Additional $1B Ohio BWC Rebate OK’d; Public Employer Rate Reduction Proposed

Ohio employers will receive another $1 billion rebate and workers will benefit from a major new investment in worker safety research and training, according to the Ohio Bureau of Workers’ Compensation (BWC).

The BWC’s board approved “Another Billion Back,” proposed by Gov. John Kasich in August, which includes the $1 billion rebate to 3,800 local governments and approximately 184,000 private sector employers, as well as several new programs targeting workplace safety.

BWC will begin issuing checks in October to employers that have current mailing addresses on file with the agency. The rebates will equal 60 percent of premiums eligible employers paid during the July 1, 2012 – June 30, 2013, policy year (calendar year 2012 for public employers).

The agency rebated $1 billion to employers last year. The rebates are possible because of strong investment returns, the BWC said

The Bureau also has proposed an average rate reduction of 9.1 percent for the 3,800 cities, counties, townships, villages, schools and special districts covered by the BWC.

If the rate cut is approved it is estimated that these public entities would pay $19 million less in annual premium. The new rates would be effective Jan. 1, 2015.

The decrease represents a reduction to the average of the collectible rates for public employer taxing districts covered by the BWC. Actual premium changes for individual public entities will differ based on several factors including their manual classification (the exact type of public entity they are), as well as their own recent claims history and program participation.