Program to Lower Workers’ Comp Rates for New Employers in Ohio Approved

The Ohio Bureau of Workers’ Compensation (BWC) board of directors has approved the creation of Grow Ohio, a program targeted toward job creation by lowering workers’ comp costs for employers new to Ohio, agency announced.

The program could reduce premiums by as much as 51 percent for employers new to Ohio since July 1.

Under Grow Ohio, new employers will receive the 25 percent discount on their workers’ compensation premiums unless they elect to participate in another program incompatible with the Grow Ohio discount.

If they prefer, employers can instead choose to immediately participate in the Group Experience Rating Program, which normally is not accessible to new employers until the first full policy year following the date they obtain workers’ compensation coverage. Participation in group rating could reduce their premiums up to the maximum allowable amount, currently 51 percent.

New business entities or out-of-state businesses that are new to the state and report payroll in Ohio on or after July 1, 2011, will have 30 days to decide whether to pursue the group rating option, or the 25 percent discount will be automatically applied

The discount will be applied for the payroll period in which a new employer’s coverage becomes effective and the four subsequent, six-month payroll periods. Incentives will be reflected on bills employers pay beginning in February 2012.

Topics Commercial Lines Workers' Compensation Business Insurance Ohio