Equation for EC ratio (x)

The experience cost ratio for a given category of wage-loss replacement plan (1 to 4) is equal to the sum of the experience cost of that category for the years 2012, 2011 and 2010, divided by the sum of the total insurable earnings for the years 2012, 2011 and 2010 for salaried employees of that given category, prior to adjustments for employee premium refunds.

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