LEGISLATIVE SERVICES AGENCY
OFFICE OF FISCAL AND MANAGEMENT ANALYSIS
200 W. Washington St., Suite 301
Indianapolis, IN 46204
(317) 233-0696
iga.in.gov
FISCAL IMPACT STATEMENT
LS 6464 NOTE PREPARED: Dec 18, 2023
BILL NUMBER: HB 1246 BILL AMENDED:
SUBJECT: Choice of Physician for Worker Injury or Disease.
FIRST AUTHOR: Rep. Moseley BILL STATUS: As Introduced
FIRST SPONSOR:
FUNDS AFFECTED:XGENERAL IMPACT: State & Local
XDEDICATED
XFEDERAL
Summary of Legislation: The bill permits an employee to choose the attending physician who will provide
services and goods resulting from an employment injury or occupational disease for purposes of the worker's
compensation law.
Effective Date: Upon passage; July 1, 2024.
Explanation of State Expenditures: The state as an employer could experience an expenditure increase
under the bill, but the impact is dependent upon the medical costs of the employee’s choice for treatment
compared to the employer’s choice. [This bill has the potential to impact all agencies as employers, thus
impacting all funds that provide operating funds to agency staff.]
Additional Information - Research findings vary on the cost implications of allowing employees to select
physicians for medical treatment for workplace injuries or occupational disease. Some research suggests that
allowing employees to select treatment physicians results in higher costs. However, other research found no
difference in average medical costs.
Explanation of State Revenues:
Explanation of Local Expenditures: See Explanation of State Expenditures. Local units could be impacted
as employers.
Explanation of Local Revenues:
HB 1246 1 State Agencies Affected: All.
Local Agencies Affected: All.
Information Sources: Neumark, David, and Bogdan Savych. “The Effects of Provider Choice Policies on
Workers’ Compensation Costs.” National Bureau of Economic Research, Working Paper 23611, July 2017.
https://www.nber.org/system/files/working_papers/w23611/w23611.pdf. Accessed 18 Dec. 2023.
Fiscal Analyst: Camille Tesch, 317-232-5293.
HB 1246 2