The creation of a new self-funded trust could save many local employers as much as 40 percent off the costs of purchasing premiums to cover workers compensation claims.
The New York State Workers' Compensation Board has formally approved a plan by the Greater Buffalo Partnership to form the Niagara Business Trust.
The entity will allow participating Partnership member firms to contribute to a trust fund whose investment income is used to cover workers compensation costs. The Partnership estimates that savings to participating firms could approach 60 percent within two to three years.
The trust will become operational Feb. 1 and will continue to accept new members for about a year. Inquiries are being accepted by Mike Ernst of Gow Management Services, the trust administrator, at 856-1100.