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Updates on the workers’ comp group rating program

Published Feb. 5, 2010 | Discuss this article on Facebook
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Buckeye Farm News

Enrollment

In late summer 2009, members of the workers’ compensation group rating program received communications that the Ohio Farm Bureau had chosen a new administrator for the program. CompManagment, Inc., a Sedgwick CMS Company, has been on board since September. Group rating re-enrollment packets were mailed in November to those members who were eligible to participate in the program. There is still time to enroll in the 2010 program.

Bureau of Workers’ Compensation payroll report reminder

The payroll report for the period July 1, 2009 to Dec. 31, 2009 was mailed in January by the Ohio Bureau of Workers’ Compensation (BWC). If you have not received the payroll report, please contact the BWC at 1-800-644-6292 to request another copy be mailed to you. Remember, your premium payment must be received by the BWC by Feb. 28, 2010 otherwise your coverage will lapse. You may also pay the premium online at www.ohiobwc.com.

2 hour safety requirement

If you are a participant in the Ohio Farm Bureau group rating program and incurred a workers’ compensation claim in 2007 or 2008, you must attend two hours of additional safety training prior to June 30, 2010.

Claim reserve calculation changes

Starting in July 2010, BWC will no longer suppress reserves for medical only claims, claims with salary continuation payments and claims with living maintenance as last paid compensation. Changes include:

  • Medical Only Claims – effective July 1, 2010, all medical only claims will be eligible for a reserve; BWC will use the reserve for rate making purposes for the July 1, 2011 policy year. New reserves will be displayed for each weekly reserve prediction starting July 2010 on the MIRA II reserve screens will be on ohiobwc.com and will be included on the quarterly claim cost reports beginning Sept. 30, 2010. Note: medical only claims within the $15,000 program will not be eligible for a reserve until removed from the program.
  • Salary Continuation – claims with dates of injury of Jan. 1, 2011 and after will be eligible for both an indemnity and medical reserve. Claims with salary continuation as the only indemnity payments will most likely not incur an indemnity reserve due to the MIRA II stop logic. However, salary continuation claims with ongoing medical will most likely incur a medical reserve. It is important to note that employers can continue to use salary continuation as a cost containment strategy but that it will only eliminate the indemnity portion of the experience rate calculation.
  • Living Maintenance – effective July 1, all claims with living maintenance and living maintenance wage loss as the last paid indemnity will no longer have the original calculated reserve reduced by 50 percent. New reserves will be displayed for each weekly reserve prediction starting July 2010 on the MIRA II reserve screens will be on ohiobwc.com and be included on the quarterly claim cost reports beginning Sept. 30.

The changes listed above will have a direct affect on your bottom line premium.

For more information on enrollment, safety training requirements or the impacts of the BWC reserve changes, please contact your CompManagement Account Executive directly or the CompManagement Customer Support Unit at 800-825-6755, option 3.



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