Insurance Industry Pushing for Change

Push for Change

From our experience at WCD – Workers’ Compensation Solutions, the states where the insurers carry the liability for premium as opposed to the government run schemes certainly have more ‘skin in the game’ and a greater interest in managing the premiums of customers more closely and with greater cooperation.

The nation’s largest insurance companies are pushing for the privatisation of state-run workers compensation and compulsory third party (CTP) insurance regimes.

States have varying degrees of private sector involvement in their workers’ compensation and third party insurance schemes and the market has been estimated to be worth $15 billion in gross written premiums.

Private companies presently take about $5 billion of that total and insurers staked their claim for greater involvement in the schemes in a series of submissions to the federal government’s inquiry into the financial services industry headed by David Murray.

Read the full article which was sourced from theage.com.au, Ruth Liew Aug 31st 2014.