Economic incentives in occupational safety and health refer to ways of rewarding enterprises for high levels of safety and health at work. While the government can reward an enterprise for improving its occupational safety and health performance by lowering its tax rates, social security institutions can use various means, including economic incentives, to reflect the safety and health performance of the enterprises they cover.
Incentive schemes, including risk-related contributions, financial and even non-financial incentives, are intended to motivate employers and enterprises to make a particular effort in the field of prevention. The idea behind these schemes is that insurance premiums paid by an enterprise are linked to its safety and health performance. Those enterprises with lower than average accident and disease rates may pay lower premiums and those with higher than average rates may pay higher premiums (bonus-malus).