As 30 June approaches, NSW employers renewing workers compensation insurance should check the policy details, wage estimates, business activities and claims experience used to calculate the premium. ABILITY GROUP can help review a renewal and identify questions to raise with icare.
Businesses typically understand they must have a valid workers compensation policy to operate and ensure their workers are protected in case of workplace injuries. It is easy to understand, however, that businesses are not always across the latest changes or what influences their workers compensation premiums payable.
Why June Matters
June is one of our busiest renewal months. Many of our clients align their fiscal year with mid-year reviews, making it the perfect time to reassess coverage needs and make strategic adjustments. Renewing in June ensures:
- Continuous protection without coverage gaps
- Updated terms that reflect current market conditions
- Opportunities to optimize premiums and benefits
What to Review Before Renewal
- Check the employer and policy details against your current business activities.
- Review actual and estimated wages and the treatment of contractors under the applicable scheme rules.
- Consider claims experience, workplace changes and the information used to calculate your premium.
- Contact icare or seek specialist advice promptly if a renewal notice appears inaccurate.
Tips for a Smooth Renewal
To make the most of your June renewal, consider these best practices:
- Review your current policy: Check for outdated coverage or missed opportunities
- Update your information: Check business details, classification, workforce changes and wage information used for workers compensation cover.
- Consult your advisor: Our experts can help tailor your policy to match your evolving needs
Most Australian businesses operate on a financial year basis, and from a financial perspective, many businesses seek to align the renewal of their various Insurance lines/products to the financial year. Having financial year-based policies makes it easier for businesses to budget, forecast, report actual/forecast wages, as well as help make accounting easier.
Workforce and wage changes
As the majority of businesses face increased wage costs, it is important to ensure you review your renewal documents to ensure changes in your business are accurately reflected. If your workforce has changed during the last 12 months, then your deemed wages will have increased or decreased.
Check the current superannuation guarantee rate and confirm how superannuation is treated in the applicable workers compensation wage declaration.
How are workers compensation premiums calculated in NSW?
We have previously provided information & insights regarding the calculation of NSW workers compensation premiums to help businesses understand their obligations, as well as importantly to ensure they are paying the correct premium. In short, the premiums you pay are dependent upon a number of key factors, including yet not limited to:
- Business size
- Business activity
- Wages
- Claims costs & experience
Need Renewal Assistance?
Need help reviewing your workers compensation renewal premium? Contact our workers compensation specialists for assistance and help ensure you aren't paying too much!
For further information, Icare has created a video that outlines the renewal process & provides other information to help businesses with their renewals.
Source: Icare
Title: Renew your Workers Insurance policy
Read/Watch time: 5-10 mins