Worker's compensation changes in NSW and Victoria for 2023-24.
New workers' compensation scheme changes announced in NSW and Victoria as new financial year starts.
These updates have implications for businesses and employers operating in these states. Let’s delve into the key changes and what they mean for you.
NSW – iCare: In NSW, the Nominal Insurer workers’ compensation scheme will experience an average premium rate increase of 8% for the 2023-24 financial year. This translates to a rise from 1.48% to 1.60% of wages as premium rates.
Key Changes in NSW for 2023-24:
- Workers Compensation Industry Classification (WIC) rates will increase by an average of 8%, varying for different industries.
- The Employer Safety Incentive (ESI) will transform into the Safe Employer Reward (SER).
- The Claims Performance Adjustment (CPA) table of rates will be extended to cover adjustments of over 600%.
- Loss Prevention and Recovery (LPR) claims adjustment factors will undergo an 8% increase.
- Minor adjustments to the Dust Disease Levy (DDL) will be made in accordance with the State Insurance Regulatory Authority’s (SIRA) instructions.
It’s important to note that each industry carries its own level of inherent risk. iCare determines premium rates based on the safety performance of each industry over the past five years. Consequently, some businesses may experience premium rate increases below the 8% scheme average, while others may face higher increases.
For further information regarding how these changes may affect your premium in NSW, please get in touch with your WSIB Account Executive at (02) 9587 3500.
Victoria – WorkCover: In Victoria, the state government has announced several changes to the workers’ compensation scheme, set to take effect in the 2023-24 period.
Key Changes in Victoria for 2023-24:
- The average premium rate has increased from 1.272% to 1.8%, effective from July 1, 2023.
- Legislative amendments are being considered to extend eligibility for weekly payments in mental injury claims (stress and burnout) and claims lasting longer than 130 weeks. The proposed legislation is expected later in 2023, with implementation planned for 2024.
- The establishment of Return to Work Victoria aims to concentrate efforts on piloting initiatives that enhance return-to-work and prevention outcomes. WorkSafe is currently engaging with key stakeholders to develop this initiative further.
As NSW and Victoria implement changes to their workers’ compensation schemes, businesses and employers must be aware of the updated premium rates and adjustments in each state. Compliance with these changes will contribute to a safer working environment and improved outcomes for both employees and employers. For more detailed information and assistance, it is recommended to consult the respective regulatory authorities or reach out to your designated contacts in each state.
The advice on this website is general in nature and has been prepared without taking into account your objectives, financial situation or needs. You must decide whether or not it is appropriate, in light of your own circumstances, to act on this advice. You should ensure you obtain and consider the Product Disclosure Statement for the policy before you make any decision to acquire it.