach to staff and patient safety, utilizing nationally recognized best practices, has proven extremely successful for our clients. 
Craigmile Health Solutions, LLC 
119 County Rt. 6 Phoenix, NY 13135-2119
Phone: (315) 955-5422 Fax: (855) 750-2005
© Craigmile Health Solutions LLC.. All rights reserved.
Marketing Support by: Mathias Marketing
  • Cost Avoidance Calculator
    • Craigmile Cost Avoidance Calculator
    • CACC Description page
  • SPHM Summit
    • SPHM Summit Presentations
    • SPHM Summit
  • PRODUCT SOLUTIONS
    • HoverMatts
    • Ambulation Equipment
    • Disposable Slings >
      • Sling Sizing Guide
    • EMS HoverJack
    • Hygiene Products
    • Infection Prevention
    • Lateral Transfers
    • Manual Transfers
    • Parts
    • Patient Lifts
    • In-Bed Repositioning
    • Reusable Slings
    • Sit to Stand
    • Stretcher Chairs
    • Toileting and Bathing >
      • Bathing and Showering
      • Mobile Shower Commodes
  • About Us
  • EMS
    • RAIZER II
    • RAIZER M
    • Banana Lo-Raiser >
      • Evacuation EMS HoverJack
    • Immedia Support Belt
    • Immedia PediTurn
    • Immedia Swan Glide Pads
    • Immedia 4WayGlide Mini
    • Immedia E-Boards
  • Funeral Homes
  • Services
  • Contact Us
  • PRODUCT SOLUTIONS
  • Bariatric Equipment