Notice of changes to the Workers Rehabilitation and Compensation Act from July 2010
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1 CGU Workers Compensation Level 5, 188 Collins Street Hobart, Tasmania, 7000 t (03) f (03) Notice of changes to the Workers Rehabilitation and Compensation Act from July 2010 To Employers As you are a current Policyholder with CGU, we are writing to advise that the Workers Rehabilitation and Compensation Act 1988 has been amended with effect from 1 July The amendments will have an impact to the costs of benefits associated with workers compensation claims occurring on or after that date. There has also been some major procedural changes which will impact the way both insurers and employers manage claims and injury notifications. Attached to many of the procedural changes are penalties on employers for non compliance. It is therefore very important that all employers are fully aware of their obligations under the Act. There are also new injury management processes. All insurers must have an approved Injury Management Program which includes legislative requirements around the approach to and the processes for managing workplace injuries. A copy of CGU s Injury Management Program which has been approved by WorkCover is available for all existing clients and can be found by accessing the links supplied in this flyer. A summary of the key changes to the Act are attached. For full or further details of all legislative changes we have provided you with access to the CGU web site which has links to WorkCover and all new documents. If you are unable to access the internet or you wish to discuss any of the information attached, please contact the Hobart office on Regards Greg Mathews Tasmanian Workers Compensation Manager CGU Insurance
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3 CGU Workers Compensation Level 5, 188 Collins Street Hobart, Tasmania, 7000 t (03) f (03) Workers Rehabilitation and Compensation Amendment Act 2009 Guide for Employers - Effective 1st July 2010 Employer Reporting & Obligations Section 33A - Employer given notice of injury to advise worker of right to claim When informed of an injury to a worker, within 14 days serve on the worker the prescribed notice in writing, unless a claim for compensation has been served. Penalty may apply. Section 143A - Employer to notify insurer of workplace injury Within 3 working days of becoming aware of a workplace injury that results in, or is likely to result in, partial or total incapacity notify the Insurer. Penalty may apply. Section 36 - Employer to forward accident report and claim Within 3 working days of receiving a claim, notify the insurer of the claim. Insurer not liable to indemnify weekly payments for the relevant period. (Relevant period is following the 3 rd working day until and including the day the insurer is notified). Penalty will apply. Section 39 - Employer to give claimant notice of status of claim within 28 days Employer or the employer s insurer, within 28 days must notify the worker as to whether a decision has been made to accept, or not to accept, or hold pending a claim. Notice to provide reasons why, and the steps the employer or the employer s insurer intends to take before making their decision. The notice must be in writing. Penalty may apply. Section 76A - Account to be forwarded to insurer An employer who receives an account for payment of an expense is to ensure that the account is forwarded to the insurer within 7 days. Section 143D - Return to work co-ordinator to be appointed An employer who employs more than 50 workers, after becoming aware that a worker has suffered a significant injury, must assign the worker to the return to work co-ordinator. Section 143E - Return to work and injury management plans If the worker is or is likely to be, totally or partially incapacitated for work for more than 5 working days but less than 28 days, prepare a return to work plan before the expiry of 5 days after the worker becomes totally or partially incapacitated for work for 5 days. If the worker is, or is likely to be, totally or partially incapacitated for work for 28 days or more, prepare an injury management plan before the expiry of 5 days after the worker becomes totally or partially incapacitated for work for 28 days. Interpretation - significant injury, means a workplace injury that is likely to result in total or partial incapacitated for more than 5 working days. ** See overleaf for notification facilities Primary Benefits Section 69B - Period for which benefits are payable 100% of the weekly payment for the first 26 weeks following the date of the initial incapacity 90% of the weekly payment for the period of incapacity exceeding 26 weeks but not exceeding 78 weeks following the date of initial incapacity (95% if worker unfit for normal duties but fit for suitable duties and employer cannot provide them) 80% of the weekly payment for the period of incapacity exceeding 78 weeks but not exceeding 9 years (85% if worker unfit for normal but fit for suitable and employer cannot provide suitable duties) Benefits to be extended 9 years from the date of initial incapacity, if WPI is < 15% or not assessed 12 years from the date of the initial incapacity if WPI is 15% or more but less than 20% 20 years from the date of the initial incapacity, if WPI is 20% or more but less than 30% If impairment is 30% or more weekly benefits cease at the age of 65 unless the worker is able to make a successful application to the Tribunal. Step Downs Weekly payment is not reduced by the step down percentage in respect of any week in which the worker engages in work, for 50% or more of normal weekly hours. Section 77AB - Employer s liability for expenses less than $5,000 if liability not accepted or determined Within 28 days of receiving a claim for an expense, pay the expense or serve the worker with a notice specifying why the expense is unreasonable or unnecessary and notify in writing the service provider that liability for the expense is disputed and refer the dispute to the Tribunal. (A prescribed fee will apply to each referral). Section 74 Household Services - Services of a domestic nature, including but not limited to, cooking, cleaning and laundry or gardening services and required for the proper running and maintenance of the worker s residential premises. Road Accident Rescue Services - The extricating of a worker from a vehicle. Counselling Services - Services to assist the person to cope with the psychological impact of the death of a worker.
