- What is Group Rating?
- How much will I save?
- How do I enroll?
- When do my discounted group rates become effective and when will group discounts be applied?
- When are group rating applications due to BWC?
- Why do I have to sign up for group rating so far in advance from the start of the rating year?
- What if the company is already in another group?
- What additional benefits can I receive by enrolling in Group Rating?
- Is online claims access available from CompManagement?
- How much does it cost to participate in Group Rating?
- What are the BWC eligibility requirements?
- What are the association/sponsor requirements?
- What happens if I do not report payroll and pay my premiums to BWC by the due date?
- What should I do if my coverage lapses?
- What if I don’t have the money to pay my premium by the due date?
- Is my organization allowed to stack other BWC discount programs on top of my group rating discount?
- I have a Managed Care Organization (MCO); why should I join a group?
- How can I obtain additional information about group rating and other BWC programs?
- What is the timeline for group rating?
1. What is Group Rating?
Legislation was passed in 1989 to reward businesses with low claim losses (H.B. 222). As a result, the Ohio Bureau of Workers’ Compensation (BWC) permits employers with better-than-average claim histories to join together through a sponsoring organization for the purpose of being rated as a larger group. By participating in group rating, employers enjoy a much lower premium rate than they could achieve independently. Over 90,000 employers in Ohio have joined a group rating plan, and enjoy tremendous reductions on their workers’ compensation premiums.
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2. How much will I save?
Historically, groups administered by CompManagement have realized savings from 25% up to the maximum discount allowed by BWC on individual company premiums. No two group rating plans offer the same savings, and the actual savings a group experiences are dependent upon the type of business, final loss figures, enrollment, and reported payroll of participating individual members. Study estimates are based on the most recent claims and payroll information available and are developed conservatively. Because statewide rules dictate that group enrollment must occur four months before the Ohio Bureau of Workers’ Compensation publishes the actual group rate, no group program can guarantee its final savings.
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3. How do I enroll?
CompManagement, Inc. (CMI), the group plan administrator, provides employers with a no-obligation estimate that outlines the potential savings a group rating plan offers. By completing a Temporary Authorization Form (AC-3), you authorize CMI to obtain your organization’s loss history from the state and to send you an analysis of our projected group rating plan savings. Completing and returning the AC-3 form does not obligate you in any way to join a group. The group rating analysis will be sent to you for review with the appropriate enrollment forms.
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4. When do my discounted group rates become effective and when will group discounts be applied?
Group rates become effective July 1, 2010 and group discounts are applied to rates appearing on payroll reports received from BWC in January and July 2011.
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5. When are group rating applications due to BWC?
The BWC deadline for our office to file enrollment applications on behalf of our sponsoring organizations for the 2010 group rating program is February 26, 2010. However, enrollment information must be received in our office prior to this date for submission to BWC.
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6. Why do I have to sign up for group rating so far in advance from the start of the rating year?
The enrollment deadline is a BWC requirement. It gives BWC an opportunity to review all employers submitted for group rating to ensure they meet BWC eligibility requirements. Final approval to receive group discounts will be made by BWC.
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7.What if my company is already in another group?
Even if your company is currently a member of a different group, you can obtain a comparative analysis from CompManagement. However, you may enroll in only one group per year. You are permitted to switch plans on an annual basis by completing an AC-26, Employer Statement for Group Rating Plan, for the group you wish to join. For more information or assistance in your transition to a CMI group, please contact our Customer Support Unit at (800) 825-6755, option #3.
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8. What additional benefits can I receive by enrolling in Group Rating?
Cost-effective claims management by experienced professionals including discussions regarding the positive impact of payment of wage continuation, effective return to work strategies, etc.
• Representation at hearings before the Industrial Commission of Ohio.
• Analysis and review of alternative rating programs, manual classifications, annual premium rates and experience rating.
• Workers’ compensation education and training through CompManagement, Inc. seminars, newsletters and bulletins.
• Online access to safety education and training resources.
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9. Is online claims access available from CompManagement?
Yes, online claim access for your account is provided through CompManagement’s eTeam web-based system.
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10. How much does it cost to participate in Group Rating?
There is no cost or obligation to participate in the group rating study. Should your company decide to enroll, CompManagement offers competitive group administrative fees that include all the value added services mentioned above.
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11. What are the BWC eligibility requirements?
The two primary requirements are that all BWC premium payments be made timely and that there are no overdue balances.
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12. What are the association/sponsor requirements?
You must be a member in good standing of the Association to participate in the plan. All association dues must be paid in full, and any non-member should contact CompManagement or the Association for additional membership information.
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13. What happens if I do not report payroll and pay my premiums to BWC by the due date?
Late reporting and payment will cause your coverage to lapse until payment is made. A lapse in coverage means that any claims incurred during this period will not be covered by BWC and your organization will be responsible for the total costs of the claim. Additionally, you may be assessed costly late penalties and become ineligible for group rating discounts.
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14. What should I do if my coverage lapses?
If you have a lapse in coverage, report your payroll and premiums to BWC if you have not already done so and then contact CompManagement. We may be able to help get your coverage retroactively reinstated and the lapsed period and/or late penalties removed.
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15. What if I don’t have the money to pay my premium by the due date?
BWC has a 50/50 Payment Plan available which may be accessed through their website at www.ohiobwc.com. If this option does not meet your needs, please contact BWC before the due date to work out a payment plan.
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16. Is my organization allowed to stack other BWC discount programs on top of my group rating discount?
At this time, BWC rules permit only the stacking of discounts received through the Deductible program on top of group rating discounts. A state-funded employer is not permitted to stack discounts received from Safety Council, Drug-Free Workplace, or individual/group retrospective rating programs.
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17. I have a Managed Care Organization (MCO); why should I join a group?
Your Managed Care Organization provides medical management which will, in the long term, help keep your premium in line. However, you should also select a group rating plan which, like any other purchasing cooperative, will significantly reduce the rate you pay for workers’ compensation next year.
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18. How can I obtain additional information about group rating and other BWC programs?
For more information about group rating and other BWC programs, visit our website at www.compmgt.com or contact our Customer Support Unit at (800) 825-6755, option 3. Additional information can also be obtained from BWC at www.ohiobwc.com.
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19. What is the timeline for group rating?
Employer completes and submits AC-3 (Temporary Authorization to Review Information Form) to CMI
CMI reviews information provided via AC-3 and performs analysis
CMI mails analysis results with enrollment application
BWC’s deadline to submit all group enrollment applications
New group payroll rate effective
Reduced premiums payable February and August of the following calendar year
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