the Ohio Bureau of Workers’ Compensation has announced a significant rebate of premiums to Ohio employers that will be paid in July based upon premiums paid for the policy period of July 1, 2015 through June 30, 2016, if the proposal is approved by the BWC Board of Directors at its meeting April 28, 2017. The rebate amount will equal 66% of the premiums paid for the policy period. If you participate in the group retrospective rating program, you will receive your rebate after the premium calculation in October. Please carefully review the requirements below, and contact our office if you would like any assistance ensuring you qualify and are eligible for the rebate.
You must act now to ensure you are eligible to receive the rebate. In order to qualify, each of the following must be true:
- For some portion of the policy period (July 2015 – June 2016), you participated in the state insurance fund. If you, or your PEO, were self-insured for a portion of the, but not the entire, policy period, you will still be eligible.
- You reported payroll,greater than zero, for the policy period;
- You were billed workers’ comp premiumsfor the policy period;
- Before June 2, 2017, you must have completed reporting and premium reconciliationfor the policy period. This means you must have paid all premiums due for this policy period;
- On June 2, 2017, your, and your PEO’s, workers’ compensation accounts are active. This means you have not closed your account, and your premiums are paid through this date. You may also qualify if your account status is reinstated, combined, or debtor-in-possession; and
- Your tax identification number (“TIN or EIN”) is on file with the BWC.
If you used a PEO (“professional employer organization”), for any portion of the July 1, 2015 through June 30, 2016, policy period, that portion of your rebate, for premiums paid through the PEO, will be paid to the PEO. If you entered into or exited a PEO relationship during the policy period, you may also qualify for a direct rebate. The PEO is required to provide you with notice of the rebate, and, within 30 days, forward to you the rebate, less a 6% administrative fee. The PEO may not withhold or offset the rebate payment, regardless of what the service contract says. There will be no rebate for premiums paid to a self-insured PEO. We recommend that you immediately contact your PEO to discuss to avoid any misunderstandings.
You will receive a 1099, reporting the rebate as income, if the rebate exceeds $600.
Please contact us if there be any question.