The workers' compensation system in Canada is funded
entirely through employer premium payments. Monies paid into the
system are used to pay the costs of compensation benefits to
workers, as well as funding the operation of the system itself.
In addition to premium dollars, employers may experience
increased costs depending on their claims experience. Generally,
employers who have more claims and/or claims that have higher costs
associated with them will pay additional monies to their respective
compensation board in the form of increased premiums or premium
surcharges. Because of this, it makes good business sense for
employers to establish an effective health and safety management
system to try to prevent work-related injuries and illnesses in the
first place, and to actively manage claims should they occur.
Effective management techniques can include engaging in timely and
safe return to work and appealing adverse and questionable
entitlement decisions.