Independent review of insurance in workers' compensation system released for comment

11/7/2000
Labour Relations Minister Cheryl Edwardes today released an independent review of insurance arrangements under the Workers' Compensation and Rehabilitation Act 1981.
"It is a comprehensive report following the 1999 Pearson Review of the workers' compensation system which recommended an in-depth look at insurance practices and alternative insurance options for employers," Mrs Edwardes said.
"Mr Pearson's report highlighted many problems experienced by employers seeking workers' compensation insurance in the private market."
The Minister said the report on insurance costs complemented the Government's commitment to implement the findings of the Pearson Review.
"This report represents another step in the process of delivering a workers' compensation system which balances the needs of injured workers with the ability of employers to afford premiums," she said.
"It also complements the Government's legislative amendments which came into effect last year to address the cost escalation in common law."
The Review of Workers' Compensation Insurance Arrangements in WA was required to examine:

• the current insurance structure;
• the regulatory framework supporting the insurance structure;
• opportunities available to stimulate competition in the insurance market; and -
• the role of insurance brokers.

"The Government is committed to providing workers with fair benefits and employers with the most economic costs, but they can only be provided in a competitive environment that embraces the principles of occupational health and safety and injury management," Mrs Edwardes said.
"The group which conducted the Insurance Review tells me that implementing its recommendations should stimulate greater competition, accountability and transparency in the insurance arrangements available to the workers' compensation scheme.
"I am releasing the report for public comment before the Government's position is finalised and I encourage all interested parties to give their views."
The closing date for public comment is 5.00pm on Friday, August 4, 2000. Copies of the report are available on http://www.workcover.wa.gov.au or by calling WorkCover on 9388 5555.
Media contact: Steve Manchee on 9421 7777