The Act creates two new NSW agencies — Insurance and Care NSW (ICNSW) and the State Insurance Regulatory Authority (SIRA) — centralising stewardship of workers‑compensation and related scheme funds and regulator powers over insurers and claim‑service providers. It transfers functions, assets and staff from legacy bodies, gives Ministers and the Treasurer direction and investment powers, and lets SIRA compel data and set service rules (with penalties). This reshapes who manages scheme funds, who bears compliance costs and how claim services handle data.
The State Insurance and Care Governance Act 2015 is framework legislation that constitutes two distinct NSW Government agencies and allocates functions between them across the workers compensation, motor accidents, dust diseases, lifetime care, sporting injuries and self-insurance schemes.
Part 2 constitutes Insurance and Care NSW (ICNSW) as a body corporate and NSW Government agency (s 4(2)). Its board comprises the Secretary of the Treasury (or nominee), one employee-body nominee (Unions NSW), one employer-body nominee, and up to six other ministerial appointees chosen for relevant skills (s 5(2)–(3)). The board makes all decisions (s 6(1)), sets general policies, directs the chief executive and must report to the Minister (s 6(3)). The Minister may issue public-interest directions after consultation, which must be published in the Gazette with reasons (s 7). ICNSW’s principal objectives, inserted in 2023, are to maintain affordability and viability of the schemes, promote early treatment that optimises recovery and return to work, and ensure efficiency, transparency and accountability (s 9A).
ICNSW’s functions (s 10) are to act for the Nominal Insurer (cross-referencing Workers Compensation Act 1987 s 154C), provide shared services to “relevant authorities” (Dust Diseases Authority, Lifetime Care and Support Authority, Sporting Injuries Compensation Authority, NSW Self Insurance Corporation), monitor scheme performance, determine investment strategies for scheme funds (s 12), and prepare an annual statement of business intent that the Minister can comment on, modify or require to be resubmitted (ss 10A–11A, inserted 2024). The statement must be tabled in Parliament (s 11A) after removal of commercially sensitive material. ICNSW may delegate functions (s 13) and employs its own staff outside the Government Sector Employment Act 2013 (ss 14–16). Division 4 (ss 16A–16C, inserted 2015 No 54) allows the Treasurer to mandate external investment managers and the Minister to impose prudential standards.
Current sections
Direct links to the current provisions in State Insurance and Care Governance Act 2015.
This Act commences on a day or days to be appointed by proclamation.
3
Definitions
3 Definitions
3 Definitions
(1) In this Act—
function includes a power, authority or duty, and exercise a function includes perform a duty.
ICNSW Board means the board of directors of Insurance and Care NSW.
Insurance and Care NSW (or ICNSW) means Insurance and Care NSW constituted under this Act.
Nominal Insurer means the Workers Compensation Nominal Insurer established under section 154A of the Workers Compensation Act 1987.
SIRA Board means the Board of the State Insurance Regulatory Authority.
State Insurance Regulatory Authority (or SIRA) means the State Insurance Regulatory Authority constituted under this Act.
statement of business intent means a completed statement of business intent provided under section 10A(3)(c), as modified from time to time under that section.
workers compensation and motor accidents legislation means any of the following Acts and the instruments under those Acts—
(1) There is to be a board of directors of Insurance and Care NSW.
(2) The ICNSW Board is to consist of the following directors—
(a) the Secretary of the Treasury, or an officer of the Treasury nominated by the Secretary of the Treasury to represent the Secretary,
(b) the following directors appointed by the Minister (the appointed directors)—
(i) 1 director nominated by an employee body,
(ii) 1 director nominated by an employer body,
(iii) up to 6 other directors.
Note.
Schedule 1 contains provisions relating to the board of directors of ICNSW.
(3) The appointed directors are to be persons who, in the opinion of the Minister, together have skills and experience relevant to the administration of State insurance and care schemes and that will assist ICNSW in exercising its functions.
(4) A person who is an appointed member of the SIRA Board is ineligible to be appointed as a director of the ICNSW Board.
(5) In exercising his or her functions as a director of the ICNSW Board, the director is to exercise the degree of care and diligence that a reasonable person in a like position would exercise in the circumstances.
(6) If an employee body or employer body fails to nominate persons for the purposes of subsection (2)(b)(i) or (ii) within the period specified in a written request given to the body by the Minister—
(a) the Minister may appoint a director under that subparagraph, and
(b) the appointment is taken to have been made as if the director had been nominated under the subparagraph.
(7) In this section—
employee body means Unions NSW.
employer body means a body that represents employers in New South Wales.
s 5: Am 2023 No 16, Sch 1[1] [2]; 2024 No 88, Sch 1[2].
6
Role of ICNSW Board
6 Role of ICNSW Board
6 Role of ICNSW Board
(1) All decisions relating to the functions of ICNSW are to be made by or under the authority of the ICNSW Board.
(2) Any act, matter or thing done in the name of, or on behalf of, ICNSW by or under the authority of the ICNSW Board is taken to have been done by ICNSW.
