As an employer, the Australian government expects you to insure your permanent, casual, contractual and part-time employees. This insurance is known as workers' compensation insurance, and it is a statutory form of insurance in Australia. The article below discusses some workers' compensation insurance FAQs. They will help build your knowledge of the cover and ensure you apply for the best workers' compensation coverage possible.
What Should Be Your Concerns When Applying For Workers' Compensation Insurance?
Your immediate concern when applying for this insurance cover should be the insurance company. There are numerous insurers in the market. However, you want an insurance company that can customise a package that meets your business needs. Start by assessing the insurer's reputation to determine how their customers rate their services. Then examine the terms of the policy. For example:
- What is the minimum or maximum coverage that the company offers? It will give you an idea of whether the company is qualified to cover your business.
- Ask how you will pay the premiums. For example, a small business could prefer to pay monthly instalments as opposed to a lump sum.
- What are exemptions on the cover? For example, some companies will not compensate employees injured outside of working hours or those who fake injuries.
- What is the compensation process? As a rule, consider companies with a straightforward process without a lot of bureaucracy.
- How often does the insurance company review the coverage? Changing business conditions could compel you to increase or reduce your coverage.
How Are Workers' Compensation Insurance Premiums Calculated?
Workers' compensation insurance premiums are dependent on the level of risks that employees are exposed to. Typically, the insurance company visits your premises to create a risk profile. Therefore, businesses whose employees work in risky environments (such as construction or manufacturing businesses) will pay higher premiums. Other factors that will influence the premiums are the number of employees and their salaries. Typically, insurance companies will encourage you to reduce workplace risks to bring down the premiums.
How Do You Seek Compensation After An Injury?
If an employee suffers an injury, they should seek treatment as soon as possible. Inform the insurance company of the incident. Alternatively, the injured employee can contact the insurer through their lawyer. The insurer sends an adjuster to investigate the claim. If the claim meets the minimum requirements, the insurance company compensates the injured employee. In some cases, the claimant could counter the insurer's offer. It is especially so if they feel the amount does not fully compensate them for the injuries and damages suffered.Share