{"id":"nsw:sl-2008-0157","name":"Insurance Premiums Order 2008–2009","slug":"insurance-premiums-order-2008-2009","collection":"regulation","jurisdiction":"nsw","status":"in_force","isInForce":true,"actNumber":"157 of 2008","makingDate":null,"administeringDepartment":null,"currentVersion":{"id":178395,"registerId":"nsw-nsw:sl-2008-0157-current","compilationNumber":null,"startDate":"2026-04-05","status":"InForce","reasons":null,"registeredAt":null},"sections":[{"sectionNumber":"1","sectionType":"section","heading":"Name of Order","content":"#### 1 Name of Order\n\n1 Name of Order\n\n> This Order is the [Insurance Premiums Order 2008–2009](/view/html/inforce/current/sl-2008-0157).","sortOrder":0},{"sectionNumber":"2","sectionType":"section","heading":"Commencement","content":"#### 2 Commencement\n\n2 Commencement\n\n> This Order commences at 4 pm on 30 June 2008.","sortOrder":1},{"sectionNumber":"3","sectionType":"section","heading":"Calculation of insurance premium payable by employer","content":"#### 3 Calculation of insurance premium payable by employer\n\n3 Calculation of insurance premium payable by employer\n\n> > (1) The premium payable by an employer for a policy of insurance is to be calculated by requiring the premium to be calculated for a period of insurance of not more than 12 months and:\n> > \n> > > (a) if the employer is a medium or large employer for the purposes of the policy, in accordance with the following formula:\n> > > \n> > > ![](/image/((Type%3D%22subordleg%22)%20AND%20(No%3D0157)%20AND%20(Year%3D2008)%20AND%20(%22Historical%20Document%22%3D0))/g1.gif)\n> > \n> > > (b) if the employer is a small employer for the purposes of the policy, in accordance with the following formula:\n> > > \n> > > ![](/image/((Type%3D%22subordleg%22)%20AND%20(No%3D0157)%20AND%20(Year%3D2008)%20AND%20(%22Historical%20Document%22%3D0))/g2.gif)\n> > \n> > where:\n> > \n> > P is the premium for the time being payable by the employer in respect of the period of insurance to which the policy relates, being:\n> > \n> > > (a) except as provided by paragraph (b), the initial premium so payable in accordance with this Order, or\n> > \n> > > (b) where adjustments are required to be made to that premium by reason of the operation of this Order, the premium so payable by reason of those adjustments.\n> > \n> > T is the basic tariff premium for the employer, calculated with respect to the period of insurance in accordance with Schedule 3.\n> > \n> > S is the experience adjustment factor for the employer determined with respect to the period of insurance in accordance with Schedule 4.\n> > \n> > E is the experience premium, if any, for the employer determined with respect to the period of insurance in accordance with Schedule 5.\n> > \n> > Q is the premiums adjustment contribution, if any, for the employer.\n> > \n> > D is the dust diseases contribution, if any, for the employer.\n> > \n> > I is the input tax credit adjustment, if any, for the employer determined with respect to the period of insurance in accordance with Schedule 9.\n> > \n> > M is the Mine Safety Fund premium adjustment, if any, for the employer calculated with respect to the period of insurance in accordance with Schedule 10.\n> > \n> > A is the apprentice incentive amount, if any, for the employer determined with respect to the period of insurance in accordance with Schedule 11.\n> \n> > (2) However, where the basic tariff premium less the apprentice incentive amount \\[T − A\\] for a policy of insurance whose total premium is to be calculated under subclause (1) (a):\n> > \n> > > (a) is less than $50,000 (or, if the period of insurance is to be less than 12 months, where the basic tariff premium less the apprentice incentive amount \\[T − A\\] would be less than $50,000 were that period of insurance to be 12 months), the experience adjusted premium ![](/image/((Type%3D%22subordleg%22)%20AND%20(No%3D0157)%20AND%20(Year%3D2008)%20AND%20(%22Historical%20Document%22%3D0))/g3.gif) is not to exceed one and a half times the amount of that basic tariff premium ![](/image/((Type%3D%22subordleg%22)%20AND%20(No%3D0157)%20AND%20(Year%3D2008)%20AND%20(%22Historical%20Document%22%3D0))/g4.gif) , and\n> > \n> > > (b) is