(3) The ICNSW Board has the following functions—
(a) to give the Minister any information relating to the activities of ICNSW that the Minister requests,
(b) to keep the Minister informed of the general conduct of ICNSW’s activities and of any significant development in ICNSW’s activities,
(c) to determine general policies for ICNSW and to give directions to the chief executive of ICNSW in relation to the ICNSW’s activities,
(d) such other functions as are conferred or imposed on it by or under this or any other Act or law.
7
Power of Minister to give directions in public interest
7 Power of Minister to give directions in public interest
7 Power of Minister to give directions in public interest
(1) The Minister may give the ICNSW Board a written direction in relation to ICNSW if the Minister is satisfied that it is necessary to do so in the public interest.
(2) The ICNSW Board must ensure that the direction is complied with.
(3) Before giving a direction under this section, the Minister must—
(a) consult with the ICNSW Board, and
(b) request the Board to advise the Minister whether, in its opinion, complying with the direction would promote the objectives of ICNSW.
(4) The Minister is required to cause a notice to be published in the Gazette setting out the reasons why a direction was given under this section and why it is in the public interest that the direction was given. Any such notice is to be published in the Gazette within 1 month after the direction is given.
s 7: Am 2023 No 33, Sch 1[1].
8
Chief executive of ICNSW
8 Chief executive of ICNSW
8 Chief executive of ICNSW
(1) The ICNSW Board is to employ a person as the chief executive of ICNSW.
Note.
Schedule 2 contains provisions relating to the chief executive of ICNSW.
(1A) A person may be appointed as the chief executive of ICNSW only with the Minister’s approval.
(2) The chief executive of ICNSW is responsible for day to day management of the activities of ICNSW in accordance with the general policies and specific directions of the ICNSW Board.
s 8: Am 2024 No 88, Sch 1[3] [4].
9
Committees of ICNSW Board
9 Committees of ICNSW Board
9 Committees of ICNSW Board
(1) The ICNSW Board may establish committees to give advice and assistance to the ICNSW Board in connection with any particular matter or function of the ICNSW Board.
(2) A committee of the ICNSW Board must be chaired by a director of the ICNSW Board. It does not matter that some or all of the other members of the committee are not directors of the ICNSW Board.
(3) The procedure for the calling of meetings of a committee of the ICNSW Board and for the conduct of business at those meetings is to be as determined by the ICNSW Board or (subject to any determination of the ICNSW Board) by the committee.
Division 2
Objectives and functions of ICNSW
Division 2 Objectives and functions of ICNSW
Division 2 Objectives and functions of ICNSW
pt 2, div 2, hdg: Am 2023 No 33, Sch 1[2].
9A
Principal objectives of ICNSW
9A Principal objectives of ICNSW
9A Principal objectives of ICNSW
The principal objectives of ICNSW in exercising its functions are as follows—
(a) to maintain the affordability of insurance and the efficiency and viability of State insurance and compensation schemes established under Acts under which ICNSW exercises functions consistent with any objectives of the schemes,
(b) to promote early and appropriate treatment and care for injury and illness that optimises the recovery and return to work or other activities of persons injured at work or in motor accidents,
(c) to promote efficiency, transparency and accountability in the conduct of ICNSW’s operations.
(b) to provide services (including staff and facilities) for any relevant authority, or for any other person or body, in relation to any insurance or compensation scheme administered or provided by the relevant authority or that other person or body,
(c) to enter into agreements or arrangements with any person or body for the purposes of providing services of any kind or for the purposes of exercising the functions of the Nominal Insurer,
(d) to monitor the performance of the insurance or compensation schemes in respect of which it provides services,
(e) such other functions as are conferred or imposed on it by or under this or any other Act.
s 10: Am 2016 No 55, Sch 1.28; 2018 No 70, Sch 4.94; 2024 No 53, Sch 2.5.
10A
Preparation of annual statement of business intent
10A Preparation of annual statement of business intent
10A Preparation of annual statement of business intent
(1) ICNSW must—
(a) prepare a draft statement of business intent for each financial year of ICNSW, and
(b) submit the draft statement of business intent to the Minister not later than 1 month after the commencement of the financial year to which the statement relates.
(2) ICNSW must consider any comments on the draft statement of business intent made by the Minister if the comments are made within 2 months after the commencement of the financial year of ICNSW.
(3) ICNSW must—
(a) consult in good faith with the Minister about the comments made by the Minister about the draft statement of business intent, and
(b) make changes to the draft statement of business intent agreed between the Minister and ICNSW, and
(c) provide the completed statement of business intent within 3 months after the commencement of the financial year of ICNSW.
(4) The statement of business intent must not, before the statement is tabled in both Houses of Parliament, be published or otherwise made available to the public without the prior approval of the Minister and ICNSW.
(5) A statement of business intent may be modified at any time by ICNSW with the agreement of the Minister.
(6) If ICNSW, by written notice to the Minister, proposes a modification to the statement of business intent, ICNSW may, within 14 days after giving the written notice, make the modification unless the Minister, by written notice to ICNSW, directs ICNSW not to make the modification.
