Five Key Findings in the 2024 Aging Services Professional Liability Claim Report

The aging services industry is rapidly evolving. The independent living, assisted living and skilled nursing communities are experiencing a wide range of professional liability exposures. CNA’s new Aging Services Professional Liability Claim Report: 12th Edition highlights circumstances that can result in harm to residents. This report provides an in-depth analysis of claims that closed between 2021 and 2023 with the goal of offering insights and recommendations that can be implemented to create safer, higher-quality resident care.

Below are some of the key findings highlighted in the 12th edition report:

1. Claim severity increased across all bed types, with assisted living facilities experiencing the most significant increase.

The severity gap between assisted living facilities and skilled nursing facilities has widened since our prior report. The average total incurred is now 14% higher in assisted living facilities.

2. Overall average total incurred for all facilities has increased 3.8% since the prior report.

The average total incurred is now $259,443 – up from $250,048 in the 2021 report. The five highest severity allegations in the 12th edition report:

• Resident abuse: $384,088 
• Failure to move a resident to a higher level of care: $312,107 
• Failure to follow a physician’s order: $311,480
• Medication error: $306,373
• Elopement: $303,883
   

3. Falls and pressure injuries account for most closed claims.

Resident falls accounted for 41.0% of all closed claims, with an additional 22.2% of the claims in the dataset related to pressure injuries. Combined, these two categories represented 63.2% of all closed claims. Falls and pressure injuries remain the top two allegations, with no significant change in distribution since the prior report.

4. Costs rose considerably for claims related to failure to move a resident to a higher level of care when needed.

Although this category of claims represents less than 1% of all claims, the average total incurred for claims related to failure to move a resident to a higher level of care increased from $233,602 in the prior report to $312,107 in the current dataset.

5. The average total incurred for claims related to resident abuse increased by 45.7% in skilled nursing facilities and 17.3% in assisted living facilities. 

Staffing challenges, complex care needs and ineffective abuse training can increase the likelihood of an allegation of abuse. Resident abuse claims can also result in significant financial and reputational harm for facilities.

As a market leader in aging services, CNA offers deep expertise, specialized capabilities and tailored insurance solutions – all backed by our financial strength and reputation for longevity in the industry. We’re proud to provide aging services communities with detailed data analysis and actionable risk mitigation recommendations.

To enhance your knowledge and continue building your culture of safety in aging services, download the full report.

CNA offers customized insurance solutions for aging services communities. Visit our Healthcare page and subscribe to learn more and receive future claim reports and other resources.