WCB Accident Fund Surplus: Have Your Say
As part of the government directed WCB Review currently underway in Alberta, the Review Panel is taking a closer look at WCB-Alberta’s Accident Fund and how it is managed. This has been a topic of discussion in recent workshops and the Panel is very keen on getting as much input as possible from stakeholders. WCB Accident Fund The Accident Fund is established from Employer Premiums. The WCB is funded through premiums assessed to employers. There are no tax dollars or employee payroll deductions involved in the workers’ compensation system. Each year the WCB establishes the premiums that employers will pay. These rates are set so that the total premiums collected in the current year will pay for all estimated present and future costs of claims that occur during that year. Based on the overall amount of premiums that need to be collected, the WCB determines premium rates for each industry […]
Worker’s Compensation Board Under Review
In March 2016, the Alberta Government announced that it would be conducting a review of the province’s workers’ compensation system. Although the Workers’ Compensation Board (WCB) is not a government agency per se, the WCB was created by the Alberta Government to administer the Workers’ Compensation Act and as such, is responsible to ensure the WCB is operating as fairly, efficiently and effectively as possible. To that end, an independent three-member panel is conducting a formal review of the entire workers’ compensation system, including the WCB, the Appeals Commission and the Medical Panel Office. As part of the review, the Panel is looking at how things are done, how effective the process is, what is working, what is not, what needs to be improved and what needs to be changed. From June 6, 2016 to July 15, 2016, the Review Panel asked for input from Albertans to share their opinions […]
A Cost Free Way to WCB Savings: Historical Claim Review
During November and December every year, most Workers’ Compensation Boards (WCB) across the country send out the annual Experience Rating statements to employers. These statements include figures used in the calculations to establish their WCB premium rates for following year. Provided, on the statement, is a list of all the claims and associated costs that are used to determine any discount or surcharge being applied to the premium rate. Seeing your WCB claims history laid out along with the financial impact associated with those claims, can be a jolt to the system! As an employer, have you ever wondered if all the costs on your WCB claims are your responsibility? Are the costs on a claim relative to the work-related injury? Have you ever felt that something was not quite right with a claim but couldn’t put your finger on it? Or have you wondered whether there were special circumstances […]
How to Reduce the Cost of WCB Premiums
The calculation of WCB Premiums is complicated and can be daunting to understand. Some employers feel so confused by the complexity of the process that they believe that they are at the mercy of the WCB, and have no control over the rate they are assessed. While many of the components and formulas used to determine premiums rates are fixed, there are some simple things employers can do that will have a positive impact on their rate. Here are couple of strategies for lowering WCB Premiums: Reduce Claims Costs: The single most important thing an employer can do is try to reduce the number of work-related claims they have, and the costs associated with those claims. The impact of claims costs can be seen in the Experience Ratio (ER), or how an individual employer’s costs compare to their industry average. This comparison will also determine the amount of discount or […]
What is a GAP Analysis?
In management literature, gap analysis involves the comparison of actual performance with potential or desired performance. If an organization does not make the best use of current resources, or forgoes investment in capital or technology, it may produce or perform below its potential.* In reference to the Certificate of Recognition (COR) in Alberta, gap analysis is used to evaluate an employer’s current Health and Safety Management System practices. Gap Analysis will help an employer by highlighting areas that are compliant with standards and identifying areas that need improvement in meeting the requirements to earn or renew a COR. Joining the Partnerships in Injury Reductions (PIR) program indicates that your organization has chosen to take a leadership role in workplace health and safety, however there are no financial benefits to being a Partner unless you have a COR. Upon obtaining and maintaining a COR, a Partner becomes eligible for potential rebates. Whether […]