Reduce Impact of Claims
For many businesses, workers compensation claims don’t only impact customers and other workers, they can have severe financial impacts. Since 1 July 2013, NSW legislation reforms mean businesses with workers compensation premiums >$30,000 are claims experience rated. In simple terms this means these premiums will increase for 3 years due to claims costs and often for every $1 in claims costs you pay more in premium. Like to reduce the impacts of claims?
Workers compensation claims have severe financial impacts on medium businesses. If Basic Tariff Premium is over $30,000 you or your client is claims experience rated. This means that claims impact your premium for 3 years due to the way the NSW Workers Compensation formula works. If you or your client has claims contact us now to minimise financial impact to your business.
Case Study
A client engaged us due to a recent NSW WorkCover Wage Audit. The client had not submitted actual wages declarations for 2 years and WorkCover used this trigger to audit them for wages to ensure appropriate premiums were paid. The audit revealed a number of different issues, the first being sub contractors not being declared and a sub contractor they had been using had no workers compensation cover. This client has a few claims and 1 major claim impacting their premium significantly.
Due to the audit increasing the actual wages declared, the impact of the claim only worsened and the premium increases were crippling. ABILITY GROUP reviewed the client’s entire workers compensation program and found that one of the claims was for a subcontractor who should have claimed under his own company’s policy, the second major claim was due to an issue on a site where our client was a sub contractor not the principal contractor. We were successful in removing the claim for the sub contractor and we are now in the process of reviewing the other claim.
We have already saved this client in excess of $20,000 and expect further cost savings to follow.
Need specialist advice?
Have you had claims that have impacted your premium?
Has your premium increased dramatically?
Like to make sure you aren’t paying too much for workers compensation?
Unsure what to do next or need specialist advice?
Contact us if you would like to discuss how our ability to make things happen can help your business today.