As older workers remain in or reenter the labor force, the workers compensation industry is zeroing in on an area where claims tend to be more severe, medically complex and costly.
“Our workers compensation data clearly show that the percentage of the workforce that is older is growing,” said Rich Ives, Hartford, Connecticut-based senior vice president of business insurance claim for Travelers. “That comes with favorable impacts — lower injury frequency — and unfavorable ones, including higher severity and longer time out of work.”
Older workers tend to be more experienced and “less risky in their behaviors,” he said, but recovery is often slower because of reduced physical resilience and a higher likelihood of comorbidities such as diabetes, arthritis or obesity.
“When someone has one comorbidity, the cost of a workers compensation claim can double,” he said. “With two or more, costs can increase fivefold.”
In recent years, Sedgwick has seen a data point in its pool of claims that hinted at trouble: In 2024, the largest year-over-year increase in workers compensation claims came from employees ages 60 and older, rising 2.8% over 2023.
“It’s not a huge number, but it does show that they are having more injuries each and every year over the last few years than the other age groups within the employment pool,” said Max Koonce, Bentonville, Arkansas-based chief claims officer at Sedgwick.
Other data shows that the average indemnity duration for older workers is nine days longer than for younger workers and costs 35% more both in income replacement costs and in medical costs, he said.
Economic pressures are a major driver of older workers remaining in the labor force past traditional retirement age. U.S. Census data shows that workers 55 and older have steadily increased their share of the labor force over the past two decades, rising from roughly 10% of workers in the mid-1990s to nearly 25% by 2022.
About half of the private-sector workforce lacks access to employer-sponsored retirement savings plans, said Chris Farrell, a St. Paul, Minnesota-based journalist and author of “Unretirement: How Baby Boomers Are Changing the Way We Think About Work, Community, and the Good Life.”
“For many workers, working longer is not about staying busy — it’s about necessity,” he said.
Workers without access to retirement plans often have little or no savings, and even those who do frequently find their balances insufficient to fully support retirement, Mr. Farrell said. As a result, many retirees now take on some form of “bridge job” rather than exiting the labor force entirely.
“These jobs let people continue earning income while dialing down hours, stress and responsibility,” he said.
Financial considerations are not the only motivator. Work also provides “community, structure and a sense of purpose,” Mr. Farrell said, pointing to the Walmart greeter as a classic example of a retirement-age worker reentering the labor force.
Experts say reentry jobs often cluster in retail, hospitality, transportation, maintenance, staffing and similar sectors that readily hire part-time or flexible workers. Many of these roles involve prolonged standing, repetitive motion, lifting, pushing and pulling, ladder use and slip-and-fall hazards — risks that may differ significantly from those in a worker’s prior career.
This so-called returner dynamic adds another layer of risk that traditional age-based analysis may not capture, experts say. Workers reentering the labor force after retirement may be unfamiliar with specific hazards and physical demands, even if they bring decades of experience.
That dynamic becomes especially evident in complex claims.
One of the more challenging workers compensation cases Enlyte managed in 2025 involved a 78-year-old maintenance worker who fractured his hip after stepping off a scissor lift he thought was fully lowered. The fall triggered a series of medical complications, including blood clots and pneumonia.
The worker, a previously retired engineer, had returned to employment for personal reasons rather than financial necessity. His claim required multiple surgeries, extended rehabilitation and ongoing work restrictions. Given the severity of the injury, the fact that he eventually returned to work was unexpected, according to an Enlyte case study.
The case underscored a growing challenge for employers and risk professionals: While injuries to older workers may be less frequent, they can be highly consequential — medically, operationally and financially.
Prevention is therefore a major focus for employers, as is ensuring that risk management strategies do not create discriminatory practices (see related stories below).
Claims leaders emphasize that these cases are manageable with early, intentional intervention. Data-driven risk identification, early and comorbidity-aware clinical engagement, practical ergonomics and realistic return-to-work planning can turn even high-cost, high-complexity claims into successful outcomes, they say, even for workers well past traditional retirement age.