or exceeds $50,000 but is less than $150,000 (or, if the period of insurance is to be less than 12 months, where the basic tariff premium less the apprentice incentive amount \\[T − A\\] would be or would exceed $50,000 but would be less than $150,000 were that period of insurance to be 12 months), the experience adjusted premium ![](/image/((Type%3D%22subordleg%22)%20AND%20(No%3D0157)%20AND%20(Year%3D2008)%20AND%20(%22Historical%20Document%22%3D0))/g5.gif) is not to exceed twice the amount of that basic tariff premium ![](/image/((Type%3D%22subordleg%22)%20AND%20(No%3D0157)%20AND%20(Year%3D2008)%20AND%20(%22Historical%20Document%22%3D0))/g6.gif) , and\n> > \n> > > (c) is or exceeds $150,000 but is less than $300,000 (or, if the period of insurance is to be less than 12 months, where the basic tariff premium less the apprentice incentive amount \\[T − A\\] would be or would exceed $150,000 but would be less than $300,000 were that period of insurance to be 12 months), the experience adjusted premium ![](/image/((Type%3D%22subordleg%22)%20AND%20(No%3D0157)%20AND%20(Year%3D2008)%20AND%20(%22Historical%20Document%22%3D0))/g7.gif) is not to exceed two and a half times the amount of that basic tariff premium ![](/image/((Type%3D%22subordleg%22)%20AND%20(No%3D0157)%20AND%20(Year%3D2008)%20AND%20(%22Historical%20Document%22%3D0))/g8.gif) .\n> \n> > (3) However, if the employer is a member of a group:\n> > \n> > > (a) subclause (2) does not apply, and\n> > \n> > > (b) where the sum of the basic tariff premiums less the sum of apprentice incentive amounts \\[TG− AG\\] for all the members of that group:\n> > > \n> > > > (i) is less than $50,000 (or, if the period of insurance is to be less than 12 months, where the sum of basic tariff premiums less the sum of apprentice incentive amounts \\[TG− AG\\] would be less than $50,000 were that period of insurance to be 12 months), the experience adjusted premium for the employer’s policy ![](/image/((Type%3D%22subordleg%22)%20AND%20(No%3D0157)%20AND%20(Year%3D2008)%20AND%20(%22Historical%20Document%22%3D0))/g9.gif) is not to exceed one and a half times the amount of the employer’s basic tariff premium ![](/image/((Type%3D%22subordleg%22)%20AND%20(No%3D0157)%20AND%20(Year%3D2008)%20AND%20(%22Historical%20Document%22%3D0))/g10.gif) , and\n> > > \n> > > > (ii) is or exceeds $50,000 but is less than $150,000 (or, if the period of insurance is to be less than 12 months, where the sum of basic tariff premiums less the sum of apprentice incentive amounts \\[TG− AG\\] would be or would exceed $50,000 but would be less than $150,000 were that period of insurance to be 12 months), the experience adjusted premium for the employer’s policy ![](/image/((Type%3D%22subordleg%22)%20AND%20(No%3D0157)%20AND%20(Year%3D2008)%20AND%20(%22Historical%20Document%22%3D0))/g11.gif) is not to exceed twice the amount of the employer’s basic tariff premium ![](/image/((Type%3D%22subordleg%22)%20AND%20(No%3D0157)%20AND%20(Year%3D2008)%20AND%20(%22Historical%20Document%22%3D0))/g12.gif) , and\n> > > \n> > > > (iii) is or exceeds $150,000 but is less than $300,000 (or, if the period of insurance is to be less than 12 months, where the sum of basic tariff premiums less the sum of apprentice incentive amounts \\[TG− AG\\] would be or would exceed $150,000 but would be less than $300,000 were that period of insurance to be 12 months), the experience adjusted premium for the employer’s policy ![](/image/((Type%3D%22subordleg%22)%20AND%20(No%3D0157)%20AND%20(Year%3D2008)%20AND%20(%22Historical%20Document%22%3D0))/g13.gif) is not to exceed two and a half times the amount of the employer’s basic tariff premium ![](/image/((Type%3D%22subordleg%22)%20AND%20(No%3D0157)%20AND%20(Year%3D2008)%20AND%20(%22Historical%20Document%22%3D0))/g14.gif) ,\n> > \n> > where:\n> > \n> > AG is the sum of the sum of apprentice incentive amounts (if any) for all the members of the group calculated:\n> > \n> > > (a) where the period of insurance to which the premium relates is 12 months—in accordance with Schedule 11 with respect to that period of insurance, or\n> > \n> > > (b) where the period of insurance to which the premium relates is not 12 months—in accordance with Schedule 11 as if the policies to which the premiums relate had a period of insurance of 12 months.