As a Small employer whose basic annual tariff premium is $ 10,000 or less or whose wages is $300,000 or less, you are not affected by the cost of claims on your policy.

However, if the annual tariff premium exceeds $ 10,000 and wages exceed $300,000 in the next two years (ie you become a Medium or Large employer), perhaps due to an increase in wages or increase in the rate, the cost of claims in the previous years may affect your premium.

As a Medium or Large employer (ie an employer whose annual basic tariff premium exceeds $ 10,000 and wages exceed $300,000), the cost of claims will be used in the calculation of your premium.

Medium and Large employers who have nil claims will receive a reduction of premium while Medium and Large employers who have high claims cost pay more. For a full explanation, you can go through your premium calculation sheets with your insurer.

This scheme encourages employers to have safe work practices and maintain a safe workplace so that injuries at work will be minimised.