Workers’ compensation rates in Ohio remain among the lowest in the country, according to a new study by the Oregon Department of Consumer and Business Services.
The biennial study ranks all 50 states and Washington, D.C., based on premium rates that were in effect as of Jan. 1, 2024, a news release detailed.
Ohio ranked fifth lowest in premium rates in the latest analysis, the same ranking as the 2022 study. The state’s premium index rate lowered even more, however, dropping from 83 cents per $100 of payroll in 2022 to 68 cents in 2024.
Ohio is one of only four states that is the exclusive provider of workers’ compensation coverage for employers in their state. Of the four states, Ohio ranks second behind North Dakota, which has the lowest premium rates overall in the latest study.
“Ohio continues to be one of the best states for business owners,” said Gov. Mike DeWine. “Our workers’ compensation rates are among the lowest in the country, largely thanks to the dedication of Ohio’s workforce to workplace safety.”
Ohio’s fifth-place ranking is an improvement from 2008, when it was ranked third highest in premiums across the country.
“We continue to reduce our rates and maintain a steady rate environment,” said Stephanie McCloud, Ohio Bureau of Workers’ Compensation administrator/CEO. “Our goal is to create the best environment for our employers to thrive and continue to focus on their businesses needs and on workplace safety.”
On July 1, private employers will benefit from another 6 percent rate reduction that will decrease workers’ compensation premiums by nearly $60 million, officials said.
The bureau’s overall private employers’ rates have dropped by 50 percent since 2019 and by 70 percent since 2011. Public employers’ rates have dropped by 57 percent since 2011, the release noted.
Established in 1912, the Ohio Bureau of Workers’ Compensation is the exclusive provider of workers’ compensation insurance in Ohio, serving 258,000 public and private employers. With more than 1,600 employees and assets of approximately $23 billion, BWC is one of the largest state-run insurance systems in the country.
