The Ohio Bureau of Workers’ Compensation (BWC) Board of Directors is reviewing a 7% rate reduction proposal, potentially resulting in significant savings for private employers in the upcoming fiscal year. John Logue, Administrator and CEO of the BWC, made the announcement, highlighting the proposal’s aim to bolster employer savings while maintaining Ohio’s historically low rates. This initiative was set in motion at the behest of Governor Mike DeWine, reflecting the state’s ongoing commitment to supporting businesses and promoting workplace safety.

Governor DeWine commended Ohio’s employers for their unwavering dedication to fostering safe working environments. He emphasized the pivotal role of these efforts in facilitating consistent rate reductions, which ultimately benefit employers and employees alike. The proposed reduction, if approved at the board’s meeting on February 23, would mark the fifth consecutive rate reduction since DeWine assumed office in 2019, underscoring the state’s proactive approach to enhancing workplace safety measures.

With an estimated $67 million in savings projected for the next fiscal year, businesses stand to benefit from reduced financial burdens, enabling them to allocate resources more efficiently and invest in their workforce. Furthermore, the proposed reduction aligns with broader efforts to foster economic growth and competitiveness within Ohio’s business landscape.

While the proposed 7% rate cut represents a statewide average, it is essential to recognize that individual premium changes for public entities will vary based on a multitude of factors. These include employer type or classification, payroll levels, recent claims history, and participation in various BWC programs. Nonetheless, the overarching goal remains to ensure that Ohio’s workplaces remain safe, productive, and conducive to sustainable economic growth.

Looking ahead, the BWC has stated they remain committed to working closely with stakeholders to identify opportunities for further enhancing workplace safety and reducing employer costs.

If you have questions about this article, workers’ compensation issues or OIA’s Advocacy efforts, please contact Colleen Barbara and John Wells at colleen@ohioninsuranceagents.com and john@ohioinsuranceagents.com.

Citations:  

News Service, G. (2024) Another BWC Premium Cut In Works, Gongwer News Service-Ohio. Available at: https://www.gongwer-oh.com/news/index.cfm?n=9301802 (Accessed: 29 January 2024). 

Youngstown, OH, T.B.J. (2024) DeWine, BWC request 7% rate reduction for private employers, Business Journal Daily | The Youngstown Publishing Company. Available at: https://businessjournaldaily.com/dewine-bwc-request-7-rate-reduction-for-private-employers/ (Accessed: 29 January 2024).