Broker-arranged
Workers compensation insurance in WA
Western Australia’s workers compensation law changed on 1 July 2024, when the Workers Compensation and Injury Management Act 2023 replaced the 1981 Act. The core duty didn’t: every employer must hold a policy with an insurer licensed by WorkCover WA. Here is what the Act asks of employers, the penalties, and how a licensed broker arranges it.
- Insure with a WorkCover WA licensed insurer
- Remuneration declarations under the 2023 Act
- Penalties now $10,000 per worker
Who needs workers compensation insurance in WA?
WorkCover WA says the Workers Compensation and Injury Management Act 2023 maintains the fundamental employer obligation to maintain a workers compensation insurance policy to cover workers suffering an injury from employment. The policy must be with an insurer licensed by WorkCover WA. Unlike the eastern states, WA has no state-owned insurer, so a broker can compare the licensed insurers for you.
The Act commenced on 1 July 2024 for policies starting on or after that date. Policies that began before 4pm on 30 June 2024 ran out under the old Act.
The WA scheme at a glance
| Point | What applies |
|---|---|
| Regulator | WorkCover WA |
| Insurer | Any insurer licensed by WorkCover WA. A broker compares them |
| Who must insure | Every employer with workers, from the first worker |
| Declarations | When you take out or renew a policy you must declare estimated remuneration, then actual remuneration, on the approved forms |
| Records | Keep records of the number of workers, the industry classification and total remuneration for each period of insurance, for at least 7 years |
| Penalty | Failing to take out or renew a policy, or giving a false declaration, carries a penalty increased from $5,000 to $10,000 in respect of each worker the offence relates to. Most offences are dealt with by infringement notice |
Insurers can ask for more than wages: WorkCover WA says they may request your WHS management plan, claims experience, the nature of the business and any contractual indemnity arrangements that affect the policy.
What workers compensation covers, and what it doesn’t
The scheme sets the benefits, not the insurer. Every scheme covers these in some form.
Usually covered
- Weekly payments while an injured worker can’t work.
- Medical, hospital and rehabilitation costs for a work-related injury or illness.
- Lump sums for permanent impairment, under the scheme’s rules.
- Injuries on the way to or from work, in some states and circumstances.
Usually not covered
- The business owner’s own injury, unless the scheme treats you as a worker. That’s income protection or personal accident cover.
- Injury to the public. That’s public liability.
- Fines for safety breaches.
- Contractors with their own cover, depending on how the scheme deems them.
What sets your WA premium
WA insurers price from the recommended industry rates and your own details.
We don’t publish premiums. A broker compares the licensed insurers on your details.
How to get WA workers compensation through us
WA workers compensation questions
Is workers compensation compulsory in WA?
Yes, once you employ. WorkCover WA says the 2023 Act keeps the fundamental obligation to maintain a policy covering workers who are injured from employment. Check the scheme’s threshold before you hire your first person, including apprentices and casuals.
Does a sole trader need workers compensation?
Not for yourself, in most schemes, because you aren’t your own employee. You need it once you employ someone. Your own income is protected by income protection or personal accident cover instead.
Which insurers can provide workers compensation in WA?
Only insurers licensed by WorkCover WA. There’s no state-owned insurer, so a broker compares the licensed insurers for your business.
What is the penalty for not having workers compensation in WA?
Under the 2023 Act the penalty for failing to take out or renew a policy, or for a false remuneration declaration, increased from $5,000 to $10,000 in respect of each worker. WorkCover WA says most offences are dealt with by infringement notice and a modified penalty.
What changed with the WA workers compensation Act in 2024?
The Workers Compensation and Injury Management Act 2023 commenced on 1 July 2024, replacing the 1981 Act. The duty to insure stayed, declarations of remuneration became a stated requirement, and penalties increased.
Keep reading
More by state
Sources
Western Australia