icare Updates Premium Model

icare is committed to putting customers’ needs at the heart of everything they do.

With this in mind, they’ve made some updates to their premium model to provide employers with greater stability and make things simpler.

Premium model updates

  1. Catastrophic claims contribution

    Fatality claims will no longer be included in the claims experience for your premium. However, your business will be required to pay a one-off contribution amount if a claim is made in relation to a workplace incident or injury if it results in the death of your worker.

    The contribution is based on a percentage of your Average Performance Premium (APP) and is capped at a $1,000 minimum and a $250,000 maximum.

    The contribution does not apply to uninsured employers with an uninsured liability scheme (UILS) claim, Loss, Prevention and Recovery (LPR) employers and exempt employers.

  2. Cap on experience premium changes

    There will be a 30% cap on experience premium changes for employers.

    The cap is only applied if the increase or decrease results from a change in your claims experience, or due to amendments in the premium methodology.

    If you qualify for capping this has been automatically applied to your premium.

  3. Adaptive maximum premium component

    In 2018/19 an adaptive maximum premium component has been introduced which will be applied to employers who have consistently high claims costs year-on-year.

    Employers that have had a claims performance rate (CPR) of 400% and above for more than one year will have an increased claims performance adjustment (CPA) rate.

  4. Changes to the Mine Safety Levy (MSL)
    The MSL for 2018/19 has increased to 1.0879% from 0.917%.
  5. Changes to the Dust Diseases Levy (DDL)
    The rates for the DDL schedules have stayed the same, however ten WIC’s have moved down a schedule and nine have moved up a schedule.
  6. Late Payment Fee (Prescribed Rate)
    The Late Payment Fee rate for 2018/19 has increased to 0.808% from 0.779% per month, compounded monthly.

Read more on the icare website.