Reynoldsburg, OH (WorkersCompensation.com) – Ohio’s Bureau of Workers’ Compensationhas proposed rebating almost all of employers’ workers’ compensation premiums in 2019, the 5th rebate since 2013, Gov. Mike DeWine said on Monday.
The rebate, totaling more than $1.5 billion, is roughly 88 percent of the premiums paid to the bureau by employers. The rebate will affect private business owners, as well as local governments and public schools, DeWine said. DeWine and Ohio BWC administrator Stephanie McCloud proposed the rebate due to the bureau’s strong return on its investments, as well as decreased claims from businesses, the bureau said in a press release.
“Our investment portfolio is strong, our injury claims are falling, and our safety and wellness initiatives are making a difference,” said McCloud. “All of these actions mean big savings for employers, and we’re delighted to share this success with them.”
McCloud will offer the proposal to the BWC’s board of directors today. If approved, the checks would be issued in September.
Like nearly all states, Ohio law requires employers to carry workers’ compensation coverage. Employer premiums are invested by the bureau in order to support claims. When investments are strong, the bureau said, the agency returns part of the premiums in the form of a rebate. This is the sixth year the state has rebated premiums, the bureau said in a statement.
Ohio BWC provides coverage for approximately 242,000 public and private employees.
The proposed rebate is a continuation of policies intended to lower workers’ compensation premiums in Ohio for private and public employers. BWC instituted a 12 percent cut in rates for public employers that went into effect in January. A 20 percent premium cut will go into effect for private employers on July 1.
The BWC said it will work hard to ensure employers get their checks. In some cases in the past, employers did not realize mail coming from the bureau was a rebate and failed to open envelopes to find their checks. Depending on the size of the organization, checks range from hundreds to hundreds of thousands of dollars.