The Victorian WorkCover Authority has announced a $1.2 billion annual profit for 2003/04, making it the first time in two decades the workplace injury insurance scheme has achieved full funding.

The scheme also cut premiums by 10% and boosted benefits for injured workers.

Chairman James MacKenzie says the result stemmed from a sustained strong performance from insurance operations, together with improved investment markets and favourable changes in economic factors, such as interest rates.

But don’t get too excited – it could all come down to exactly how revenue and expenses have been handled. Insurance Council of Australia Deputy CEO Dallas Booth says the annual report has not been published yet, “so it’s difficult to understand the true financial position until we’ve had a look at it”.