The environment that the WCB operates in is most easily understood
by studying the flow of money. While the Board has little direct
control over these amounts they describe the reality that it must
deal with: payrolls are fixed, and costs are defined by the frequency
and severity of injuries.
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Assessable (insured) payroll can increase for any of three
reasons: business activity in the province increases, the maximum
insurable wage goes up, or more industries are covered by the
Act. All of these reasons are factors in the growth seen
here.
The average assessment is the amount, on average, that
a company pays to the WCB as an insurance premium. The actual
assessment rate paid varies depending on the general risk of the
industry and the specific accident experience of a company.
This is the actual published assessment rate as charged to industry.
It is lower than the calculated average assessment rate shown
in earlier periods.
Claim costs are
the costs of accidents that occurred during the year the WCB accepted
them as claims. Claim costs will go up and down depending on: the
number of accidents, the severity of the accidents, and any changes
in benefit rates.
Since very serious accidents
often involve some permanent impairment, they continue to incur
costs in following years. An actuarial estimate is made of future
costs and the full amount is charged to the fund in the year the
accident occurs.
Roll your cursor over the icon for chart highlights. 
