Premium rates

Premium rates and dust diseases contributions are contained in Table A of the Insurance Premiums Order.

Workers compensation insurance premiums are determined by a number of factors.

These factors include:

The formulas used to calculate your premium are contained in the latest Insurance Premiums Order.

Industry classification

When you apply for a workers compensation policy you are required to give details of your business activities.

All employers with a NSW workers compensation policy are allocated to a WorkCover Industry Classification based on the nature of their business activities.

WorkCover industry classifications are contained in Table B of the Insurance premiums order.

Average performance premium

Your average performance premium is calculated by multiplying your wages by the WorkCover Industry Classification rate for your industry class.

If you have a multi tariff policy, this formula is repeated for each applicable industry class, and the outcomes added together to produce the total average performance premium.

For a small number of industry classes, basic tariff premium rates are expressed as a per capita rate (eg professional boxing) or on a per plate rate (eg taxis and hire cars).

The minimum premium is $175, even if the calculation produces a lower amount.

Workers Insurance Renewal Pricing Effective from  30 June 2016

The icare premium rates for 30 June 2016  have been approved.  This approval allows the continuation  of the 2015 rates for the 2016 policy periods – effectively no rate changes.

Scheme Agents have commenced issuing renewal invitations, allowing employers reasonable time to make changes  and amendments as needed.

New Loss Prevention and Recovery (LPR) product for Large Employers

After listening to our large employer customers, we recently undertook a refresh of our Retro Paid Loss (RPL) product. We knew it was important to create a product that closely met the needs of our customers, so we embarked on a co-design journey that would bring to life a new, improved and better aligned product.

The co-design process involved over fifty of our largest customers and key stakeholders over three Accelerated Solution Environment (ASE) workshops. Here, we worked together to re-invent, re-imagine and re-test the type of large employer product our customers needed and wanted.

Our journey culminated in the design of truly co-created product – the Loss Prevention and Recovery (LPR) product for large employers. And so, without further ado, we are excited to introduce to you LPR:

  1. Why are the Retro Paid Loss (RPL) premium arrangements being changed?
    Our customers told us that the Retro Paid loss product had some aspects that could be improved to better meet their needs.
  2. What was the process for changing the large employer product?
    Our customers are the users of our product, so to create a product that met their needs we co-designed the new product with them. Fifty of icare’s largest employers and key industry stakeholders participated in the co-design through Accelerated Solution Environment workshops, where we re-invented, re-imagined and re-tested the type of large employer product our customers wanted.
  3. Why is the new model called the Loss Prevention and Recovery (LPR) model?
    Through the co-design it became clear that we needed to change the product name to reflect the core focus for large employers and icare.  The new name emphasises the fundamental principles of loss prevention and recovery at work.
  4. What did our customers tell us during our co-design?
    The co-design group wanted a simplified application process and greater choice to control their financial commitments.
  5. What enhancement have been made to the LPR product?
    1. The application process, There’s now one single application form that combines three elements: the application, declaration of estimated wages, and self-assessment of the employer’s Work Health and Safety (WHS) and Return To Work (RTW) programs.

      This same form is used for each renewal. The simplified application form for the LPR model has replaced the four month application process with a simple WHS and RTW self-assessment regarding an employer’s WHS management system (WHSMS) and RTW program, instead of the fully documented WHS and RTW programs.
    2. Optional security deposit
      At the commencement of any period of insurance, employers may choose to pay a security deposit or pay the alternative Renewal Premium adjustment for the term of the insurance period.

      Option 1: Security is represented by cash, bank guarantee or insurance bond which is to ensure payment of premium if employers are not able to meet their workers compensation liabilities.

      Option 2: The Renewal Premium adjustment is an alternative option paid as part of the premium in place the Security deposit.
  6. How does an employer apply or renew?
    Existing employers, All existing LPR employers will be sent a renewal form to complete and provide to icare by 4pm on the 30th of June.

    New applicants are required to complete the application and provide to icare by 15th of June.
  7. How to connect with us?
    If you have any questions or you would like to know more about the LPR product, please contact our team on  02 9219 2105 or lpr@icare.nsw.gov.au