4 Workers Rehabilitation and Compensation Amendment Act 2009 Injury Management Pursuant to section 142 of the Act, CGU Workers Compensation has an approved Injury Management Program. Employers must comply with all sections of this Injury Management Program. Employers may submit to CGU Workers Compensation for approval their own Injury Management Programs. Section 143B - Injury management co-ordinator to be appointed Insurers must appoint an injury management co-ordinator in respect to the employer. Insurers as soon as practicable after becoming aware that the worker has suffered a significant injury, must assign the worker to the injury management co-coordinator in respect of the employer. A person may only be appointed to be an injury management coordinator where that person has successfully completed the course of training or the Board is satisfied that the person has obtained a qualification or completed a course of training that is at least equivalent to the course of training approved by the Board. Section 143C - Responsibilities of injury management coordinator To co-ordinate and oversee the injury management process: Contact with the worker, the employer and the worker s primary treating practitioner Review, modify and implement injury management plans and return to work plans To review work capacity, retraining or redeployment regularly Arrangements to rehabilitate the worker Collating medical information Maintain documentation Resolve disputes in relation to injury management Providing information on injury management to workers and the worker s employer. Miscellaneous Other Section 143H - Certificates A medical practitioner is unable to issue medical certificates of total incapacity for a period of more than 14 days unless the certificate specifies the reasons why. Section 77A - Workplace Rehabilitation Providers A person is not to provide workplace rehabilitation services to another person for the purposes of this Act unless the provider has been accredited by the Board as a workplace rehabilitation provider. Obligations of Employers If an employer of more than 50 persons at a workplace accepts or renews an insurance policy referred to in this Act, the employer, within 60 days, must identify, and provide to the insurer, a list of duties, if any, at the workplace that may be suitable for the purposes of section 143M in relation to a worker to whom that section may apply. Premium Setting Licensed insurers must set premiums that reflect the employer s: industry risk rating claims experience commitment to occupational health and safety commitment to provide alternative duties size of business. CGU Reporting Facilities for Employers Notifications after the 1st July 2010 can be made by:- to earlynotificationtas@cgu.com.au Facsimile to Telephone to (03) (An ID number will be issued) In Person (An ID number will be issued) In writing with received date noted by CGU within 3 working days More Information For more information please visit these web sites - The amended Act amendments_to_the_act Early Injury notification form CGU Tasmania Workers Compensation site (you will need your current policy number to access this site) WorkersRehabilitationandCompensationAmendmentAct2009.aspx The site includes - Information pack for Employers CGU s Injury Management Program WorkCover guide to the major changes to the Act Workers Compensation poster Notice to make a workers compensation claim (14 day notification section 33a) Amendment Act flyer This publication contains information to assist you in your understanding of the principles of the Workers Rehabilitation and Compensation Amendment Act It has been produced as a guide only. It is designed to provide general information only and is not intended as a substitute for any legislation or resource to which it refers. You should not act or omit to act on the basis of anything contained herein. In relation to any particular matter you should seek legal advice where appropriate. Insurance Australia Limited trading as CGU Workers Compensation, expressly disclaim liability for any act or omission done in reliance on the information provided or for any consequences, whether direct or indirect of any such act or omission. This publication is current as at July 2010.
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