The Ohio Bureau of Workers’ Compensation proposed a significant reduction in the average premium rate. If approved, it will be the largest cut in almost 60 years.

The BWC’s board of directors will vote to approve a 20 percent reduction on February 22^nd. If approved it will be effective July 1^st, saving private employers $244 million in premiums for fiscal year 2019. Last year saw a 12 percent reduction, and prior to that there has been no pattern of increases since 2006. This would be the ninth time they have lowered rates since 2008. Public employers saw a 12 percent rate reduction that went into effect January 1^st this year.

The average rate levels for 242,000 employers in the state’s BWC system are at their lowest level in over 40 years. BWC Administrator and CEO Stephanie McCloud said that the reduction can be attributed to fewer workplace injuries and falling estimates of future medical costs.

“We’re pleased Ohio employers recognize that workplace safety is vital to the health of their workforce, their business and our state’s economy,” said McCloud. “Their efforts to promote safe and health workplaces are clearly paying off, and they’re making it easier for us to maintain low and stable workers’ compensation rates now and into the future.”

Premiums paid to the BWC cover more than just health care and wages, they also go towards grants, training consultations and other services that employers can take advantage of to improve workplace safety. Participation in these kinds of services has grown 70 percent since 2010. Claims have fallen 18 percent in that time to 85,136 in 2018.

Read more from the BWC.