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New year, lower costs: $2 million in savings for Ohio’s public employers
New year, lower costs: $2 million in savings for Ohio’s public employers
COLUMBUS – Public employers across the state will benefit from a 1% reduction in premium rates starting Jan. 1, 2026. This change is projected to save employers nearly $2 million in premiums over the coming year.
In August 2025, the Bureau of Workers' Compensation (BWC) Board of Directors approved a rate reduction for public employers, which has a projected annual premium decrease of approximately $1.8 million. This reduction follows a 6% rate cut for private employers that took effect on July 1, 2025, saving employers $60 million.
The rate reduction reflects the agency’s ongoing commitment to maintaining fair and sustainable costs for public employers while ensuring continued support for workplace safety and claims management.
"Ohio continues to be a great place to do business," said Ohio Governor Mike DeWine. "By lowering costs, we’re helping employers keep more resources where they need it most while still prioritizing safety."
Ohio has the fifth-lowest rates in the nation, according to a recent study by the Oregon Department of Consumer and Business Services. Ohio's ranking is a dramatic improvement from 2008, when it was ranked third highest rates across the country.
"Our rate reductions are a statement to Ohio's dedication to workplace safety," said BWC Administrator/CEO Stephanie McCloud. "By keeping workers safe, we are able to continue reducing rates and allow businesses to reinvest the money into their company."
Overall, the average rate levels for Ohio’s employers are at the lowest in over 65 years!
The proposed rate cut represents an average statewide premium change, including administrative costs. The actual premium paid by individual public employers depends on several factors, including the expected future claims costs in their industry, their company’s recent claims history, and their participation in various BWC programs.
See a history of BWC's falling rates.
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 over 1,600 employees and assets of approximately $23 billion, BWC is one of the largest state-run insurance systems in the United States. For more, visit bwc.ohio.gov.
