BWC Group Rating Analysis | Local Accountant | Ohio CPA | NMS

Worker health and safety are paramount to maintaining a vibrant economy and thriving businesses. Workers’ compensation insurance exists to help companies provide short- and long-term assistance to employees who are injured on the job. In Ohio, this vital insurance is available to both public and private employers from the Ohio Bureau of Workers’ Compensation (BWC). 

Group rating is a tiered pricing system that allows similar businesses to combine and act as one employer when applying for workers’ compensation coverage. The combined performance of a group allows businesses to see substantial savings on their premiums than they otherwise could have achieved individually. Group rating also provides an incentive for participating companies to increase workplace safety. 

Premiums are based, in part, on claims from prior years across all the companies applying for a group rating. The resulting insurance protection is naturally a joint and several liability. Ohio workers' compensation coverage is obtained indirectly through the BWC, with a third-party administrator (TPA) doing the work of forming the group. This TPA could be one of many individuals, including a local accountant.

After filing out a Temporary Authorization to Review (AC-3) Form and submitting it to a local program administrator, a company can be evaluated for eligibility at no cost to them. At NMS Certified Public Accountants, our team will then conduct a savings analysis for the company’s decision makers to review.

For a company to be eligible to apply for BWC group rating, they must:

  • Be up-to-date on BWC payments
  • Not have more than 40 days of lapses in workers' compensation coverage during the past 12 months
  • Be a member of only one group, consisting of similar businesses
  • Have thoroughly reported payroll for the preceding policy year

At NMS Ohio CPA, we aim to maximize premium savings for our clients seeing BWC coverage. We know that the larger the pool of companies we have to draw from, the greater the savings will be for everyone involved. We work with a diverse range of clients and so offer an array of group plans in tiers that match a majority of employers’ rating history.

If you would like to learn more about how your business can save on workers’ compensation premiums by applying for group rating, get in touch with the team at NMS Certified Public Accountants today! We can guide you through the process. Applications for the coming coverage year are due by the Monday prior to Thanksgiving for private employers, or the last business day in May for public employers.

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