Communication with injured older workers also is crucial in that early intervention.
“Some of it is a communications issue,” said Matt Zender, Las Vegas-based senior vice president of workers compensation product and strategy at AmTrust. “We all receive information differently, and assumptions about how people engage — especially with technology — can create gaps.”
Relying solely on digital tools or mobile apps can unintentionally exclude some older workers who may be less comfortable with technology, Mr. Zender said. Instead, employers and claims teams should use multiple communication channels — including phone calls, printed materials and in-person conversations — to ensure that messages about treatment, expectations and return-to-work plans are clearly understood.
“You have to think about multiple distribution approaches so you’re reaching the entire employee base,” he said.
“The early days of a claim are critical,” said Irina Simpson, a Philadelphia-based executive vice president of workers compensation for Gallagher Bassett, adding that severity reflects not just medical costs but longer indemnity duration and higher administrative expense.
“Waiting 30 or 45 days often allows a claim to develop momentum that is very difficult to redirect,” she said.
For common injuries, claims involving workers over 55 “cost substantially more,” Ms. Simpson said.
“Musculoskeletal injuries and fractures, in particular, are significantly more expensive, and older workers experience a higher prevalence of severe injuries with longer recovery periods,” she said.
Clinical complexity is a key contributor.
Claims for older workers more frequently involve same-level falls, fractures, joint issues affecting shoulders, knees and hips, and complicated soft-tissue recoveries, said Tammy Bradly, Birmingham, Alabama-based senior director of clinical product marketing at Enlyte.
“These injuries are often layered on top of comorbidities like diabetes, cardiovascular disease, arthritis and the effects of multiple medications,” Ms. Bradly said. “Each of those factors can slow healing and increase the risk of complications.”
Even when medical treatment stabilizes, functional recovery may lag.
“An injured worker may be medically stable but still lack the balance, strength or endurance to safely perform the job they held before the injury,” she said. That gap can require accommodations or modified duty, complicating return-to-work planning for employers and claims professionals.
Though, higher return-to-work rates and less litigation remain features of older generations (see related story below).
Aging workforce puts employer safety programs under bias scrutiny
The aging workforce is reshaping how employers think about safety and legal exposures.
With more workers in their 60s and 70s, employers are rethinking safety strategies — such as ergonomic assessments, job safety analyses and fitness-for-duty testing — to reduce injuries that tend to be more severe and costly when older employees are hurt.
But legal experts say well-intentioned safety measures can cross the line into age discrimination if they aren’t carefully designed and consistently applied. Tools must be tied to job requirements, not assumptions about age.
“Employers are entitled to look at the job duties of the position and take measures to make the performance of those duties safer,” said King Tower, a labor and employment lawyer with Woods Rogers in Roanoke, Virginia. “Where it gets dangerous is allowing concern over (safety training) costs to reduce job opportunities for older workers.”
Federal and state laws allow employers to implement safety standards if they are based on legitimate business needs and applied consistently, he said. Problems arise when employers rely on stereotypes about what older workers can or cannot do.
“You can’t enhance job requirements in a way that screens people out,” Mr. Tower said. “You also can’t make assumptions about an applicant’s abilities based on age.”
Fit-for-duty exams are one area where employers must tread carefully. Such exams are permitted in specific circumstances, but only when they are job-related and applied consistently, said Ashley Akins-Atewogboye, assistant general counsel and human resources consultant for Engage PEO in Rutherford, New Jersey.
“Employers can require fit-for-duty exams after an employee returns from an extended leave, but the tests must be consistent with the needs of the operation,” she said. For example, a hospital may require an emergency room nurse returning from leave to demonstrate the ability to lift and bend if those are essential job functions.
The key is uniformity, she said.
