Workers compensation provides valuable protection to workers and their employers in the event of a workplace-related injury or disease. Through workers compensation, injured workers can receive weekly payments to cover loss of earning capacity, payment of medical expenses and vocational rehabilitation expenses, where necessary, to assist them return to work.
All NSW employers must have a workers compensation policy to insure themselves against compensation claims for workplace injuries.
WorkCover NSW regulates the New South Wales workers compensation system. The system is comprised of:
- The New South Wales Workers Compensation Scheme
- Self and Specialised Insurers who bear their own liabilities and claims risk
- Treasury Managed Fund
The Scheme comprises of funds from premiums and investment income and provides insurance for injured workers in NSW. Seven organisations operate as Agents in the Scheme and deliver claims and policy services under commercial contracts.
The system operates under the Workers Compensation Act 1987 and the Workplace Injury Management and Workers Compensation Act 1998.
Recent changes to workers compensation aim to produce a financially viable Scheme that is fair and affordable for employers and improves outcomes for injured workers.