Members buying workers compensation labour hire in the risk states (ACT, NT, WA, and Tasmania) should be aware that with effect from 30th June 2024, insurers are advising that the minimum premium charge is likely to increase to $20,000 (currently most of the insurers have a minimum rate of $10,000 for ACT, NT, and Tasmania)
This is regardless of members specific wages estimate or policy year end declarations (actual wages for the year) or individual claims experiences.
Insurers have taken this decision due to the ever-increasing number of complex and long-term labour hire claims in both the blue- and white-collar sectors which are requiring insurers to incur significant costs in claims settlements.
RCSA Insurance are currently in discussions with the four key licensed insurers to ascertain if any dispensation is possible from this group decision.
It is possible WA may be excluded from this across-the-board decision, but at the time of writing this is unclear.
For any additional information, please don't hesitate to contact Victoria Watts from RCSA Insurance.