Claim Cost History Transfer / Affiliation Policy 23-607 | Effective Date: July 21, 2026

Policy

WorkSafeNB determines whether to transfer or affiliate (share) an employer’s cost experience when there is a change in their business activities.

WorkSafeNB will consider the nature of change in an employer’s business activities to determine if cost experience may:

• Transfer to a new employer account;
• Affiliate with a new employer account; or
• Remain with an existing employer account.

Interpretation

Nominal change in ownership

1. When there is a nominal change in ownership, WorkSafeNB determines that the new owner(s) have continued the business activities and must assume the previous cost experience.

2. WorkSafeNB considers the following situations to be nominal changes in ownership:

• Owners of a business incorporate a new company for the purpose of carrying on the existing activities;
• A change in the composition of a partnership; or
• A change in a family business with control retained by the current owner’s family members.

3. For the purpose of this policy, the current owner’s family members include:

• Spouse, son, daughter;
• Father, mother, stepfather, stepmother;
• Brother, sister, half-brother, half-sister;
• Grandfather, grandmother, grandson, granddaughter, stepson, stepdaughter.
• Niece(s), nephew(s); and/or
• In-laws.

Material change in ownership

4. WorkSafeNB opens a new employer account and does not transfer previous cost experience when there is:

• A material change in ownership of a proprietorship or a partnership; and
• No continuity or relationship between the previous owners and the new owners.

Sale of shares

5. In situations involving the sale or transfer of controlling shares of an incorporated company, the new shareholders (owners) have purchased all assets and liabilities of the previous business and will assume its cost experience.

Sale of assets

6. WorkSafeNB opens a new employer account and does not transfer cost experience when:

• Specific assets of a business are sold to another party for the purpose of starting a new business activity; and
• There is no continuity or relationship between the seller and the buyer.

Partial transfer of business activity

7. When the partial transfer of business activity to an existing affiliated employer occurs, the cost experience of both accounts is used to determine the rate applicable to both accounts. The two employer accounts also share the same net assessment rate.

8. Employers that are separately registered are considered to be affiliated when:

• There is a degree of common ownership; and
• They are operating businesses that are contributing to the production of common goods/services.

9. Employers may also be considered affiliated when there is a degree of common ownership and:

• The businesses share employees; or
• The employees transfer from one company to the other.

10. For more information on when WorkSafeNB determines if active accounts are considered to be affiliated, see Policy 23-300 Employer Classification.

Change of name

11. WorkSafeNB maintains the cost experience when the business name changes, but the business activities remain the same.

Receivership or bankruptcy

12. When a receiver or trustee is appointed to manage the business activities of an employer, WorkSafeNB opens a new account and does not transfer the previous cost experience.

Previous versions

• Policy 23-607 Claim Cost History Transfer / Affiliation, release 4, effective April 6, 2017
• Policy 23-607 Claim Cost History Transfer / Affiliation, release 3, effective November 29, 2012
• Policy 23-607 Claim Cost History Transfer / Affiliation, release 2, effective February 28, 2008