Ohio Workers’ Comp Program Proposes Major Rate Cut
Columbus, Ohio (February 28, 2019) - Ohio is unique in its Workers’ Compensation laws. The state funded program has been effective over the years, but has not always been as employer-friendly as one might expect. Following on from former Governor John Kasich’s rebates in his last term, the state fund still appears to be overfunded.
Fortunately for many employers in the Buckeye State, the Ohio Bureau of Workers’ Compensation (OBWC) has recognized this issue and is considering efforts to further reduce premiums across the board, making Ohio a friendlier state for employers overall.
According to an OBWC spokesperson, the proposed rate cuts would save 242,000 employers in the state a combined $244 million in the next fiscal year. The cuts were proposed in response to fewer workplace injuries and projected decrease in future medical costs. If approved, it would be the ninth rate cut by the OBWC since 2008.
It should be noted that the 20% rate cut is an average, and the actual savings would vary from company to company, based on a variety of workers’ comp-related factors. Lewis Brisbois’ Ohio Workers’ Comp team strives to keep our clients informed of the best possible plans and programs available to them, and helps to develop cost-effective measures for employers throughout Ohio.
To learn more about how your business could be affected if these new rate cuts are approved, visit ourWorkers’ Compensation Practice page to find an attorney in our area, and sign up to receive future alerts.
John R. Christie, Partner