Ohio BWC Finds 66 Million in Workers Compensation Fraud

The Ohio Bureau of Workers Compensation (BWC) Board of Directors recently received a report on the performance of employer programs.

 

 

The report was presented to the Boards Actuarial Committee, and focused on new programs developed over the past few years to help employers reduce their premium costs, as well as the agencys largest cost-saving program, the group-experience rating program. (WCxKit)

 

 

According to the report, the number of employers participating in Group Rating remained stable from 2009 (97,604) to 2010 (96,575). It also concludes group participation has not been impacted by reductions in the maximum credibility discount as the number of employers participating at the maximum level remained constant from 2009 to 2010.

 

 

“Continual review and evaluation are crucial to understanding the impacts of the changes to the Group Rating program,” said BWC Administrator Marsha Ryan. “We are pleased with our progress in eliminating the extreme imbalance in what group-rated and non group-rated employers were paying for the same workers compensation insurance coverage, while maintaining incentive for employer participation in Group as well as other BWC program offerings.”

 

 

The Board also approved the agencys Fiscal Year 2010 Annual Report, which is published jointly with the Industrial Commission of Ohio. The report will be submitted to Gov. Ted Strickland and legislative leadership, and covers the period from July 1, 2009 to June 30, 2010.

 

 

In FY10, BWC managed 1.2 million open claims and paid medical and indemnity compensation to injured workers totaling nearly $1.9 billion. (WCxKit)

 

 

Other highlights include the identification by BWCs special investigations department of more than $66 million in workers comp fraud, representing $6.30 in fraud identified for every dollar spent; and the devotion of 96 cents of every premium dollar collected to the care of injured workers, compared with the U.S. average of 69 cents.