Mike O'Donnell

Workers' Compensation Prospective Billing: Important August Update

Mike O'Donnell |

BWC Payroll reports for the first half of 2015 are due this month but you probably don’t owe premium for this period!  Any business that has a policy in active status as of July 1, 2015 is not required to remit premium payment for the 1/1/2015 the 6/30/2015 period.  This is what the Ohio BWC is deeming a “transition credit” period.  The payroll report must still be completed and sent to BWC by August 31st for the transition credit to be honored.  The idea is to take the financial burden off the employer as the state transitions into prospective billing this summer.

You may also notice that your security deposit with the BWC (possibly paid years ago!) is being credited back to your policy. This is also part of the transition plan as Ohio businesses begin paying workers’ compensation premiums before the actual coverage is extended.

Also be sure to take notice of your new prospective billing cycle with the BWC beginning in this second half of 2015. Most employers will be paying premiums on a bi-monthly schedule.

If you would like additional information, the BWC website has details about these changes. Visit www.bwc.ohio.gov.  Click on the Employers tab on the menu.  Then select Prospective Billing under the Featured Links tab.  You can also contact COSE’s Workers’ Comp Team at 216-592-2351.