Ohio Administrative Code › Title 4123 - Bureau of Workers' Compensation › Chapter 4123-17 - General Rating for the State Insurance Fund › Section 4123-17-66 - Termination and transfers for group experience rating

Current through all regulations passed and filed through July 1, 2024
This rule on termination and transfer of group experience
				rating shall apply at the group level after the bureau of workers' compensation applies the applicable
				individual rules on transfer of experience.
(A) A group formed for the purpose of group
			 experience rating may not retroactively include experience in a plan, exclude
			 experience from a plan, or voluntarily terminate a plan during the policy year.
			 A change in the name of the group will not constitute a new group. A change of
			 the organization sponsoring a group or moving a group to a new sponsoring
			 organization shall constitute a new group and the members of the new group must
			 meet the homogeneity requirement of paragraph (B)(3) of rule
			 4123-17-61 of the Administrative
			 Code.  A group will be considered a continuing group if more
			 than fifty per cent of the members of the group in the previous rating year are
			 members of the group in the current rating year.
(B) Successor: Files petition for bankruptcy
Predecessor: No predecessor
An individual employer which is a member of a group for the
				purpose of experience rating and which becomes a debtor-in-possession during
				the policy year shall remain a member of the group for the entire policy
				year.
(C) Successor: Entity
			 not having coverage
Predecessor: Group rated with employees and reported
				payroll
Where one legal entity not having coverage in the most recent
				experience period wholly or partially succeeds another legal entity in the
				operation of a business, and the predecessor entity was a member of a group for
				experience rating, the successor shall be considered a member of the group, and the successor entity's rate shall be based on
				the group's experience, as long as the successor employer is homogeneous to the
				group. For a partial transfer, the effective date of the group experience
				transfer shall be on the first day of the next payroll reporting period
				(January first or July first).
(D) Successor: Group rated
Predecessor: Experience rated (either individually or in a
				different group), or non-group base rated
Where a legal entity having established coverage is a member of
				a group for experience rating and wholly succeeds another legal entity, the
				successor entity shall remain a member of the group for experience rating, and the experience of the predecessor shall be
				included with the experience of the group for the purpose of experience
				rating.
(E) Successor:
			 Non-group rated
Predecessor: Group rated
Where a legal entity having established coverage is a member of
				a group for the purpose of experience rating and is wholly succeeded by another
				legal entity which is not a member of the group, the successor entity shall not
				become a member of the group.
(F) Successor: Group rated
Predecessor: Group rated
Where a legal entity which is a member of group for the purpose
				of experience rating wholly succeeds another legal entity which is also a
				member of the same group for the purpose of experience rating, the successor
				entity shall remain a member of the group for the purpose of experience
				rating.
(G) Successor:
			 Group rated
Predecessor: Self-insured
When an individual employer which has returned to the state
				insurance fund from self-insured status and has used the self-insured
				experience in calculating the experience rate becomes a member of a group for
				the purpose of experience rating, the self-insured experience shall be included
				in the experience of the group for experience rating purposes. Upon returning
				to the state insurance fund the employer shall provide the bureau with a
				payroll, a list of all claims incurred while the employer was self-insured,
									 all payments
				made with respect to those claims, and any additional information required by
				the bureau to calculate the employer's experience.
(H) Successor Group rated
Predecessor: Non-group rated
Where a legal entity succeeds in the operation of a portion of
				a business of another legal entity and the successor entity is a member of a
				group for experience rating, the successor entity shall remain a member of the
				group for experience rating, and the experience
				of the predecessor shall be included with the experience of the group for the
				purpose of experience rating. The effective date of the group experience
				transfer shall be on the first day of the next payroll reporting period
				(January first or July first).
(I) Successor: Non-group rated
Predecessor: Group rated
Where a legal entity having established coverage succeeds in
				the operation of a portion of a business of another legal entity, and the successor entity is not a member of a group
				and the predecessor is a member of a group for experience rating, the successor
				entity will not become a member of the group for experience rating, and the predecessor will remain a member of the
				group.
(J) Successor:
			 entity not having coverage
Predecessor: Group rated with no employees and no reported
				payroll
Where one legal entity not having coverage in the most recent
				experience period wholly or partially succeeds another legal entity in the
				operation of a business, and the predecessor entity was a member of a group for
				experience rating, the successor entity shall not become a member of the group
				unless and until the entity applies for membership in the group in the next
				experience period.
(K) When
			 any combination or transfer of experience is indicated, the effective date of
			 such combination or transfer shall be the beginning date of the next following
			 payroll reporting period. In cases where an entity not having coverage wholly
			 succeeds another entity, the effective date shall be the actual date of
			 succession.
(L) An individual
			 employer which is a member of a group for the purpose of experience rating may
			 not participate in a retrospective rating plan during the policy year in which
			 the employer is a member of the group.