WorkSafeBC announces preliminary premium rates for 2020
Richmond, B.C. — WorkSafeBC announced today that the preliminary average base rate for 2020 will remain unchanged, at 1.55 percent of employers’ assessable payroll.
The Workers Compensation Act requires WorkSafeBC to set premium rates annually for employers in order to pay for the workers' compensation system.
Annual base premium rates are driven by injury rates, return-to-work performance and the resulting cost of claims, as well as investment performance relative to required rates of return.
Each year, the costs in some rate groups go up, some go down and others stay the same. In 2020, 43 percent of employers in B.C. are projected to experience a decrease in their industry base rate, 45 percent will see their industry base rate increase and 12 percent will see no change.
WorkSafeBC’s strong financial position in recent years has allowed the average base premium rate to be discounted below the average cost of claims, with the difference funded from higher-than-required investment returns. The preliminary average base rate of 1.55 percent for 2020 is less than the expected cost rate of 1.67 percent.
An average base rate of 1.55 percent would be the third year in a row that the rate has remained at this level, consistent with WorkSafeBC’s efforts to keep rates stable.
Consultations with stakeholders will take place through September, with general information sessions scheduled in many areas of the province from July 11 to 29. These consultations are an opportunity for WorkSafeBC to provide information about upcoming proposed rates and injury trends in B.C., and to discuss how to prevent injuries and reduce claim costs. Further details are posted online at worksafebc.com.
Backgrounders
About WorkSafeBC
WorkSafeBC partners with workers and employers to prevent injury, disease, and disability in B.C. When work-related injuries or diseases occur, WorkSafeBC provides compensation and support to people in their recovery, rehabilitation, and safe return to work. We serve approximately 2.4 million workers and 245,000 employers across B.C.
For more information, contact:
WorkSafeBC Media Relations
Cell: 604-276-5157
Email: media@worksafebc.com