\n> > \n> > TG is the sum of the basic tariff premiums for all the members of the group calculated:\n> > \n> > > (a) where the period of insurance to which the premium relates is 12 months—in accordance with Schedule 3 with respect to that period of insurance, or\n> > \n> > > (b) where the period of insurance to which the premium relates is not 12 months—in accordance with Schedule 3 as if the policies to which the premiums relate had a period of insurance of 12 months.","sortOrder":2},{"sectionNumber":"4","sectionType":"section","heading":"Discount available for premiums paid in full","content":"#### 4 Discount available for premiums paid in full\n\n4 Discount available for premiums paid in full\n\n> An employer is entitled to a discount of 3 percent on the initial premium payable by the employer for a policy of insurance if:\n> \n> > (a) the period of insurance to which the policy relates is 12 months, and\n> \n> > (b) the employer has paid the discounted amount of the premium in full by the date on which payment of the premium is due, and\n> \n> > (c) the employer has not elected to pay the premium by instalments, and\n> \n> > (d) the employer has notified the insurer, in accordance with the regulations, of the reasonable estimate of the wages that will be payable during the period of insurance.\n> \n> Note—\n> \n> Clause 130 of the [Workers Compensation Regulation 2003](/view/html/repealed/current/sl-2003-0628) requires an employer to notify the insurer concerned of the matter referred to in paragraph (d).","sortOrder":3},{"sectionNumber":"5","sectionType":"section","heading":"Recovery of excess from employer: section 160 of Act","content":"#### 5 Recovery of excess from employer: section 160 of Act\n\n5 Recovery of excess from employer: section 160 of Act\n\n> For the purposes of the definition of prescribed excess amount in section 160 (1) of the Act, the following excess amount is specified:\n> \n> > (a) if the employer concerned notified the relevant insurance scheme agent of the injury that led to the weekly compensation claim of the worker within 5 days of the employer becoming aware of it—$0,\n> \n> > (b) in all other cases—the lesser of the following:\n> > \n> > > (i) the amount that is the current weekly wage rate of the worker as determined by section 42 of the Act,\n> > \n> > > (ii) $1,594.00.\n> \n> Note—\n> \n> Under section 160 (2) of the Act, an employer is required to repay the prescribed excess amount to the insurer under a policy of insurance in respect of each weekly compensation claim that the insurer has paid under the policy. However, if the amount that the insurer has paid in respect of any such claim is less than the prescribed excess amount, the amount the employer must repay is that lesser paid amount.","sortOrder":4},{"sectionNumber":"6","sectionType":"section","heading":"Late payment prescribed interest rates: sections 170 (8) and 172 (5) of Act","content":"#### 6 Late payment prescribed interest rates: sections 170 (8) and 172 (5) of Act\n\n6 Late payment prescribed interest rates: sections 170 (8) and 172 (5) of Act\n\n> For the purposes of sections 170 (8) and 172 (5) of the Act, the prescribed rate of interest is the interest rate referred to in section 22 of the [Taxation Administration Act 1996](/view/html/inforce/current/act-1996-097).","sortOrder":5},{"sectionNumber":"7","sectionType":"section","heading":"Calculation of costs of individual claims and provisional payments of compensation: clauses 137 (2) (c) (ii) (C) and 138 (2) (c) (ii) (C) of Regulation","content":"#### 7 Calculation of costs of individual claims and provisional payments of compensation: clauses 137 (2) (c) (ii) (C) and 138 (2) (c) (ii) (C) of Regulation\n\n7 Calculation of costs of individual claims and provisional payments of compensation: clauses 137 (2) (c) (ii) (C) and 138 (2) (c) (ii) (C) of Regulation\n\n> For the purposes of clauses 137 (2) (c) (ii) (C) and 138 (2) (c) (ii) (C) of the [Workers Compensation Regulation 2003](/view/html/repealed/current/sl-2003-0628), the