New Experimental Experience Rating Program (NEER) Program Overview NEER automatically applies to you if you pay more than $25,000 per year in premiums and are in a non-construction rate group (if you are in one or more construction sector rate groups, see CAD-7). Through NEER, you can earn rebates on your premiums by maintaining a good health and safety record. If you have a poor health and safety record, you may be assessed surcharges. Note that NEER only compares you to other companies doing similar work (for example, clothing stores are compared to other clothing stores). Experience rating program review - Update June 2008 As a part of our ongoing review of the Experience Rating program, the WSIB approved a series of new changes. For details on how we’re laying the groundwork for future progress, see our latest employer mailout (108k, pdf), Q&A (181k, pdf) and new policy 14-02-17, Fatal Claim Adjustment policy. Experience rating program review - March 2008 The WSIB is reviewing the Experience Rating program and has changed the way traumatic fatalities are treated. For details see the employer mailout (107k, pdf) and Q&A (178k, pdf). Program Details The cost of your company’s claims is compared to the average for your rate group. (Your rate group is determined by your company’s type of work or product – for example, rate group 905 is Apartment and Condominium Operations, and rate group 607 is Specialty Food Stores). The size of your company is taken into account. If your claims costs are lower than would be expected for a company of your type and size, you receive a rebate. If your claims costs are higher than would be expected for a company of your type and size, you are assessed a surcharge. You are not penalized for claims filed before the three-year review period. (This emphasizes current safety performance and avoids unfairly penalizing older companies.) You are not penalized for long term illnesses – such as asbestosis or hearing loss. Your surcharge or rebate will be a percentage of your initial premium. You are rewarded or penalized at a lower rate if you are a smaller employer. This helps protect small companies from random fluctuations in claims costs. To protect you from the costs of unusually bad years or individual accidents, there are limits to: - The maximum cost assessed for any one claim. - The total amount assessed by NEER for all your claims combined. Financial Business Case for Health and Safety in Ontario This NEER cost tool (327k, pdf) will help you calculate potential NEER rebates or surcharges using your current NEER statement and the gross sales required to recover surcharges or lost rebates. It also includes worksheets for calculating the direct and indirect costs related to injuries or illnesses. For more details about NEER, download the NEER User Guide (464k, pdf). NEER employers can estimate the total costs of an injury or illness within their organization using the WSIB NEER Claim Cost Calculator. You can also call 1-800-663-6639 or 416-344-1016 or e-mail: prevention@wsib.on.ca. Phase-out of NEER Claim Type 16 We are expanding our classifications to manage claims more efficiently. Estimate your NEER costs Use our NEER Reserve Factor tables to help you project future costs for NEER claims.