Private employers to save $71.5 million over this year’s premiums
Ohio’s private employers will pay nearly $72 million less in premiums to the Ohio Bureau of Workers’ Compensation (BWC) next fiscal year under a 7.1% rate reduction the agency’s Board of Directors approved back in February.
This rate reduction became effective July 1, the start of the state’s fiscal year 2022. It will save private employers $71.5 million over this year’s premiums, affecting approximately 220,000 employers across the state.
“I applaud Ohio’s employers who – despite challenging times – continue to adopt a culture of workplace safety, which helps to allow for continued rate reductions,” said Governor Mike DeWine.
The Board’s action marks the fourth consecutive rate reduction for private employers since 2018 and the twelfth since 2008. It also follows a 10% reduction for Ohio’s public employers (cities, counties, schools, etc.) that went into effect on January 1, 2021.
“We are excited to see this rate reduction become effective for private employers,” said Interim Administrator/CEO John Logue, “This past year has not been easy, and we are hoping that these reduced rates can help employers with the challenges that the pandemic formed.”
The 7.1% rate cut represents an average statewide change to premiums. The actual premium paid by individual private employers depends on several factors, including the expected future claims costs in their industry, their company’s recent claims history, and their participation in various BWC programs.
A history of BWC rate changes since 2000 can be found online by clicking this link.