An unprecedented High Court win for WorkCover Victoria will put even greater pressure on insurers in the state to rapidly pay compensation costs.

In a case brought against Esso Australia in 1989 by an injured catering worker subcontracted to the US-based resources giant, the Victorian Supreme Court has ordered Esso to pay Vic WorkCover $335,000 – the accumulated sum of compensation payments up to 1998.

Esso appealed the payment of interest on top of the claim, but the court found that under section 138 of the Accident Compensation Act, a WorkCover recovery claim can accrue interest from the date of issue to the day of judgement. 

Ms Jasmine Sussex, a spokesperson for WorkCover said: “Following this decision, the reality is that the interest meter is ticking throughout the litigation process.”