Client Alert: Unforeseen Premium Increases Following Changes to NSW Workers Compensation Scheme
In May, Marsh issued a Client Alert outlining the NSW Government’s key areas of premium reform to the state’s workers compensation scheme. Central to the NSW Government’s message was that the changes would streamline the process for employers and pass on to them some of the benefits of the scheme’s recent performance improvement.
This was interpreted by many as a signal of premium reductions for the majority of employers and as such the poorest performing 16% of employers in the state, would face significant premium increases. However, it now appears that significantly more than the expected 16% of employers will receive marked premium increases despite the fact that many of these employers’ claims performance has improved in recent years.
Further information can be found in the Client Alert provided and we encourage all medium and large businesses to review their 2015/2016 premium calculations urgently.