Retired Supreme Court judge Robert McDougall will lead a “root and branch” examination of NSW state insurer icare as a scheduled five-year review is brought forward and broadened.

Treasurer Dominic Perrottet and Customer Services Minister Victor Dominello say the review will look at the operations, structure, finances, management and culture of the workers’ compensation scheme and report back to the NSW Government.

“In the past few weeks, a number of matters have been identified relating to the operation of icare and the workers’ compensation scheme and we need to ensure these are examined and any problems are properly addressed,” Mr Perrottet said.

icare CEO John Nagle resigned on Monday after questioning by a NSW Parliamentary Committee inquiry on governance matters and the performance of the schemes it oversees. State Insurance Regulatory Authority (SIRA) CEO Carmel Donnelly was also critical of Mr Nagle and icare during the hearing.

SIRA last year commissioned an independent compliance and performance review of icare, conducted by Janet Dore, and subsequently issued a 21-point plan for improvement.

Mr Dominello says Mr McDougall’s inquiry will be informed by the work commissioned by SIRA as well as concerns expressed since then.

“This review will look at issues raised in recent weeks and ensure we continue to improve the system and get the best result for injured workers,” Mr Dominello said.

Matters within its scope include the structure and sustainability of the Treasury Managed Fund and the Nominal Insurer schemes and the relationship between icare and the regulator.

It will also examine the operations, culture and governance of icare, including the effectiveness and accountability of the icare board.

Mr Perrottet says icare was formed to provide a robust, sustainable workers' compensation scheme that provides exceptional care and support, after previous arrangements had failed injured workers.

“icare represents the most significant transformation of workers’ compensation in this state and challenges were always expected on this journey,” he said.

“It is important the review be allowed to undertake a proper and thorough investigation and that due process is followed.”

Mr McDougall will be assisted in conducting the review by Treasury and the Department of Customer Service.