Page 2806 - Week 07 - Thursday, 3 July 2008

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(c) The review team’s final report was made available to the public on the Chief Minister’s Department website late in 2007.

(d) The scope of the review was to consider the policy and legislation supporting the ACT public sector workers’ compensation scheme.

(e) The terms of reference for the review were:

1 Comparative analysis of ACT premiums and those of other jurisdictions having particular regard to the differing profiles of each jurisdiction in terms of size, risk profile, etc.

2 Identification of the factors that contribute to the high premium rates in the ACT in light of the industry profiles.

3 An assessment of the claim costs by payment type and identification of the cost drivers in the scheme.

4 An analysis of legal costs, separately assessing costs for insurers / employers and those incurred on behalf of workers. This analysis should consider the nature of such costs (e.g. disbursements for expert reports, legal fees per se, etc.).

5 An analysis of the cost and effectiveness of the rehabilitation provisions within the Act, including an assessment of the level of compliance with the return to work requirements and the impact these requirements are having on duration rates/continuous rates and costs, and whether there are any identifiable trends from a medical perspective.

6 An analysis of the current and future viability of the ACT workers’ compensation scheme. This should include an analysis of the impact of employers leaving the premium pool to self-insure under the ACT scheme or Comcare. The impact of two workers’ compensation schemes (public and private sectors) operating in the ACT should also be considered.

7 Identification of sustainable benefit structure for the scheme including an analysis of the impact of common law on the scheme, noting the treatment of this issue in other jurisdictions.

8 A comparative analysis of definitions of wages, worker and injury across jurisdictions and a recommended approach that is appropriate for the ACT scheme.

9 An analysis of the extent to which the objectives of the 2002 amendments to the Act are being achieved and identification of any barriers that have emerged with regard to achievement of those objectives.

10 An analysis of the interaction between the workers’ compensation scheme and other insurance schemes, for example compulsory third party insurance.

11 Identification of elements of the Act and its administration that could be amended to achieve consistency with the workers’ compensation schemes of the Australian States and the Northern Territory.

12 Having regard to all of the above, changes to the current scheme design that would be likely to improve scheme performance.

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