Reforms allowing all national companies to self-insure through the Federal Government’s Comcare workers’ compensation scheme do not go far enough, according to major broker Willis.

Last week the Coalition announced its plan to expand Comcare through the Safety, Rehabilitation and Compensation Legislation Amendment Bill, as part of the move to repeal thousands of “unnecessary” regulations.

If the bill passes, private corporations will have the option of operating under one set of national workers’ compensation arrangements, to avoid dealing with multiple jurisdictions and regimes.

But Willis Workplace Risk National Practice Leader Gary McMullen says the reforms will only benefit those that can self-insure.

He says a key recommendation from a 2004 Productivity Commission report was the introduction of a national workers’ compensation scheme that would provide both privately underwritten insurance and a self-insurance alternative for national employers.

“Transitioning to a self-insurance regime is subject to rigorous financial and governance criteria and requires significant investment to support a self-insurance licence,” he said.

“Many national employers will not meet the strict entry criteria and will continue to experience the operational inefficiencies that currently exist across Australia.

“Willis will continue to lobby… to ensure all national employers have the ability to take advantage of a national workers’ compensation scheme, be it privately underwritten or self-insurance, thus providing a true national solution with greater savings to the economy.”

About 30 licensed self-insurers currently operate in the Comcare scheme, including Australia Post, Border Express, NAB, Telstra and Thales Australia.

Under the reforms, the competition test will be scrapped and corporations will be eligible to apply to operate in the scheme if they are conducting a national business.

Unions argue state and territory schemes could face pressure from large organisations pulling out, resulting in higher premiums and reduced entitlements for injured workers.

The Insurance Council of Australia told insuranceNEWS.com.au it is looking forward to talking with the Federal Government about implementation and the implications for state and territory schemes.