APPLYING FOR A NEW POLICY

To take out a WorkCover Policy an Application for Workcover Insurance Form (PDF 78KB) must be completed and returned.

It is important that you complete the form properly and accurately as any misinformation can result in an incorrect Premium calculation.

If you need assistance when completing your application form please contact the Policy Department on (03) 9947 3000 or toll free on 1800 802 200

Cover note

You can ask for a cover note before completing an application form. A cover note provides an employer with temporary cover for 30 days pending a policy application being formally completed

  • They can be issued over the telephone
  • The agent must register the cover note on the day the request is made
  • Only one cover note can be issued to an employer during a policy term

If a completed Application for Workcover Insurance Form (PDF 78KB) is received by the agent:

  • Within the timeframe of a cover note – the Policy effective date is the date the cover note was requested.
  • More than 30 days after cover note has been issued – the Policy effective date is the date the policy application was received.

Who must have a WorkCover Policy?

Under current Victorian Legislation you must have a WorkCover policy if you employ workers who work in Victoria and:

  • Your annual remuneration is more than $7,500, or you believe that it will be more than $7,500, or
  • You employ apprentices/ trainees

However you don’t need to take out a WorkCover Policy if your annual remuneration is $7,500 or less and you don’t employ any apprentices.

Instead, you are deemed to have a policy. This means that your workers are still covered under the WorkCover system and are entitled to compensation for work-related injuries or diseases.

If your legal status is that of a Sole Trader or Partnership, WorkCover only covers your employees not the sole trader or partnership.

All first time employers have 60 days to lodge an Application for a WorkCover policy. Failure to obtain a WorkCover Insurance policy when required can result in severe penalties being imposed

EMPLOYER OBLIGATION CHECKLIST

By law, you must:

  • Take out a WorkCover Policy with an Authorised Agent if your annual payroll is more than, or likely to exceed $7,500, or you have changed your legal entity, or you employ any apprentices, or one of your workers makes a WorkCover claim. Failure to register could result in a penalty of double the premium that would have been payable in the uninsured period
  • Notify your WorkCover agent if your workplace or business activities change (these can affect your classification and premium)
  • Estimate your payroll at the beginning of each financial year and certify it at the end of each financial year
  • Pay your premium by the due date
  • Notify your WorkCover agent within 28 days if your payroll increases by more than 20% or more of your estimate

HOW TO RENEW A WORKCOVER POLICY

Policies are automatically renewed annually on 30 June each year, unless employers provide written confirmation of cessation of their business. A Declaration of Rateable Remuneration form is forwarded to each employer to complete and provide an updated estimate of his or her remuneration.

CERTIFICATE OF CURRENCY

If you would like a certificate of currency please contact the premium department:

Phone: 03 9947 3000 (Monday to Friday: 8.30am to 5.00pm)

Toll Free Premium number: 1800 802 200

Fax: 03 9947 3328

DECLARATION OF RATEABLE REMUNERATION FORM

This form requires employers to confirm the remuneration paid in the previous policy period and estimate their remuneration for the upcoming policy period.

Employers need to return this form to their WorkCover agent by 31st July of each year.

If the form is not returned by the designated date, your remuneration will be assessed at an inflated figure so premium calculations can be finalised.

As remuneration means more than just salaries and wages for WorkCover purposes, it is important to refer to the relevant section in the Premium booklet, and to use the checklist provided to ensure the correct remuneration is recorded.

HOW TO PAY YOUR WORKCOVER PREMIUM

The policy renewal period takes place from early September, with the first premium payments due on 1 October 2005. There are a variety of options available to pay your premium. You can choose to pay your premium either as a one-off payment in advance, or in installments.

PAYMENT OPTIONS

If you pay the full amount at policy renewal, you can take advantage of a 3% discount. To obtain the discount, you need to pay the discounted premium and any outstanding amounts by 1 October 2005. If you are paying the minimum premium of $148.50 (including GST), you are not eligible for the discount.

If your premium is $1,000 or less you must pay the full amount by 1 November 2005.

If your premium is over $1,000 you can opt to pay either in advance or by installments (quarterly or monthly).

Quarterly payments are available for premiums over $1,000 and less than $50,000 and payments are due on the first day of October, December, March and June.

Monthly payments are available for premiums in excess of $50,000 are due in ten installments, due on the first day of the month, commencing October 2005 and ending July 2005.

It is important to remember that late payments will attract a penalty of 1.104% per month on the outstanding amount, compounding monthly. When this happens, your installment plan can be cancelled making the remaining premium for the whole year due immediately.