Incentives and premium adjustments

There are a range of incentives, discounts and other adjustments that could affect your premium costs.

We have extra information about the incentives, discounts and adjustments listed below. Call us on 13 10 50 to find out more.


Avoid the claim excess

If one of your workers suffers a workplace injury, you can avoid paying a claims excess by notifying your insurance agent or insurer within five calendar days of you becoming aware of the injury.

Apprentice Incentive Scheme

Under this scheme, if you employ an apprentice then you're entitled to a premium reduction based on the wages paid to your apprentice.

The scheme aims to:

  • grow NSW's skill base
  • encourage employers to hire apprentices
  • improve workers compensation outcomes over time because trained workers are less likely to be injured at work.

To be eligible for the reduction you must:

  • have a valid workers compensation policy
  • have entered into a State Training Services approved contract with the apprentice. The apprentice must be identified in the training contract.

Your insurance agent will calculate the apprentice incentive amount based on details you provide in your wages declaration forms.

Employer safety incentive 

Small employers 

You will get a 10 per cent Employer Safety Incentive (ESI) premium discount at the beginning of each policy period.

Make your workplace safe. If all your injured workers are returned to suitable work within four weeks of the date of injury, with no ongoing requirement for payment of weekly compensation, you can keep the 10 per cent discount when your hindsight premium is calculated.

Experience rated employers

Experience-rated employers will receive a 10 per cent Employer Safety Incentive (ESI) premium discount at policy renewal. This provides an opportunity for employers to invest the savings in workplace safety.

Employer safety reward (experience-rated employers only)

An employer safety reward (ESR) discount of 5 per cent will be applied at the end of the insurance period for experience-rated employers who have not incurred any premium-impacting claims in the previous four consecutive policy periods.

Return to work incentive

Small employers 

You will receive a 10 per cent Return to Work Incentive (RTWI) premium discount, instead of the ESI, if all your injured workers return to suitable work with no ongoing requirement for payment of weekly compensation, between four and thirteen weeks from the date of injury.

Experience rated employers

For claims made against a policy that commences or renews on or after 30 June 2015, a return to work incentive discount (5, 10 or 15%) will be applied to the cost of each claim with a sustainable return to work outcome up to 52 weeks. The higher discounts apply to shorter return to work outcomes.


Discount for premiums paid in full 

You are entitled to a discount on your premium if you pay your annual premium in full (on or before the due date). 

The discount is offered to everyone with a premium over $175, regardless of your entitlement to instalments. It is available only to policies that are for 12 months duration.

The discount is based on your initial premium payable and will not be adjusted as part of the hindsight premium calculation process, or if wages estimates are adjusted mid-term. 

The discount rate is prescribed in the latest Insurance premiums order and is subject to change. 

For small employers, the current discount is five per cent. 

For experience-rated employers the current discount is three per cent.

Premium adjustments

Dust Diseases contribution

The NSW Government provides compensation to injured workers for dust-related diseases due to exposure to dust during their employment. This scheme is administered by the Dust Diseases Board (DDB).

As an employer, you are required to pay the Dust Diseases contribution to fund this scheme. It is collected by your scheme agent or insurer on behalf of the DDB. The Dust Diseases contribution is calculated separately and added to the workers compensation premium. 

Mine Safety Fund premium adjustment 

The Mine Safety Fund was established by the Mine Safety (Cost Recovery) Act 2005 to provide for mine safety regulatory activities undertaken by the NSW Government.

If you are an employer with wages in the mining industry, you are required to pay a mine safety fund premium adjustment.  It is collected by your scheme agent or insurer.

The adjustment is calculated separately and added to the workers compensation premium. The Mine Safety Fund premium adjustment rate is set annually and is published in the Insurance Premiums Order.

Further information

Late payments

The late payment fee rate for workers compensation insurance is the rate prescribed in the Insurance premiums order

Rates are per month, compounded monthly and apply to debts associated with polices that start or renew on or after 30 June in each policy year.