In 2005, what is the maximum permissible add-on percentage for subjective claims?

• A. none
• B. 3 percent
• C. 5 percent
• D. Whatever is called for by the examining physician

Answer: (B)

In 2005, the maximum permissible add-on percentage for subjective claims was indeed set at 3 percent. This limit was established to provide a standardized approach to evaluating claims that involve subjective factors, such as pain and suffering. The purpose of this cap is to ensure that subjective claims do not lead to inflated payouts based on unverifiable evaluations.

Subjective claims often hinge on personal assessments of discomfort or impairment, which can vary widely between individuals and can be influenced by various external factors. By limiting the add-on percentage, there is an effort to maintain fairness and consistency in the handling of such claims across various cases.

Other choices presented—such as "none" or "whatever is called for by the examining physician"—would not establish a clear and uniform guideline for subjective claims, which can lead to discrepancies in how these claims are evaluated and compensated. Similarly, the option of 5 percent exceeds the established maximum, potentially allowing for more subjective interpretation that could complicate the claims process further. Thus, the 3 percent figure serves as an important regulation, aiding in the objective assessment of claims while protecting all parties involved.