A UnionsNSW advertising campaign misleads the public about insurers’ role in the NSW WorkCover scheme, according to the Insurance Council of Australia (ICA).

The 30-second radio ads say that if the Government changes the scheme “the only people better off will be the insurance companies”.

A parliamentary committee is investigating the scheme and considering reforms (see other story) to reduce the deficit and promote a faster return to work after injury.

UnionsNSW, which represents 67 unions, is campaigning against recommendations to remove journeys to and from work from WorkCover and for earlier reductions in benefits.

ICA CEO Rob Whelan says the ads could give the impression that ICA members are insurers for the scheme. In fact, the seven insurers involved in the scheme are agents for NSW WorkCover and do not underwrite the scheme or set premiums.

Mr Whelan says WorkCover sets the guidelines to manage claims and that compensation paid to injured workers is prescribed under legislation.