All you REALLY need to know about prospective billing

The policy year will continue to be July 1 through June 30.

As always, report your payroll in August 2014 and February 2015, and pay your premium.

The deadline to enroll in group rating for the 7/1/15 policy year will be November 24, 2014, not the end of February.

In August 2015, you will report your payroll for 1/1/15-6/30/15.  You will not pay premium for this period; the BWC will “pay” this premium by issuing a transition credit.

You will receive an invoice from the BWC in August 2015 for the 7/1/15-6/30/16 policy year premium.  By August 31, 2015, you will pay all or some of the premium due for the 7/1/15-6/30/16 policy year.

Companies that pay the minimum administrative premium will pay $120 for the year, instead of $50 twice a year.

Companies that pay more than the minimum premium will be able to choose whether to pay in 1, 2, 4, or 12 installments.

In July 2016, you will report actual payroll for 7/1/15-6/30/16.  In the process called true-up, the BWC will compare your actual payroll amounts to the estimated amounts it used to determine your premium for the 7/1/15-6/30/16 policy year.  After true-up, the BWC will issue any discounts/refunds, like Go Green and Lapse Free, or invoice you for additional premium if its estimate was low.

Companies that fail to true-up on time will not receive bonuses or rebates or discounts, and will not be permitted to participate in discount programs for the 7/1/16-6/30/17 policy year.

Posted in BWC, group rating, premiums.