172Conduct of claim by Nominal Insurer

172 Conduct of claim by Nominal Insurer (1) The conduct by the Nominal Insurer of a claim for compensation under this Act shall be within the absolute and unfettered discretion of the Nominal Insurer, and no action, decision or omission of the Nominal Insurer in the conduct of the claim shall prejudice the Nominal Insurer's right of recovery of any money paid in respect of the claim. (2) Where the Nominal Insurer pays an amount under this Act in respect of its liability (including costs incurred or moneys expended in the conduct of the claim): (a) the amount is a debt due and payable by the employer to the Nominal Insurer; and (b) the Nominal Insurer has the right to subrogation in respect of all rights that the employer has against any person in relation to the incident which gave rise to the claim for compensation. (3) Where the Nominal Insurer pays an amount under this Act in respect of the liability of an employer and the payment arises out of the employer's failure to insure under this Act or the repealed Act

Return to Work Act 1986 143 against his or her liability or any other default of the employer in obtaining adequate insurance cover in respect of the liability, the employer shall, in addition to any other amount he or she is required under this Act to pay, pay to the Nominal Insurer an amount equal to the highest premium payment (calculated at rates payable at the time of the relevant compensable incident) for insurance to indemnify the employer for his or her liability to the worker or other workers employed by him or her for the period and to the extent that he or she did not have the required insurance cover.