How can a business reduce or reclaim WSIB Premiums?

Posted by on Aug 14, 2012 in News | 0 comments

The WSIB program is a no-fault insurance offered by the Workplace Safety and Insurance Board of Ontario. Through this program, WSIB encourages improvement in a firm’s health and security performance by providing an affordable policy with low administration costs. Companies of all sizes can benefit from the potential tax refunds, while protecting themselves against expensive settlements. Their incentive packages, which include the Merit Adjusted Premium (MAP) for small business, reduce the price of coverage as a reward for businesses that have safe workplaces.

The MAP plan for small businesses provides rate discounts to firms with good accident records. To qualify for a discount under the MAP plan, a firm must pay a premium between $1,000 and $25,000 and have been operational for at least three full years prior to the Board’s review. If in the past three years there are no claims against the company costing more than $500, the firm will be awarded with a discount of at least five percent. Companies that pay more than $20,000 may receive a discount if there is only one claim on their record worth between $500 and $5,000. For firms that pay less than $20,000, one claim costing between $500 and $5,000 will result in neither an increase nor a decrease in the price, while multiple claims or claims of more than $5,000 will result in a higher premium.

For businesses paying over $25,000, the Board offers the New Experimental Experience Rating (NEER) program and the CAD-7 program.

Companies that pay $90,000 or less and have been registered with WSIB for 12 months or less are also applicable for the Safe Communities Incentive Program (SCIP). In the first part of this two-part program, the owner or senior manager of the participating business attends two introductory classroom-training sessions, which cover a range of topics concerning health and security practices and the requirements of the Ministry of Labor. The second part involves four separate classroom sessions and the construction of a plan for implementing beneficial practices and policies. Completion of each part of the SCIP reduces the price of the insurance by five percent, though a company cannot receive both rebates within the same year.

Companies not participating in the SCIP have the option of joining the Safety Groups Program, pending a commitment from an owner or senior manager to remain in the program for at least one year. From a list of related businesses, the participating firm selects a group to join, and at the start of the year, under the direction of a sponsor, identifies five elements that can be improved upon in the workplace. With their group, they share ideas and pooled resources, and if, at the end of the year, the group has successfully addressed their chosen targets, they will be awarded a rebate.

To learn more about the benefits of these programs, contact Sovereign Consulting Inc. today. Our company is a financial consultation firm located in Ontario, and we have extensive experience helping small businesses pursue tax refunds, as well as government grants, rebates and other forms of compensation. We will work with you to ensure that you are paying the appropriate amount for you coverage and receiving all refunds for which your company qualifies.