New Mileage Rates for 2025
By: Corey Meaux
It’s that time of the year again! Please be advised that the IRS has provided new mileage reimbursement rates for 2025. As of January 1, 2025, rates have increased to $0.70 per mile. This means that you will pay $0.70 per mile for any mileage reimbursement requests for this year. However, it is important to always remember to review your request to confirm when your claimant attended his appointment. For example, if you receive a mileage reimbursement request and you have 8 dates from 2024 and only 2 dates from 2025, you have to separate those to pay them at different rates. Therefore, the 2024 reimbursements will be paid at $0.67 per mile and the 2025 reimbursements will be paid at $0.70 per mile. Don’t ever let a claimant’s attorney try to trick you into paying older office visits at the new rate. That is not how the reimbursement system works in Louisiana.
While on this topic, it is important to remember that mileage reimbursements are considered to be a medical benefit. Therefore, the payment of mileage reimbursement requests will interrupt prescription as it relates to medical benefits (but it will not interrupt prescription as it relates to indemnity benefits). More importantly, because it is considered to be a medical benefit, you must remember that you have 60 days to pay any mileage reimbursement requests. Failure to pay within this period will lead to exposure to penalties and attorney’s fees. However, do not simply pay any request without first checking your file to confirm the accuracy of the mileage listed on the request and whether the claimant went to the doctor that day. You can check mileage by using online tools like Google Maps. You can also confirm the dates of the mileage by comparing them to dates of services as indicated on medical records provided by the treating physician.
