Work it Out Blog

Payout from Ohio BWC Overcharge Settlement Delayed

Apr 06, 2015

In July 2014, the Ohio Bureau of Workers’ Compensation entered into a $420 million settlement for a lawsuit in which the BWC was accused of overcharging some businesses for workers’ compensation premiums, while offering discounts to others.

Under the settlement, eligible employers had until October 22, 2014 to submit a claim form to receive a repayment from the settlement.  Approximately 29,000 businesses submitted claim forms by the deadline, and are now waiting to learn whether they will receive repayment, and when that payment can be expected.

It was initially estimated that payments would be distributed sometime in March.  The official settlement website – http://ohiobwclawsuit.com/ - has been updated to show that administration of the settlement is still being finalized, but that the exact distribution date has not yet been set.  At this time, plaintiff’s attorneys are estimating that payments will be distributed sometime in May, due to some difficulty in processing claims.  While most of the filed claims were straightforward, several claims involved complicated issues as to who is entitled to receive the payment, particularly where bankruptcy is involved.  Under the settlement agreement, no payments can be distributed until all of the claims have been settled. 

Businesses waiting for repayment can continue to check the settlement website at http://ohiobwclawsuit.com for further updates on when funds will be distributed, or contact Michelle Reese at mrreese@dayketterer.com.

The content of this blog is for informational purposes only and is not intended as legal advice for any purpose. This blog is not intended to present an exhaustive summary of all applicable laws, or to take the place of legal advice.  If you have any questions regarding the law, please contact us for assistance.