President Clive Thurston Reports - WSIB to Reduce Construction Premium Rates
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The ICI Construction Rate Group 723 assessment rate will drop 7.5%, from $4.40 to $4.07 for 2018. The maximum Insurable earnings will increase to $90,300 in 2018.
OGCA, with our partners in the CEC, successfully persuaded the WSIB to decrease construction premium rates. They were constantly at levels above target rates and as a result, the construction industry was paying down a disproportionate amount of the unfunded liability (UFL). Most construction assessment rates were reduced by up to 7.6%.
The WSIB is on target to pay down the UFL by 2020 and reported that the Accident Fund is now 91.8% funded with $2.6 billion still to be retired.
For 2020, the WSIB has scheduled the implementation of a new rating system called Rate Framework. Employers have now been mailed information about the change that confirms their current rate group(s) and the new assessment rate which will be G-1 for most OGCA members. Most multi-rated firms will find that they will be singly rated. Please review the rules and ensure it is appropriate in your case.
We encourage all members to review this information for accuracy and contact the WSIB if it is not. It will serve as your registration in the New Rate Framework system effective 2020.
Click here to read the letter from WSIB.
