Q. What expenses am I liable for when someone has a workplace injury?
Managing Director: The insurance company that underwrites your workers’ compensation policy is liable for wages up to $190,000 and medical expenses up to $50,000 (which can be extended by another $50,000 for a worker with a severe injury). These expenses can be extended by another $100,000 in serious cases, if the worker chooses to take the $100,000 and forego their Common Law entitlement. Rehabilitation can add another $12,000 and there are additional minor expenses, such as travel, that can also be reimbursed. The consequence of these expenses is that it only takes one significant injury to add significant costs to your claims history.
Client Service Manager: A particularly important reminder for businesses with a monthly payroll is that employers must pay an injured worker their wage entitlements within 14 days of the insurer approving the claim. There is a $2,000 fine for failure to do so.