This week the Ohio Bureau of Workers’ Compensation (BWC) proposed a 20% reduction in the average premium rate it charges private employers, which would be the largest rate cut in nearly 60 years if approved by the agency’s board of directors.
Fewer workplace injuries and falling estimates of future medical costs are driving the recommendation.
The board will vote the measure at its February 22 meeting.
If approved, the rate reduction would be effective July 1 and is projected to save private employers $244 million over premiums for fiscal year 2019.
Premiums paid to BWC not only cover health care and wages for injured workers, they support BWC’s Safety & Hygiene Division, which offers grants, training, consultations and other services to help employers improve workplace safety.
The proposed 20% rate cut represents an average statewide change. The actual premium paid by individual private employers depends on a number of factors, including the expected future claims costs in their industry, their company’s recent claims history and their participation in various BWC rebate programs. 1/24/2019