The cost of doing business varies from one company to the next, but there are expenses that should appear in every organisation’s budget. One of those items is WorkCover. While the cost doesn’t go directly towards producing a product or providing a service, it is vital to a healthy, thriving operation. Workers’ compensation insurance is also compulsory for employers.
What Is WorkCover?
WorkCover is compulsory insurance that every employer in Australia is required to have for their business. It is workers’ compensation that helps financially protect employees when accidents happen as a result of their employment. It covers all types of employees, from full and part time workers to apprentices, casual employees, and those under a written or verbal contract.
When an employee becomes ill or injured on the job, WorkCover can provide compensation to cover medical and rehabilitation expenses as well as some personal items. It is typically paid out in either weekly increments or a lump sum in situations that involve permanent impairment.
What Happens When an Employer Doesn’t Pay for WorkCover?
It is illegal for a business to not pay for WorkCover for its employees. If an employer does not obtain cover within five business days of employing a new hire, they may be subject to expensive penalties.
Any claims made against an employer that did not take out workers’ compensation insurance will be managed by WorkCover. The employer may be required to pay for any damages incurred for the claim. If your employer does not offer WorkCover, contact Carew Lawyers today to learn more about your rights and options.