“If an employer is going to implement fit-for-duty exams, they have to be applied consistently for all employees,” Ms. Akins-Atewogboye said. Random or selective testing can be viewed as discriminatory, particularly if it disproportionately affects older workers.
Clear documentation is critical. Policies outlining return-to-work exams should be included in employee handbooks, and job criteria should be tied directly to essential functions rather than to age, gender or other protected characteristics, she said.
Employers also must consider accommodations. If an employee fails a fitness exam, employers should assess whether reasonable accommodations would allow the worker to perform essential duties safely, she said.
Risk professionals emphasize that many safety improvements benefit workers of all ages. Ergonomic and job safety analyses can reduce lifting hazards, minimize repetitive motion and lower slip-and-fall risk across the workforce, according to Dan Leporati, director of risk management for Engage PEO in Jacksonville, Florida.
“Workplace modifications made to protect older workers often improve safety outcomes for younger workers performing the same tasks,” he said.
Health and wellness initiatives also play a role, he said. Employer-sponsored fitness benefits, stretching programs and telehealth access can help employees address health concerns before they result in injuries.
The rise in age-related employment disputes reflects a demographic shift rather than a sudden change in employer behavior, Mr. Tower said.
“There are simply more older workers in the workforce than ever before,” he said. “That creates more opportunities for disputes, and more awareness of age discrimination laws.”
Targeting ergonomics, onboarding can prevent discrimination claims
Injury prevention efforts that emphasize ergonomics, hazard awareness and consistency in onboarding can reduce injury risk across the workforce while supporting older employees in ways that do not invite age discrimination claims, safety experts say.
“Reductions in strength, coordination, vision and hearing are a natural part of aging,” said Mike Milidonis, national manager of ergonomics and employer services at Enlyte. “But the ergonomic solutions that address those changes benefit all workers.”
Employers are increasingly reducing physical demands associated with lifting, carrying, pushing and pulling for all workers, which lowers injury risk regardless of age, Mr. Milidonis said. Common changes include adding lift-assist devices, improving cart design and upgrading to LED lighting systems that enhance visibility and reduce fall risk.
“These interventions improve safety, productivity and quality control,” Mr. Milidonis said. “They also support an aging workforce without creating discriminatory practices.”
Industry data consistently shows that older workers experience fewer injuries overall but that their injuries involving falls, fractures and musculoskeletal strain tend to be more severe and require longer recovery times. Prevention begins with job design, experts say.
Lisa Orr, Tulare, California-based senior human factors consultant and ergonomist with Sedgwick, said her work centers on fitting the job to the worker, an approach that becomes increasingly important as physical capabilities change with age.
“As we age, we gradually lose muscle strength, endurance and flexibility,” Ms. Orr said. “Balance can be reduced, reaction times are slower, and vision and hearing are impacted. When you combine those factors with conditions like arthritis or degenerative disc disease, the risk of slips, trips and falls increases.”
Changes in the body’s temperature regulation and visual adaptation to changes in light also can affect safety, she said, particularly in hot, cold or low-light environments.
“That sounds like bad news,” Ms. Orr said. “But the good news is that ergonomics can address many of these issues.”
Technologies that reduce the need for grip force, adaptive tools that aid in work functions, enlarged font sizes, improved lighting and seating with sturdy armrests can significantly reduce strain and fall risk, she said. Many of these adjustments are relatively simple and inexpensive but deliver outsized safety benefits.
“If you’re selecting a chair, for example, you want sturdy armrests because a worker may rely on them to get in and out safely,” Ms. Orr said. “Those features help everyone, not just older workers.”
Another key prevention lever is onboarding and retraining, particularly for workers returning after an extended absence or entering a new role later in life.
“Any time a worker reenters a work environment, regardless of age or the reason they’ve been out, it introduces new safety considerations,” said Sarah Veader, Sterling, Connecticut-based assistant vice president of risk control for Church Mutual Insurance.
