Sara Morrison, the administrator of the Ohio Bureau of Workers’ Compensation (BWC or Bureau), recently announced a $1 billion rebate for Ohio’s public and private employers who participate in the State Insurance Fund. The rebate is made possible due to better than expected investment returns for the Bureau over the past few years. The Bureau also cites workplace safety programs and excellent care for injured workers as additional reasons for its strong State Insurance Fund. The net value of the State Insurance Fund at this time is $9.6 billion. The share of the rebate proposed for private employers is estimated to be $967 million.
The rebate was proposed to the BWC’s board of Directors on March 13, 2017 and will likely be voted on at the board’s April meeting. If approved, it is anticipated that the rebate checks will be issued over several months commencing in July 2017.
As with past rebates, there will be eligibility requirements for both private and public employers. In the past, the eligibility requirements included the duration of the risk (the length of time the employer has had workers’ compensation coverage through the state insurance fund) and whether the risk is in good standing with the Bureau of Workers’ Compensation, i.e., whether it has paid all past workers’ compensation premiums.
The Bureau has indicated that most rebates will equal 66 percent of the private employer’s premium for the policy year ended June 30, 2016. For public employers, the same percentage rebate will apply to calendar year 2015.