Queensland's Incremental Approach to Workers' Comp Premiums

4

The information on this website is general in nature and does not take into account your objectives, financial situation, or needs. Consider seeking personal advice from a licensed adviser before acting on any information.

According to WorkCover Queensland, the average net premium rate will see an adjustment from $1.29 to $1.343 per $100 of wages after discounts. Acting CEO David Heley emphasized that the rate hikes are carefully considered, especially in light of current cost-of-living challenges.

“Balancing the needs of our customers, both workers and employers, while safeguarding the long-term viability of the Queensland scheme is crucial,” Heley said. “These small, incremental changes help ensure that businesses do not face sudden and dramatic increases in their WorkCover premiums.”

Over the past decade, the government-owned and self-funded scheme has utilized over $2.5 billion from investment reserves to subsidize premiums. Mr. Heley mentioned that such financial management is pivotal in keeping the scheme robust and reliable.

Employers' premiums are influenced by multiple factors, such as their wages, claims performance, and industry standards. This tailored approach means that businesses with good safety records can benefit from lower premiums.

Last year, WorkCover Queensland supported employers through over 68,000 accepted statutory claims and 3,200 common law claims. The organization reported a concerning 28% rise in mental injury claims and a 9% increase in time-lost benefits compared to the previous year. These trends are not limited to Queensland; they are reflective of national issues affecting workers’ compensation schemes.

For instance, in New South Wales, icare recently revealed a more significant average premium increase of 8%. Such rising costs across various jurisdictions demonstrate the universal challenges facing workers' compensation schemes in light of increasing claims and associated expenses.

This adaptive and measured approach to rate adjustments showcases Queensland's commitment to both economic prudence and the welfare of its workforce. By carefully managing premium rates, WorkCover Queensland aims to maintain a sustainable and beneficial scheme for all stakeholders involved.

Thus, while premiums will see a modest increase, businesses can remain optimistic about the competitive and supportive structure of Queensland’s workers’ compensation framework.

Published:Wednesday, 5th Jun 2024
Source: Paige Estritori

Please Note: If this information affects you, seek advice from a licensed professional.

Share this news item:

Insurance News

Clear

Heightened Road Risks as Holiday Travel Meets Freight Surge

15 Dec 2025: Paige Estritori

As the Australian summer holidays approach, a significant increase in road traffic is anticipated, coinciding with peak freight activity. This convergence raises concerns about heightened road risks, prompting insurers and transport specialists to issue warnings to motorists. - read more

Rising Collision Risks Challenge Australian Fleet Operators

15 Dec 2025: Paige Estritori

Australia's transport and haulage sector is currently navigating a period marked by an uptick in motor collision claims, posing significant challenges for fleet operators nationwide. This trend underscores the necessity for enhanced risk management and insurance strategies to safeguard operations and maintain profitability. - read more

NTARC Report Highlights Key Factors in Major Truck Crashes

15 Dec 2025: Paige Estritori

The National Truck Accident Research Centre (NTARC) has released its latest Major Incident Investigation Report, shedding light on the predominant causes of significant truck crashes across Australia. The findings underscore the critical need for targeted interventions to enhance road safety within the transport industry. - read more

IAG Enhances Profit Projections Post-RACQ Insurance Integration

15 Dec 2025: Paige Estritori

Insurance Australia Group (IAG) has revised its annual profit forecast upward by $100 million, attributing this positive adjustment to the recent acquisition of RACQ Insurance. The company now anticipates a reported insurance profit ranging between $1.55 billion and $1.75 billion for the current financial year, an increase from the previous estimate of $1.45 billion to $1.65 billion. - read more

Queensland's Insurance Duty Revenue Set to Surpass $2 Billion

15 Dec 2025: Paige Estritori

The Queensland government is poised to collect over $2 billion annually from insurance duties by the 2028-29 financial year, marking a 19.7% increase over the next four years. This projection is detailed in the latest budget figures, which indicate that the state will receive $1.78 billion from insurance duties in 2025-26, approximately $120 million more than the previous year. - read more

Click for more Insurance News