Your 2020 premium rate is the actual rate that you will pay.
It is based on your assigned starting point rate (which reflects your claims experience and 2019 rate group rate), the size of your business, new NAICS classification, your projected premium rate and whether or not you were in an experience rating program previously. Your projected premium rate provides the future direction, up or down, that your rate is headed if there is no change in your individual and class experience from year-to-year.
Starting point rate
| Businesses not in an experience rating program |
Businesses in an experience rating program |
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* Example of weighted by payroll - if a business includes electrical and HVAC repairs, with 70 per cent of payroll going to HVAC services staff and 30 per cent to electrical staff, the 2019 rate group rates would be weighted 70/30 to create a single starting point rate.
Transition
To help you transition smoothly into our new model, any initial rate increases will be staggered over time.
| Businesses with projected premium rate increase |
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| Businesses with projected premium rate decreases |
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Any projected rate decreases have been applied to your 2020 rates. This will also happen in 2021 and 2022. |
Starting in 2023, our policies for premium rate setting under the new model will be fully in effect. Businesses with projected premium rate increases will see their rates increase up to three risk bands per year, until they reach their projected premium rate. Businesses eligible for decreases will see their rates decrease up to three risk bands per year until they reach their projected premium rate.
For more information on the transition rules, see our Transition policy.
