The Ohio Bureau of Workers' Compensation plans to distribute a $1 billion rebate to public- and private-sector workers comp policyholders, Ohio Gov. John Kasich said Wednesday.
The rebate would be distributed to about 184,000 private-sector employers and 3,800 public-sector employers, according to a statement released by Gov. Kasich's office. Board members of the state workers comp bureau are slated to vote on the proposed rebate in a September meeting.
The bureau is Ohio's monopoly workers comp insurer, providing coverage to more than 252,000 Ohio employers, according to the bureau's website.
If approved, this would be the second year in a row that Ohio's workers comp bureau would issue a $1 billion rebate to employers. The rebate is funded by annualized investment returns of 8.9% during the last three years for the state's workers comp fund — including an investment return of 13.3% for fiscal 2014 — according to the statement.
“Sound fiscal management and a well-executed investment strategy continue to put BWC in a position where it can return money to its customers — Ohio's employers — but also to workers in the form of initiatives that help them stay safe on the job,” Gov. Kasich said in the statement.
If approved, Ohio employers would begin receiving rebate checks as soon as October, the statement said. The rebate would equal 60% of workers comp premiums paid during the policy year from July 2012 to June 2013.
The Ohio workers comp bureau also plans to invest in upcoming state safety initiatives for employers, the statement said. That includes $15 million in matching grants to help companies buy equipment that improves safety, and $2 million to fund research to reduce ergonomic injuries and slips, trips and falls.