Elect to buy-out your WorkCover insurance premium excess

Understand how electing to buy-out the insurance excess option works.

Date last updated

Tuesday 25 Aug 2020

Industries and topics
  • Insurance

Earlier date for electing to buy-out insurance excess option

Each WorkSafe claim is subject to an insurance excess consisting of payment of the first 10 days of weekly benefits and the first $735 of reasonable medical and like expenses for 2020-21 (indexed annually). Employers can elect to remove this excess by paying an additional 10% of their premium (referred to as the buy-out premium).

The effect of removing the excess is that your claims are managed and paid for by your Agent from day one. This makes it easier for employers to manage the early stages of a claim.

As occurred last year, the date by which you have to inform your Agent that you want to remove the excess or reinstate it is 1 August 2020. This date reflects the fact that premium notices are now issued in July instead of September. This can be done when you update your 20/21 remuneration online provided this is before 1 August.

If you are a new employer you must make your election at the time of registering with WorkSafe.

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