If your business employs or hires workers on a regular, casual or contract basis, you are considered to be an employer and must have a workers compensation insurance policy. This applies even if you are a small company, partnership or sole trader with only one or more workers or contractors who are deemed to be workers.
Note: This also includes private households employing workers to carry out domestic duties, for example, a gardener or cleaner, unless the wages you expect to pay in respect of all domestic workers is less than $7,500.
From 4pm on 30 June 2008, you must take out a workers compensation insurance policy if:
- you engage workers or contractors deemed to be workers and you pay, or expect to pay, more than $7,500 a year in wages, or
- you engage apprentices or trainees, or
- you are a member of a group for workers compensation purposes.
Penalties may apply in the event that you do not take out a workers compensation insurance policy.
Section 155 of the Workers Compensation Act 1987 requires that an employer shall obtain, and maintain in force, a policy of insurance that covers their liability under workers compensation legislation.
To take out a workers compensation insurance policy, contact one of WorkCover’s scheme agents. The scheme agent will ask you to provide a number of details including:
- the nature of your business activity
- past workers compensation insurance details
- the number of workers you employ
- an estimate of wages paid to workers.
Call 13 10 50 for more information about taking out a policy.