February 20, 2018

Prospective billing overview for private employers


  • BWC currently collects premium after the coverage period. In other words, BWC extends coverage prior to an employer paying for it.
  • With the switch to prospective billing, BWC will require payment before it provides coverage.
  • BWC will cover the transition cost with a transition credit – no additional cost to employers.



  • Prospective billing will begin July 1, 2015 for private employers.



  • The switch to the industry standard of prospective billing provides many benefits, including:
    o An overall base-rate reduction of 2 percent for private employers;
    o Allowing BWC to better forecast the level of premium required to be collected each policy year;
    o Opportunities for more flexible payment options (up to 12 monthly installments);
    o Better opportunities for BWC to provide quotes online or via the phone;
    o Increased ability for BWC to detect employer non-compliance and fraud.



  • BWC will provide employers with an invoice for their 12-month premium prior to the start of the policy year.
  • In the first prospective year, BWC will require employers to follow a specific installment plan.
    o Private employers will initially be on a bi-monthly (six installment) payment schedule.
  • In subsequent years, employers will have the option to make up to 12 installments. Other options will include:
    o Bi-monthly (six installments);
    o Quarterly (four installments);
    o Bi-annually (two installments);
    o Annually (one installment).
  • Employers may elect to change their installment plan prior to making their first installment payment.
  • Employers may only select their installment options once a year.The option an employer chooses is effective for the entire policy year.
  • An employer’s coverage will lapse if BWC does not receive timely payment of an installment.
    o The Go-green discount option will be available up to the due date.



  • Employers must reconcile their actual payroll for the prior policy year. BWC is calling this a true-up.
    o BWC will not lapse employers for not reporting the true-up.
    o However, BWC will remove employers from their current rating plan or discount program if it does not receive a true-up by the due date.
    n To be eligible for the Go-green discount, employers must report and pay any additional premium online by the due date.
    o Any outstanding true-ups will render the employer ineligible for participation in future rating plans or discount programs until the employer submits all outstanding true-ups.
  • Employers must submit true-ups online at www.bwc.ohio.gov, by phone at 1-800-644-6292 or in
    person at a BWC customer service office.


Key dates for private employers

June 2014
June 16 – First letter to employers

September 2014
Sept. 2 – Payroll due for Jan. 1, 2014, to June 30, 2014
Sept. 22 – Second letter to employers

November 2014
Nov. 24 – Policy year 2015 group-enrollment deadline

January 2015
Jan. 30 – Group retro, One Claim, individual retro and Deductible enrollment

March 2015
March 2 – Payroll due for July 1, 2014, to Dec. 31, 2014

May 2015
May 29 – Destination: Excellence enrollment
May 31 – Policy year 2015 estimated premium notice mailed

July 2015
July 1 – Payroll reports mailed for Jan. 1, 2015, to June 30, 2015

August 2015
Aug. 1 – Policy year 2015 premium invoice mailed for second prospective installment
Aug. 31 – Policy year 2015 second prospective installment due
Aug. 31 – Payroll report due for Jan. 1, 2015, to June 30, 2015 (no payment due for payroll report) BWC will pay

November 2015
Nov. 23 – Policy year 2016 group-enrollment deadline

January 2016
Jan. 29 – Group retro, One Claim, individual retro and Deductible enrollment

May 2016
May 1 – Policy year 2016 estimated premium notice mailed
May 31 – Destination: Excellence enrollment

June 2016
June 1 – Policy year 2016 premium invoice mailed
June 30 – Policy year 2016 first prospective installment due

July 2016
July 1 – Policy year 2015 true-up notice sent

August 2016
Aug. 15 – Policy year 2015 true-up payroll report due

November 2016
Nov. 21 – Policy year 2017 group-enrollment deadline