BWC Reminds Employers of Deadline for Premium Credit
COLUMBUS – The Ohio Bureau of Workers’ Ohio Bureau of Workers’ Compensation today reminded Ohio employers they must take action now to ensure they receive their portion of the $1.2 billion premium credit BWC will issue this summer as it updates its billing system.
Private employers in an active status are eligible to receive a credit for eight months of workers’ compensation coverage as part of BWC’s switch to prospective billing, said Steve Buehrer, BWC administrator and CEO. Since active status includes being up-to-date on payments, BWC is establishing payment plans for companies wishing to come into compliance and be eligible for the credit.
“We want to give employers every opportunity to receive eight months of free workers’ comp coverage, so we’re even allowing those employers that have fallen behind on payments to receive the credit if they set up a payment plan,” Buehrer said. “We encourage Ohio employers to review their policies and take action if necessary, and at the same time familiarize themselves with the new billing process so they’re prepared when the new system is in place.”
Under the new system, effective July 1 for private employers, businesses will be billed prior to receiving coverage instead of the current practice of billing employers in arrears. Designed to prevent double billing during the transition, the credit will result in BWC paying businesses’ previous six months coverage, or final payroll report, under the old system, as well as 1/6th of their policy year 2015 premium due. Private employers’ first payment under prospective billing will be due August 31.
To receive the credit, employers must be in active status by July 1, Buehrer said. Employers with lapsed coverage should take the following steps to ensure eligibility for the transition credit:
- Report unreported payroll for currently lapsed payroll periods;
- Pay any outstanding premium, late fees and penalties for assessed premium, or;
- Request a payment plan for any premium amounts that cannot be paid in full.
Policyholders no longer operating their business should also provide the date their operations ceased, so BWC can cancel the policy and resolve any outstanding issues.
Copyright 2024 The Business Journal, Youngstown, Ohio.