amount specified is $1,594.00.","sortOrder":6},{"sectionNumber":"8","sectionType":"section","heading":"Schedules form part of Order","content":"#### 8 Schedules form part of Order\n\n8 Schedules form part of Order\n\n> Schedules 1–13 form part of this Order.","sortOrder":7},{"sectionNumber":"9","sectionType":"section","heading":"Explanatory note","content":"#### 9 Explanatory note\n\n9 Explanatory note\n\n> The explanatory note does not form part of this Order.","sortOrder":8},{"sectionNumber":"Schedule 1","sectionType":"schedule","heading":"Interpretation","content":"# Schedule 1 Interpretation\n\nSchedule 1 Interpretation\n\n(Clause 8)","sortOrder":9},{"sectionNumber":"Schedule 2","sectionType":"schedule","heading":"Application","content":"# Schedule 2 Application\n\nSchedule 2 Application\n\n(Clause 8)","sortOrder":19},{"sectionNumber":"Schedule 3","sectionType":"schedule","heading":"Basic tariff premium","content":"# Schedule 3 Basic tariff premium\n\nSchedule 3 Basic tariff premium\n\n(Clause 3)","sortOrder":22},{"sectionNumber":"Schedule 4","sectionType":"schedule","heading":"Experience adjustment factor","content":"# Schedule 4 Experience adjustment factor\n\nSchedule 4 Experience adjustment factor\n\n(Clause 3)","sortOrder":25},{"sectionNumber":"Schedule 5","sectionType":"schedule","heading":"Experience premium","content":"# Schedule 5 Experience premium\n\nSchedule 5 Experience premium\n\n(Clause 3)","sortOrder":32},{"sectionNumber":"Schedule 6","sectionType":"schedule","heading":"Old experience premium formula","content":"# Schedule 6 Old experience premium formula\n\nSchedule 6 Old experience premium formula\n\n(Schedule 5, clause 4)","sortOrder":38},{"sectionNumber":"Schedule 7","sectionType":"schedule","heading":"Minimum premium","content":"# Schedule 7 Minimum premium\n\nSchedule 7 Minimum premium\n\n(Clause 8)","sortOrder":42},{"sectionNumber":"Schedule 8","sectionType":"schedule","heading":"Reduction of premium for employers of previously injured workers etc","content":"# Schedule 8 Reduction of premium for employers of previously injured workers etc\n\nSchedule 8 Reduction of premium for employers of previously injured workers etc\n\n(Clause 8)","sortOrder":44},{"sectionNumber":"Schedule 9","sectionType":"schedule","heading":"Input tax credit adjustment","content":"# Schedule 9 Input tax credit adjustment\n\nSchedule 9 Input tax credit adjustment\n\n(Clause 3)","sortOrder":50},{"sectionNumber":"Schedule 10","sectionType":"schedule","heading":"Mine Safety Fund premium adjustment","content":"# Schedule 10 Mine Safety Fund premium adjustment\n\nSchedule 10 Mine Safety Fund premium adjustment\n\n(Clause 3)","sortOrder":54},{"sectionNumber":"Schedule 11","sectionType":"schedule","heading":"Apprentice incentive scheme","content":"# Schedule 11 Apprentice incentive scheme\n\nSchedule 11 Apprentice incentive scheme\n\n(Clause 3)","sortOrder":56}],"analysis":{"flash_summary_failed":{"failed":true,"reason":"Unauthenticated. Configure AI_GATEWAY_API_KEY or use a provider module. Learn more: https://ai-sdk.dev/unauthenticated-ai-gateway","source":"analysis-cron"},"issue_detection":{"absurdities":[],"contradictions":[]},"summary":{"complexity_score":4,"scope_assessment":{"changed":false,"description":"Based on the available text, there is no indication that the scope of this order changed from its original intent. It appears to be a routine annual instrument setting workers' compensation insurance premium rates for a single financial year (2008–2009), consistent with standard regulatory practice in NSW. There is only one point-in-time version recorded (6 June 2008), suggesting no amendments were made."