Prospective Billing Information and Resources
Private employers: We're offering FREE seminars throughout the state to provide answers
and details about the upcoming switch to prospective billing. The seminars also
include the latest workplace safety updates and information to help you lower
costs and keep your workers safe on the job.
As an added bonus, by attending a seminar, your company
can receive safety training credit for some BWC programs. Details and registration
As part of our ongoing efforts to modernize our operations and
provide better service to Ohio's employers, we will be transitioning
to a new prospective billing system beginning in July 2015. Prospective
billing is an insurance industry standard practice that will enable us
to collect premiums before extending coverage. Currently,
Ohio employers pay for coverage they have already received.
When will this transition happen?
- July 1, 2015: for private employers
- Jan. 1, 2016: for public employers
The top three questions and answers about the transition for private employers are listed below.
- Why are you doing this and why now? What is the catch with the transition credit?
- Switching to prospective billing will bring us in line with the industry standard used by nearly all insurance providers. In the past, we could not
make this switch without double billing employers for their past premium and future premium. There is no catch. Due to our careful and conservative
financial management, we are able to provide a transition credit of $1.2 billion to make a seamless transition at no cost to the employer.
- To receive the transition credit, you must be in an active, reinstated, or debtor-in-possession status on July, 1, 2015. You must report your
Jan. 1, 2015 - June 30, 2015, payroll by Aug. 31, 2015 to receive the transition credit equal to your premium for that time period. Once you have reported
your payroll, we will apply the transition credit to your account. If you are in a lapsed status, there is still time to correct this before the July 1
Can you adjust my estimated annual premium if I know it is not accurate? What happens if I get hit with a huge payroll true-up I can't afford to pay?
- We determine your estimated annual premium based on the payroll you reported for the most recently completed policy year, July 1, 2013 â€“ June 30, 2014.
If you believe the payroll amount is incorrect, or if you anticipate a change in operations that will affect your payroll for the policy period beginning
July 1, 2015, please notify us at 1-800-644-6292.
- At the end of the policy period, we will expect you to report your actual payroll figures and pay any additional premium owed. If you cannot afford the
amount due, we will work with you to set up a payment plan. Failure to complete a payroll true-up or to pay any amount due from the payroll true-up will
result in program disqualification for the current policy year as well as potential disqualification for future periods.
Can I change my installment plan after the policy period has started? How do I select the installment option I want? What are the benefits/risks?
- We will start all private employers on a six-installment payment plan (bi-monthly). If you wish to change your installment plan, you have until July
15, 2015, to make that selection online or by calling 1-800-644-6292. We encourage you to stay on the initial payment plan for the first year unless you
have a significant reason to change.
- The biggest risk to paying premium more often is it gives you additional opportunities to lapse during the policy period. Remember, if you have a claim
during a lapsed period we will bill you dollar for dollar for the costs of the claim.
If you have additional questions, please send an email to our
prospective billing mailbox.
Private employer resources
Sample: Notice of Estimated Annual Premium (PDF)
Overview sheet for private employers (PDF)
Private employer presentation slides (PDF)
Private employer timeline (PDF)
Private employer experience-rating process (PDF)
Letter to private employers - September 2014 (PDF)
Letter to private employers - June 2014 (PDF)
Public employer resources
Overview sheet for public employers (PDF)
Public employer presentation slides (PDF)
Public employer timeline (PDF)
Public employer experience-rating process (PDF)
Letter to public employers - December 2014 (PDF)
Letter to public employers - June 2014 (PDF)
Prospective billing - frequently asked questions (PDF)
Letter to PEO clients - June 2014 (PDF)