To provide a comparable estimation for the cost of benefits related to injuries and diseases that occurred in the year.

Portion of the average rate that is deemed necessary to finance the total benefit costs incurred for injuries that occurred in the reference year and for diseases that were reported/diagnosed in the reference year, for assessable employers.

Each jurisdiction calculates their average assessment rates using the technique that is most suitable to its situation. However, this component should reflect an estimation of IR 2 - Current Year Benefit Costs Incurred per $100 of Assessable Payroll which is calculated from KSM 4.1 - Current Year Benefit Costs Incurred for Assessable Employers divided by KSM 12 - Assessable Payroll for Assessable Employers.

The cost is composed of two items: (1) the payments made during the year for the injuries that occurred in the reference year and diseases that were reported/diagnosed in the reference year, and (2) the benefits liabilities related to those injuries and diseases at December 31 of the year. Includes all benefits (i.e. short-term disability, long-term disability, survivors’ benefits, healthcare and rehabilitation services). Excludes any administration expense.

To provide a comparable estimation for the cost of administering the system (except OH&S and other legislated obligations).

Portion of the average rate that is deemed necessary to finance the administration costs for assessable employers, as per the definition of KSM 8 - Administration Costs for Assessable Employers.

Each jurisdiction calculates their average assessment rates using the technique that is most suitable to its situation. However, this component should reflect an estimation of IR 1 - Administration Costs per $100 of Assessable Payroll which is calculated from KSM 8 - Administration Costs for Assessable Employers divided by KSM 12 - Assessable Payroll for Assessable Employers. Refer to the definitions of these measures for the details.

In order to capture the value of administration costs incurred for the year, exclude administration cost liabilities. Use the costs prior to the deduction of claims administration costs. Deduct any administration expense recovered from self-insured employers and miscellaneous revenue/recoveries related to operational activities. Examples of costs to be included in the administration costs are internal health staff not directly involved in the treatment of injured workers, consulting costs, professional fees (except certain types of medical and legal fees) and professional dues. Examples of costs to be excluded are: treasury costs, legal costs incurred for subrogations or recoveries, external medical service providers and external medical review panels, cost of external appeals and cost of employer or worker advisor offices, grants for research on prevention or occupational health and safety, prevention and occupational health and safety administration costs. Explain in a footnote any exclusion or inclusion which is judged particular to your jurisdiction.

To provide a comparable estimation of the monies invested in occupational health and safety activities. Due to legislative and operating differences, occupational health and safety costs vary considerably from jurisdiction to jurisdiction.

Portion of the average rate that is deemed necessary to finance the cost of all activities of the Board/Commission in occupational health and safety for assessable employers as per the definition of KSM 9 - Total OH & S Costs Paid by Boards/Commissions during the Year.

Each jurisdiction calculates their average assessment rate using the technique that is most suitable to its situation. However, this component should reflect an estimation of IR 4 - Occupational Health & Safety Costs paid by Boards/Commissions per $100 of Assessable Payroll which is calculated from KSM 9 - Total OH & S Costs Paid by Boards/Commissions during the Year divided by KSM 12 - Assessable Payroll for Assessable Employers.

Occupational health and safety (OH&S) costs can be broken down into the following components:

• (a) Levies collected for Occupational Health and Safety
  Funds collected by the Board/Commission to pay for the administration of the OH&S Act. These funds are transferred to a governmental body in charge of applying the OH&S Act, generally the Ministry of Labour.
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• (b) Internally administered prevention programs (exclude related overhead)
  The cost of developing and implementing programs designed to raise awareness and increase knowledge on prevention practices. Programs are designed and implemented by Board/Commission staff. These programs may be legislated or Board/Commission initiatives. They can also be sector specific. Examples of prevention programs are: Farm Safety initiatives, Mine Rescue programs.
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• (c) Inspection costs
  Costs of enforcement of safety rules and of inspection of work environments in those jurisdictions where it is a specific mandate of the Board/Commission.
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• (d) Research Grants
  Any research grant paid by the Board/Commission including sums paid to research institutes devoted to the study of occupational health and safety.
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• (e) Funding of OH&S associations
  Funds paid to associations devoted to the promotion of occupational health & safety.
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• (f) Amounts paid to public health system to conduct OH&S activities
  Amounts paid by Board/Commission to public health boards which manage the health system of the jurisdiction and which are involved in occupational health and safety activities.
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• (g) Other (specify in footnote)
  Other OH&S costs which are not already included in a prior category. May include non recurrent prevention activities (ex: prevention training sponsored by Board/Commission but executed by an external provider).
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• (h) Self-Insured Portion (negative number)
  Any costs attributable to self-insured employers and financed by these employers. These costs are deducted from the total OH&S costs paid during the year.

Each jurisdiction calculates their average assessment rate using the technique that is most suitable to its situation. However, this component should reflect all previous years’ deficits that need to be refinanced minus all previous years’ surpluses that are being amortized, according to the funding policy.

Each jurisdiction calculates their average assessment rate using the technique that is most suitable to its situation. This component is merely the difference between the jurisdictional average assessment rate and the sum of the first four components. Explain in a footnote the major types of costs included in this component.