Rising Workcover premiums have always been a challenge for Local Governments. In tackling this issue Hunters Hill Council in New South Wales, in consultation with KMRM Risk Management Pty Ltd, developed the Hunters Hill Council Risk Management Program.
In the 1990s Council, like many other organisations, was confronted with rising workers’ compensation costs. Council was faced with premiums increasing at a rate well above the increase in rate revenue. The inevitable result was reduced services. In response, Council sought the advice and assistance of KMRM Risk Management Pty Ltd to not only reduce premiums but also ensure greater compliance with OH&S legislation and reduce the numbers of injuries to workers.
A risk management program was developed. This had a strong focus on management ownership of the program working under the following headings.
- Financial Planning with a Total Cost of Risk plan with monthly monitoring
- Injury prevention and OH&S
- Return to Work planning
- Claims Management Procedures.
Despite an increasing pay roll and ever increasing workers’ compensation rates, Council has been able to reduce premium costs by an average of 30 per cent. It continues to maintain its reduced premium costs.
Hunters Hill General Manager, Barry Smith, said that the control of workers’ compensation rests with line managers and not insurers.He said the involvement of managers also ensures open communication with the injured workers, making certain that undue hardship is not encountered and that injured workers have an expectation of being able to return to work with suitable duties as soon as possible.
For further information, contact Barry Smith on (02) 9879 9400.
