BWC News

Employers Receive 75% Premium Reduction

A 75 percent one-time reduction in Ohio workers’ compensation premiums paid by state-insured private-sector employers went into effect July 1.

The reduction, valued at a total of more than $1.4 billion, will be reflected on employers’ invoices in December 2001 and June 2002. The Ohio Bureau of Workers’ Compensation (BWC) said the premium reduction was made possible by the strong performance of the bureau’s investments, reduced costs because of improved safety and claims handling, and more efficient BWC management.

In addition, BWC said the payroll report that private employers received in June reflected an average premium rate decrease of another 5 percent. This was the sixth consecutive decrease in the state’s average premium rate, following reductions of 7.3 percent in policy year 1995, 6 percent in 1996, 15 percent in 1997, 6 percent in 1998, and 3 percent in 2000.