News
Billions and Billions served
August 18, 2014
One wonders if on some future trip to downtown Columbus a large red sign with yellow numbers, high atop the William Green Building, will announce how many billions the Ohio Bureau of Workers’ Compensation has given back employers?
When McDonald’s stopped providing an “official” count at 99 Billion about twenty years ago, opting for its current slogan, many wondered if they simply lost count. Could the same thing be happening to the Ohio BWC? Last week, on the heels of unprecedented rebates, credits and judgments totaling nearly $3 billion, they simply, and somewhat casually, rolled out their “Another Billion Back” proposal.
Under this rebate initiative, employers will receive 60 percent back on workers’ compensation premiums paid during the 2012 fiscal year. This rebate is reportedly based on the performance of the investment portfolio and not in any way tied to the recent settlement with some employers for over $400 million.
Employers don’t need to act to receive this “Another Billion back” rebate, but are encouraged to pay the upcoming premium on time. Checks should be ready in October, and unlike the fast food giant, there will be free delivery.
BWC settles class action lawsuit
July 25, 2014
A year and a half after a ruling by a Cleveland judge ordering the Ohio Bureau of Workers’ Compensation (BWC) to pay Ohio employers $860 million, the BWC has reached a settlement for roughly half that amount.
As part of the agreement, a $420 million fund will be created to pay for claims to employers participating in the lawsuit, the attorney fees, court costs and the costs of administering the fund. Employers should receive instructions on how to make their claims sometime in the near future.
It’s important to remember, eligible employers are those not participating in BWC Group Experience Rating during any of the rating years from 7/1/2001 to 6/30/2009. Only a portion of the premium paid during the years NOT in Group Rating will be considered for a refund, and amounts previously quoted on various websites are likely to be overstated as the settlement has since cut the award in half.
Ohio changes Premium collection and Group Rating enrollment deadline
July 23, 2014
With a letter to employers the Ohio BWC announced it’s moving to Prospective Premium payments and away from its long held method of collecting premiums every six months based on prior payroll.
This new change in timing means employers will be faced with having to enroll in the BWC Group Rating discount plan twice in 2014. The old enrollment deadline of February 28th is now being replaced with November 24, 2014 for the 2015 rating year, essentially three months earlier. As always, Chaney Consulting Group will be working closely with each client, evaluating options for Group Experience Rating and Group Retrospective Rating looking for the best fit.
