Do you want to learn more about premium rates?

The Ohio Constitution requires BWC to classify industries according to the degree of hazard in the business.

This is accomplished when BWC assigns manual classifications to the employer based on the description of work being performed (this information is taken from the coverage application). Each manual classification has its own base premium rate.

How are base premium rates determined?

• Base rates are determined by claims costs for a particular classification industry wide and not just from one employer’s experience.
• BWC’s actuarial department analyzes the costs of all claims in each manual classification during the oldest four of the most recent five years.
• This information is used to project the cost of claims that will occur the next year for each manual classification.
• BWC’s administrator uses this actuarial data to make recommendations for premium rates and assessments.
• Final approval of premium rates comes from the BWC Oversight Commission.
• New rates for private, state-fund employers are effective each July 1 and new rates for public, state-fund employers are effective each January 1.