},"complexity_factors":["Key substantive content (Schedules 12 and 13 containing actual premium rate tables) is published externally in the Government Gazette rather than within the instrument itself, making it difficult to assess the full scope","Workers' compensation premium setting involves industry classification systems with many different rate categories across sectors","The order operates within a broader legislative framework (NSW workers' compensation legislation) that is not visible here","Limited text is available for analysis — much of the document provided is website navigation metadata rather than legislative content","Annual premium orders interact with historical rates and actuarial calculations that require specialist knowledge to interpret"],"plain_english_summary":"This NSW government order sets the workers’ compensation premium framework for the 2008–09 year, determining how much employers and their insurers must pay based on industry risk. It affects all NSW employers required to hold workers’ comp and the insurers who underwrite those policies. The order’s rate tables (Schedules 12 and 13) aren’t included here—they were published separately in the NSW Government Gazette on 6 June 2008—so the specific dollar rates must be consulted there."},"flash_summary":{"complexity_score":8,"scope_assessment":{"changed":false,"description":"The Order applies to policies taking effect between 4 pm 30 June 2008 and 4 pm 30 June 2009 and sets the detailed premium calculation regime for that period (Schedule 2 cl 1). It generally continues the existing premium‑setting scope (tariff, experience adjustments, contributions) and excludes specialised insurers from most provisions while still applying the prescribed excess rule to them (Schedule 2 cl 2). Definitions for groups and predecessors clarify application to aggregated employers (Schedule 1)."},"complexity_factors":["Multiple interlocking formulae across Clause 3 and Schedules 3–11 (basic tariff, experience adjustment S, experience premium E, input tax I, Mine Safety Fund M, apprentice incentive A).","Size-based classification and thresholds (small/medium/large employers) that change which formulas and caps apply (Schedule 1 cl 2; Clause 3(1)).","Caps and tiered limits on experience‑adjusted premiums tied to tariff bands ($50k, $150k, $300k) that alter calculations and can replace E in some formulas (Clause 3(2)–(3); Schedule 9).","Group aggregation rules and special treatments for members of corporate groups, departing members and predecessors (Clause 3(3); Schedule 4 cl 2; Schedule 5 cl 5; Schedule 1 defs).","Interplay with GST/input tax credits where employers must notify ITC entitlement and this feeds into premium discounts or adjustments (Schedule 9 cl 1–3; Schedule 9 cl 2 default to 100%).","Administrative and record‑keeping burdens (vehicle odometer methods in Schedules 1 cl 3 and Schedules 4–7 for continuous vs averaging methods; notice and returns requirements referenced to the Regulation).","Discretion and contingent administrative processes: Authority may develop criteria/guidelines and may reduce experience factors; Governor/Authority can vary ICCR or Industry rates by Gazette notice (Schedule 4 cl 5; Schedule 5 cl 1(1)(b)).","Multiple cross‑references to other Acts and Regulations (Workers Compensation Act 1987, Taxation Administration Act 1996, GST Act, Apprenticeship Act, Workers Compensation Regulation 2003) increasing implementation complexity.","Transitional provisions and legacy formulae retained for comparison or phased application (Schedules 5 cl 4; Schedule 6 old formula).","Numerous exceptions and substitutions (per capita rates, self‑insurer historic treatment, specialised insurer exemptions) that change application in specific cases (Schedule 3 cl 2; Schedule 2 cl 1–2; Schedule 5 cl 3)."],"plain_english_summary":"This Order sets the concrete rules and formulas for calculating NSW workers’ compensation insurance premiums for policies effective 4 pm 30 June 2008 to 4 pm 30 June 2009. It prescribes base tariff calculations, size-based experience loadings, an experience premium, tax and fund adjustments, a 3% prompt-payment discount, minimums and caps, and record‑keeping methods for allowances. It affects employers (small/medium/large and groups), licensed insurers and the Authority because it determines who pays what, what must be reported, and insurer premium calculation discretion."},"kimi_summary":{"content_quality":"ok","complexity_score":8,"scope_assessment":{"changed":false,"description":"This Order appears to maintain the established scope of annual insurance premiums orders under the Workers Compensation Act 1987. It continues the existing framework of experience rating, employer classifications, and incentive schemes without significant expansion beyond the traditional purpose of setting premium calculation methodology for a specific financial year."