Comp rate decrease proposed for Ohio local governmentsPosted On: Jul. 26, 2019 11:55 AM CST
The Ohio Bureau of Workers’ Compensation on Thursday said it is proposing to reduce premium rates for public employers an average of 10% next year, the 11th reduction for public employers since 2009.
The proposal, which is set for a vote by the state Workers’ Compensation Board at its meeting Aug. 23 and would go into effect Jan. 1, 2020, would save Ohio’s 3,700 school districts, cities and other local government employers $17.8 million over their 2019 premiums, Chris Carlson, chief actuarial officer for the BWC, said in a statement.
Mr. Carlson attributed the trend in rate decreases to declining claims and relatively low medical inflation costs, according to the statement.
Gov. Mike DeWine lauded the proposal as a win for public employers and the state overall, according to the statement.
“These savings will help local governments invest in their communities at a time when resources are stretched thin by the numerous natural disasters we’ve experienced this year and by our continuing battle with the substance-use crisis,” he said in the statement.
The proposal follows a 20% rate reduction for private employers that went into effect July 1 and the board’s approval in June to send $1.5 billion in agency revenue to employers in September because of “strong investment returns, falling claims and other savings,” according to the statement.
The reduction also follows a 12% rate reduction for public employers that went into effect Jan. 1 this year.