Insurance Premiums Order 2008–2009 (2008-157) (NSW)

Insurance Premiums Order 2008–2009 (2008 SI 157)

MARIE BASHIR, Governor I, Professor Marie Bashir AC, CVO, Governor of the State of New South Wales, with the advice of the Executive Council, and on the recommendation of the WorkCover Authority, and in pursuance of the Workers Compensation Act 1987, make the following Order. Dated, this 28th day of May 2008. By Her Excellency's Command,

JOHN DELLA BOSCA, M.L.C.,Minister Assisting the Minister for Finance

1 Name of Order This Order is the Insurance Premiums Order 2008–2009.

2 Commencement This Order commences at 4 pm on 30 June 2008.

3 Calculation of insurance premium payable by employer (1) The premium payable by an employer for a policy of insurance is to be calculated by requiring the premium to be calculated for a period of insurance of not more than 12 months and: (a) if the employer is a medium or large employer for the purposes of the policy, in accordance with the following formula: (b) if the employer is a small employer for the purposes of the policy, in accordance with the following formula: where: P is the premium for the time being payable by the employer in respect of the period of insurance to which the policy relates, being: (a) except as provided by paragraph (b), the initial premium so payable in accordance with this Order, or (b) where adjustments are required to be made to that premium by reason of the operation of this Order, the premium so payable by reason of those adjustments. T is the basic tariff premium for the employer, calculated with respect to the period of insurance in accordance with Schedule 3. S is the experience adjustment factor for the employer determined with respect to the period of insurance in accordance with Schedule 4. E is the experience premium, if any, for the employer determined with respect to the period of insurance in accordance with Schedule 5. Q is the premiums adjustment contribution, if any, for the employer. D is the dust diseases contribution, if any, for the employer. I is the input tax credit adjustment, if any, for the employer determined with respect to the period of insurance in accordance with Schedule 9. M is the Mine Safety Fund premium adjustment, if any, for the employer calculated with respect to the period of insurance in accordance with Schedule 10. A is the apprentice incentive amount, if any, for the employer determined with respect to the period of insurance in accordance with Schedule 11. (2) However, where the basic tariff premium less the apprentice incentive amount [T − A] for a policy of insurance whose total premium is to be calculated under subclause (1) (a): (a) is less than $50,000 (or, if the period of insurance is to be less than 12 months, where the basic tariff premium less the apprentice incentive amount [T − A] would be less than $50,000 were that period of insurance to be 12 months), the experience adjusted premium is not to exceed one and a half times the amount of that basic tariff premium , and (b) is or exceeds $50,000 but is less than $150,000 (or, if the period of insurance is to be less than 12 months, where the basic tariff premium less the apprentice incentive amount [T − A] would be or would exceed $50,000 but would be less than $150,000 were that period of insurance to be 12 months), the experience adjusted premium is not to exceed twice the amount of that basic tariff premium , and (c) is or exceeds $150,000 but is less than $300,000 (or, if the period of insurance is to be less than 12 months, where the basic tariff premium less the apprentice incentive amount [T − A] would be or would exceed $150,000 but would be less than $300,000 were that period of insurance to be 12 months), the experience adjusted premium is not to exceed two and a half times the amount of that basic tariff premium . (3) However, if the employer is a member of a group: (a) subclause (2) does not apply, and (b) where the sum of the basic tariff premiums less the sum of apprentice incentive amounts [TG− AG] for all the members of that group: (i) is less than $50,000 (or, if the period of insurance is to be less than 12 months, where the sum of basic tariff premiums less the sum of apprentice incentive amounts [TG− AG] would be less than $50,000 were that period of insurance to be 12 months), the experience adjusted premium for the employer's policy is not to exceed one and a half times the amount of the employer's basic tariff premium , and (ii) is or exceeds $50,000 but is less than $150,000 (or, if the period of insurance is to be less than 12 months, where the sum of basic tariff premiums less the sum of apprentice incentive amounts [TG− AG] would be or would exceed $50,000 but would be less than $150,000 were that period of insurance to be 12 months), the experience adjusted premium for the employer's policy is not to exceed twice the amount of the employer's basic tariff premium , and (iii) is or exceeds $150,000 but is less than $300,000 (or, if the period of insurance is to be less than 12 months, where the sum of basic tariff premiums less the sum of apprentice incentive amounts [TG− AG] would be or would exceed $150,000 but would be less than $300,000 were that period of insurance to be 12 months), the experience adjusted premium for the employer's policy is not to exceed two and a half times the amount of the employer's basic tariff premium , where: AG is the sum of the sum of apprentice incentive amounts (if any) for all the members of the group calculated: (a) where the period of insurance to which the premium relates is 12 months—in accordance with Schedule 11 with respect to that period of insurance, or (b) where the period of insurance to which the premium relates is not 12 months—in accordance with Schedule 11 as if the policies to which the premiums relate had a period of insurance of 12 months. TG is the sum of the basic tariff premiums for all the members of the group calculated: (a) where the period of insurance to which the premium relates is 12 months—in accordance with Schedule 3 with respect to that period of insurance, or (b) where the period of insurance to which the premium relates is not 12 months—in accordance with Schedule 3 as if the policies to which the premiums relate had a period of insurance of 12 months.