5. Details of Certain Balance Sheet Accounts

Prepaid expenses and other current assets consist of the following:


		December 31,
		2011		2010
Prepaid health insurance	$	3,672	$	5,337
Prepaid workers' compensation and liability insurance		1,354		1,386
Prepaid rent		192		198
Workers' compensation insurance receivable		1,866		—
Other		1,053		783
	$	8,137	$	7,704

Accrued expenses consisted of the following:


		December 31,
		2011		2010
Accrued payroll	$	11,547	$	10,453
Accrued workers' compensation insurance		10,173		8,218
Accrued payroll taxes		1,811		1,579
Accrued health insurance		3,039		3,858
Accrued interest		100		144
Current portion of contingent earn-out obligation		683		502
Other		1,960		1,775
	$	29,313	$	26,529

The Company provides health insurance coverage to qualified union employees providing home & community services in Illinois through a Taft-Hartley multi-employer health and welfare plan under Section 302(c)(5) of the Labor Management Relations Act of 1947. The Company's insurance contributions equal the amount reimbursed by the State of Illinois. Contributions are due within five business days from the

date the funds are received from the State. Amounts due of $2,982 and $3,808 for health insurance reimbursements and contributions were reflected in prepaid insurance and accrued insurance at December 31, 2011 and 2010, respectively.

The Company's workers' compensation program has a $350 deductible component. The Company recognizes its obligations associated with this program in the period the claim is incurred. The cost of both the claims reported and claims incurred but not reported, up to the deductible, have been accrued based on historical claims experience, industry statistics and an actuarial analysis performed by an independent third party. The future claims payments related to the workers' compensation program are secured by letters of credit. These letters of credit totaled $7,410 and $6,765 at December 31, 2011 and 2010, respectively.

As part of the terms of the acquisition of Addus HealthCare in 2006, all 2005 and prior workers' compensation claims are the obligation of the former stockholders of Addus HealthCare. Approximately $3,242 in cash escrows and deposits were set-aside from the purchase price of Addus HealthCare as collateral for these 2005 and prior claims as of December 31, 2011. The outstanding loss reserves associated with the 2005 and prior workers' compensation policies approximated $1,777 at December 31, 2011.