WorkCover WA has released the recommended workers’ compensation premium rates for 2013-2014. Although the average rate across the entire workers’ compensation scheme has decreased by 1.36%, this decrease is not applied uniformly across all 480 premium rating classificatons and decreases or increases in specific gazetted premium rates will vary from industry-to-industry.
The important point for employers to understand is that unless their claims history is better than that of their industry peers, they are unlikely to see any significant reductions in their next workers’ compensation premium renewal and in fact may be subject to increases in premium depending on claims performance.
For employers with 30 June renewals, now is the time to act! If you have any concerns about the potential impact of current claims costs on your premium renewal, contact us to discss what opportunities exist to reduce claims costs in the small windows that remains.
Media Statement – 9 April 2013
WorkCover WA announces Recommended Premium Rates for 2013/14
The Chairman of the WorkCover WA Board, Mr Greg Joyce, today announced the 2013/14 recommended premium rates for compulsory workers’ compensation insurance in Western Australia.
Mr Joyce said that the average recommended premium rate would fall slightly to 1.668 per cent of total wages for 2013/14, down from 1.691 per cent of total wages for 2012/13.
The recommended premium rates are based on independent advice by the workers’ compensation scheme actuary, PricewaterhouseCoopers, and take into account the latest available data on claims experience provided by insurers, as well as broader economic factors such as movements in interest rates and wages.
Mr Joyce said the decrease in 2013/14 is largely due to continued wages growth in Western Australia. However, the positive impact of wages growth is offset by other factors, including increases in claim numbers and associated costs, and reductions in real rates of return for approved insurers.
The decrease is not applied uniformly across all 480 premium rating classifications.
The Recommended Premium Rates for 2013-2014 are available here from the WorkCover WA website.