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SA workers’ comp scheme cuts claim length

WorkCover SA says new initiatives for returning people to work have driven a 15% reduction in the number of income maintenance claims extending past two weeks.

The reforms also cut by 9% the number of claims passing the 13 and 26-week milestones in the second half of last year.

“We expect our mid-year actuarial valuation of the scheme’s outstanding claims liability next month will show growth in our unfunded liability has been halted,” CEO Greg McCarthy said. “Continuing these results will reduce the break-even premium rate and bring it closer to the 2.75% average rate currently being charged.”

WorkCover SA overhauled its approach because return-to-work rates in the state remained consistently below the national average, while costs were three times higher.

Changes include giving workers access to specialist job-seeking agencies and an early intervention program run though claims agents, to support small business.

Claims agents employ occupational therapists or physiotherapists with workplace rehabilitation skills, who visit sites within 72 hours of WorkCover SA being told of a likely longer-term injury or claim.

Mr McCarthy says legislative reform remains necessary to reduce the premium rate.