},"complexity_factors":["Multiple interdependent formulas with variables (P, T, S, E, Q, D, I, M, A) that reference other Schedules","13 separate Schedules with cross-references between them (e.g., Schedule 3 for basic tariff, Schedule 4 for experience adjustment, Schedule 5 for experience premium)","Nested conditional logic with multiple thresholds ($10,000, $50,000, $150,000, $300,000, $500,000) that trigger different calculations or caps","Different treatment for small, medium and large employers with complex definitions involving both premium amounts and wage totals","Special rules for employer groups that override individual employer calculations (clause 3(3), Schedule 4 clause 2, Schedule 9 clause 3)","Multiple methods for calculating motor vehicle allowances (continuous recording vs averaging methods with 12-week sampling periods)","Transitional provisions maintaining old formulas alongside new ones (Schedule 6 preserves old experience premium formula for comparison purposes)","Extensive defined terms (20+ definitions in Schedule 1 alone) including complex 'related corporation' tests with 7 sub-paragraphs and an exception","Per capita rates vs wage-based rates requiring parallel calculations in several Schedules","Mathematical formulas embedded as images that cannot be read as text, requiring visual interpretation","Multiple gazettal references for Table A and Table B (industry classifications and claims cost rates) not included in the Order text itself","Conditional caps on experience-adjusted premiums (1.5x, 2x, 2.5x multipliers) with different thresholds for individual employers vs groups"],"plain_english_summary":"This Order sets out how much New South Wales employers must pay for workers compensation insurance for the 2008–2009 financial year. It applies to most employers who are legally required to hold this insurance.\n\n**What it does:**\n- **Calculates premiums** using different formulas depending on whether an employer is \"small\", \"medium\" or \"large\" (based on wages and basic premium amounts).\n- **Rewards safe workplaces** through an \"experience rating\" system — employers with fewer and less costly worker injuries pay less, while those with poor claims history pay more (subject to caps).\n- **Provides discounts** for paying premiums upfront in full (3% discount) and for employing apprentices (wages paid to apprentices reduce the premium).\n- **Adjusts for GST** by giving discounts to employers who can claim input tax credits.\n- **Adds special levies** including contributions for dust diseases and mine safety.\n- **Sets excess amounts** that employers must repay to insurers for each workers compensation claim (ranging from $0 if injury is reported quickly, up to $1,594 or one week's wages).\n- **Sets minimum premiums** at $175 per policy.\n- **Encourages hiring injured workers** by excluding their wages from premium calculations for their first 12 months of employment.\n\n**Who it affects:**\n- All NSW employers required to hold workers compensation insurance (except specialised insurers exempted by regulation).\n- Insurers who must calculate and collect premiums according to these rules.\n\n**Why it matters:**\nThis Order directly determines how much businesses pay for mandatory workers compensation insurance. The experience rating system creates financial incentives for workplace safety, while the apprentice and injured worker incentives support employment policy objectives. The complex formulas ensure premiums reflect both industry risk and individual employer performance."}},"importantCases":[],"_links":{"self":"/api/acts/insurance-premiums-order-2008-2009","history":"/api/acts/insurance-premiums-order-2008-2009/history","analysis":"/api/acts/insurance-premiums-order-2008-2009/analysis","conflicts":"/api/acts/insurance-premiums-order-2008-2009/conflicts","importantCases":"/api/acts/insurance-premiums-order-2008-2009/important-cases","documents":"/api/acts/insurance-premiums-order-2008-2009/documents"}}