BWC ends mandatory coverage for volunteer officers of nonprofits

Effective Sept. 29, 2015, the Ohio Bureau of Workers' Compensation (BWC), will no longer require nonprofits to have workers' compensation coverage for their volunteer corporate officers. In turn, this means nonprofits will no longer need to pay premiums for these individuals.

Historically, Ohio law required corporate officers – whether paid or unpaid – to have workers' compensation coverage. The premium payments associated with this coverage often meant nonprofits with volunteer corporate officers had to pay premiums that could negatively impact already tight budgets.

Proposed and supported by BWC, this much-needed law change removes an unnecessary financial burden on Ohio's non-profits. This will free up more money for nonprofit organizations to provide services that help local communities throughout the state.

However, a nonprofit may still cover a volunteer officer by reporting payroll for that individual. This will trigger minimum reporting requirements and associated premiums for the employee.

If you have questions, please email BWCTPAForum@bwc.state.oh.us, or call 1-800-OHIOBWC.

Additional resources
FAQs - Elimination of Mandatory Coverage for Volunteer Corporate Officers of Nonprofit Corporations