|
|
|
|
Legal Line® provides Free legal information to Canadians through its website, telephone and fax-on-demand systems.
1,000 topics are covered within 35 areas of law...
Search...
Ontario|Workers CompensationEmployers 644 Benefits and costs
- Benefits of paying employer premiums
Private sector employers are obligated to pay Workplace Safety and Insurance premiums to insure employees for work-related injuries and disease. Most public sector employees, including the provincial and municipal governments, do not pay premiums but pay benefits under the legislation directly to employees. Public and private sector employers, covered by the Workplace Safety and Insurance Act, cannot be sued for work-related injury or disease.
- Costs of paying employer premiums
The costs for most employers are the premiums set each year by the Workplace Safety and Insurance Board. Premium payments are based on the size of the employer's payroll, and the rate for the industry category that the employer is a member of. The industry categories depend on the nature of the work. Generally, the higher the risk of accidents in an industry, the more an employer will pay in premiums.
- Experience Rating: basing premiums on the rate of accidents
For private sector employers and some public sector employers, the Workplace Safety and Insurance Board reviews the frequency and cost of claims under a system called the New Experimental Experience Rating system (NEER). The claims experience which is the cost of claims made by an employer, is compared to the premiums that the employer has paid into the accident fund and this, in turn, is compared to the performance of all employers in the same industry. This analysis is carried on over a moving 3 year period. If the employer's claims experience is good, they may receive a premium rebate. If the claims experience is bad, the employer will likely have to pay a surcharge.
- Employers who do not pay premiums
Most public sector employers and employers engaged in inter-provincial transportation and communication do not pay premiums and, instead, are directly responsible for all the costs of an injured worker's claim plus the payment of an administration fee to the Workplace Safety and Insurance Board. These employers include governments, crown corporations, telephone companies and railways.
For more information about the benefits or costs to employers, you can contact a lawyer or call the Workplace Safety and Insurance Board. This office is listed in the Blue pages of your telephone book.
|