The Workers Compensation Board of Prince Edward Island has announced that 2021 employer assessment rates will be maintained at the 2020 rate levels.
“We are pleased that we are able to maintain rates for Island employers and provide some level of certainty in these uncertain times,” said Cheryl Paynter, Chief Executive Officer of the Workers Compensation Board.
The cost associated with maintaining 2020 rates for 2021 will be funded from the Workers Compensation Board’s Fund Balance.
This announcement comes following a decade of declining assessment rates, strong investment returns, a focus on injury prevention and return to work efforts and generally, an overall strong funded position and a funding policy that focuses on sustainability and minimizing volatility all the while offering service and supports to injured workers.
The outbreak of COVID-19 and related responses have impacted economies on a local to global scale. Disruption of normal business operations, contraction of major industries and the volatility experienced in global equity markets have contributed to an uncertain global economic outlook.
While it is not yet possible to reliably estimate the long term financial impact of COVID-19, we anticipate that assessment revenues, investment returns, claims costs and benefit liability valuations may all be impacted by COVID-19 well into the future.
“The WCB’s funding and rate setting polices are performing in protecting Island workers and employers from extreme fluctuations while ensuring that the current and future costs of workplace accidents are fully funded,” said Jim MacPhee, Chair of the Workers Compensation Board.
All Island employers will be advised of their individual assessment rates in December 2020, which are based on the costs of claims and the risks of workplace injury in their industries. For more information on the assessment rate groups, please visit wcb.pe.ca/2021rates.