Workers returning from retirement, transitioning into a new industry or taking on unfamiliar tasks face an adjustment period that can increase risk, she said.
“That’s why consistency is so important,” Ms. Veader said. “Everyone should be treated the same when it comes to onboarding, training and refresher training.”
She emphasized that employers often underestimate how routine hazards appear to new or returning workers.
“We get accustomed to what’s normal in our workplace,” she said. “But something that feels mundane to us may be completely unfamiliar to someone new.”
Clear guidance on hazards such as material handling, ladder use, slips, trips and falls — along with the controls in place to mitigate those risks — is essential, she said.
“Those are common injury sources,” Ms. Veader said. “We can’t take them for granted.”
Experts stress that prevention strategies work best when they are proactive, data-driven and broadly applied. Ergonomic improvements, consistent training and hazard communication reduce injury risk for all employees while quietly addressing age-related vulnerabilities.
“The goal isn’t to treat older workers differently,” Ms. Orr said. “It’s to design work that people can do safely at any age.”
Solid return-to-work plans key to claims management for older workers
Accommodations and structured return-to-work strategies have become central to managing workers compensation claims for older workers as employers shift away from all-or-nothing approaches, experts say.
Speedy return to work is often important for such workers, said Crystal Jones, Atlanta-based workers compensation manager at Jencap.
“We try to get them back in as soon as possible, but maybe it’s at a slower rate,” she said, adding that “you don’t want them sitting at home where they’re getting frustrated.”
Engagement and coordination are key, Ms. Jones said. “You can let them know that they are getting better, help them understand what the doctor is talking about, and talk to their employer. Say, ‘We’re taking the steps to get you back in the door.’”
Employers increasingly rely on coordinated medical, vocational and ergonomic case management to keep injured workers engaged rather than sidelined, said Nesha Courtney, Paris, Kentucky-based national product manager for advocacy, disability and return-to-work services at Broadspire.
Instead of waiting for a full-duty release, companies are more willing to modify tasks, rotate employees through less physically demanding roles and address formal accommodation requests under the Americans with Disabilities Act.
“Employers are doing a much better job today than they were, say, even five or 10 years ago, when it comes to looking for ways to accommodate conditions vs. just putting everybody out on time loss,” she said.
That shift is especially important in physically demanding environments, such as industrial lines and maintenance operations, where repetitive motion and cumulative wear can escalate recovery challenges for older employees, Ms. Courtney said. Job rotation and ergonomic modification can reduce strain while allowing workers to remain productive, benefiting both recovery and morale, she said.
Graduated return-to-work schedules also are gaining traction, replacing the older model where injured employees were either fully out or fully back, Ms. Courtney said. Under these programs, workers may return for limited hours or light duty while continuing physical therapy or other treatment, gradually increasing their time on the job as restrictions ease. Keeping employees connected to work during recovery supports not only physical rehabilitation but also mental well-being, she said.
Older workers often show a strong desire to return to work and are less inclined toward litigation, but that resilience can be a double-edged sword, she said. Many delay reporting injuries out of fear of job loss or a reluctance to complain, sometimes working through pain until their condition worsens, said Ms. Courtney, who is also a clinical psychologist.
From a psychological standpoint, continued engagement with work can play a critical role in recovery, she said. Employment provides structure, purpose and social connection, which help mitigate depression and anxiety, particularly for older adults who may otherwise experience isolation after injury or retirement.
“Work itself can be an aid to recovery,” she said, especially when paired with thoughtful accommodations that recognize physical limitations without entirely sidelining the employee.
While claims tend to cost more for older workers, those employees tend not to pursue litigation, Justin Dorman, associate managing director for the Charleston, South Carolina, branch of Burns & Wilcox and the firm’s national product manager for the workers compensation division.
Anecdotally, “they are not the ones calling attorneys,” he said. “That’s not their mindset — they want to be working. It is just their mentality.”
This article was first published in Business Insurance
