Workcover Insurance Victorian Councils

    Workcover Insurance Victorian Councils

    WORKCOVER INSURANCE VICTORIAN COUNCILS

    Procurement Australia's aim is to assist Councils and to provide solutions to minimise the financial impacts in the lead-up to your 2023 renewal and the significant expected premium increases.

    According to recent media reports, the State Government injected $850m into the Scheme this year after injecting $500m in the 2020/21 period to sustain its position in the short term. It was noted that there had been a significant increase in the number of injured workers accessing weekly benefits. The time spent managing the Scheme has also increased, and the trend is set to continue.

    The Scheme continues to deteriorate across:
    • Return to work rates
    • Medical treatment delays (Physical and Mental Health practitioners)
    • Transition of Agents with CGU moving out of the market.

    All of the above are impacting Paid Costs and Statistical Case Estimates and therefore impacting premiums for Councils. This, coupled with investment losses, positions the Workers Compensation Scheme in Victoria for significant change and premium increases in 2023.

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