Workers’ compensation insurance: What employers need to know [Infographic]

5 August

Workers’ compensation insurance: What employers need to know [Infographic]

Workers Compensation Insurance IMG

Whether your business is located in Western Australia (WA), the Northern Territory (NT) or elsewhere in Australia, the law requires you to obtain workers’ compensation insurance.

What is workers’ compensation insurance?

As many of you may already know, this type of coverage is designed to provide financial assistance when one of your employees sustains a work-related illness or injury.

According to Work Cover WA, if you do not have a workers’ compensation plan, your business will be responsible for paying the costs associated with an employee’s ailment or injury. In addition, you’ll likely incur the following legal penalties:

  • Fines of up to $5,000 for every worker under your purview
  • An amount equal to any neglected premiums
  • Expenses associated with court action

How can insurance broker help you find the right workers' compensation policy?

What do I need to cover on my policy? 

Any person defined as your ‘worker’ under WA legislation must receive coverage through a workers’ compensation plan. Such individuals may be full-time or part-time employees, commissioned workers, piece employees, working directors, contractors, sub-contractors or – in some circumstances – family members.

Due to an October 2011 amendment to the nation’s Workers’ Compensation and Injury management Act 1981, injured employees aged 65 years and older have the right to access workers’ compensation. The benefits associated with this cover are no different than they are for younger workers.

How do I take out a policy? 

Workers’ compensation policies differ from state to state. Therefore, specific employer responsibilities are not the same across the country.

Underwritten states include the Australian Capital Territory, NT, WA and Tasmania. In each of these areas, you can take out policies with an accredited insurance provider. To help you negotiate with these firms, it may be beneficial to speak with an insurance broker familiar with state laws.

How should I manage claims? 

The instant an incident occurs, the injured employee should fill out a Workers’ Compensation Claim Form and provide you with a First Certificate of Capacity. Once you have these documents, you must deliver them to your insurer within five working days, as per WA legislation.

From there, your insurer will review the claim and then come to a final decision. It will provide you with all applicable information within 14 days or receiving the claim. All details will be in writing.

Between arranging your policy to managing claims, Oracle Group simplifies all processes pertaining to workers’ comp. Contact us today for a quote.

Workers’ compensation insurance may be complex, but with the right guidance, it’s easy to navigate.

Related Tags: Workers Compensation Insurance Perth | Personal Insurance Perth

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