(7) The Minister may, from time to time, by written notice to ICNSW, direct ICNSW to amend and resubmit a statement of business intent in the way and time specified in the notice.
(8) Before giving a notice under subsection (7), the Minister must consult with ICNSW about the matters to be referred to in the notice.
(9) ICNSW must comply with a notice given under subsection (7).
s 10A: Ins 2024 No 88, Sch 1[5].
11
Contents of statement of business intent
11 Contents of statement of business intent
11 Contents of statement of business intent
(1) (Repealed)
(2) A statement of business intent is to set out the business plan of ICNSW over the financial year to which the statement relates and is to include the following—
(a) the objectives of ICNSW and its main undertakings,
(b) the nature and scope of the activities to be undertaken,
(c) the accounting policies to be applied in the financial reports of ICNSW,
(d) the performance targets and other measures by which the performance of ICNSW may be judged in relation to its stated objectives,
(e) any other matter required by the Minister.
(3) (Repealed)
s 11: Am 2024 No 88, Sch 1[6] [7].
11A
Tabling of statement of business intent and certain related documents
11A Tabling of statement of business intent and certain related documents
11A Tabling of statement of business intent and certain related documents
(1) The Minister must ensure the following documents are tabled in each House of Parliament within 14 sitting days after the Minister receives the document—
(a) a statement of business intent provided to the Minister under section 10A(3)(c),
(b) if a statement of business intent is modified under section 10A—a copy of the modification,
(c) if a notice is given under section 10A(6) directing ICNSW not to modify a statement of business intent—a copy of the notice,
(d) if a notice is given under section 10A(7) directing ICNSW to amend and resubmit a statement of business intent—a copy of the notice.
(2) If the Minister tables a document under subsection (1), the document must be accompanied by a statement about whether the statement of business intent embodies any changes made to the description of the main undertakings of ICNSW.
(3) Before a document referred to in subsection (1) is tabled, the Minister may remove any information of a commercially sensitive nature.
s 11A: Ins 2024 No 88, Sch 1[8].
12
Investment strategies for scheme funds
12 Investment strategies for scheme funds
12 Investment strategies for scheme funds
(1) ICNSW is to determine investment strategies for the investment of any scheme fund.
(2) ICNSW is to report to the Minister at least once in every period of 6 months on the investment performance of each scheme fund.
(3) ICNSW may enter into agreements or arrangements to determine investment strategies for the investment of any other insurance or compensation fund.
(4) Each of the following is a scheme fund for the purposes of this section—
Power of Treasurer to give directions to provide information
12A Power of Treasurer to give directions to provide information
12A Power of Treasurer to give directions to provide information
(1) The Treasurer may give ICNSW a written direction requiring ICNSW to provide the Treasurer with specified information, within a specified period, relating to the activities of ICNSW.
(2) ICNSW must comply with a direction under this section.
(3) The Treasurer may delegate to the Secretary of the Treasury the function of the Treasurer under this section.
s 12A: Ins 2023 No 33, Sch 1[4].
13
Delegation of ICNSW’s functions
13 Delegation of ICNSW’s functions
13 Delegation of ICNSW’s functions
(1) ICNSW may delegate to an authorised person any of its functions, other than this power of delegation.
(2) A delegate may sub-delegate to an authorised person any function delegated by ICNSW if the delegate is authorised in writing to do so by ICNSW.
(3) In this section—
authorised person means any of the following—
(a) the chief executive of ICNSW,
(b) a director of the ICNSW Board,
(c) a member of staff of ICNSW,
(d) a member of a committee of the ICNSW Board,
(e) a person or body prescribed by the regulations.
Division 3
Staff of ICNSW
Division 3 Staff of ICNSW
Division 3 Staff of ICNSW
14
Employment of staff
14 Employment of staff
14 Employment of staff
ICNSW is authorised to employ such staff as it requires to exercise its functions. The provisions of the Government Sector Employment Act 2013 relating to the employment of Public Service employees do not apply to the staff employed by ICNSW.
15
Salary, conditions etc of staff
15 Salary, conditions etc of staff
15 Salary, conditions etc of staff
(1) ICNSW may fix the salary, wages and conditions of employment of staff employed under this Division in so far as they are not fixed by or under any other law.
(2) ICNSW may enter into an agreement with any association or organisation representing a group or class of members of staff of ICNSW with respect to the conditions of employment (including salaries, wages or remuneration) of that group or class in so far as they are not fixed by or under any other law.
16
ICNSW senior executives
16 ICNSW senior executives
16 ICNSW senior executives
(1) In this section—
executive position means a position as a member of staff of ICNSW that—
(a) has a remuneration level greater than that for a clerk (grade 12) in the Public Service with general administrative duties, and
(b) is designated by ICNSW as an executive position.
senior executive means a member of staff of ICNSW holding an executive position.
(2) A senior executive is to be employed under a written contract of employment signed by the senior executive and the chief executive of ICNSW on behalf of ICNSW.
(3) ICNSW may terminate the employment of a senior executive at any time, for any or no stated reason and without notice.
(4) A senior executive whose employment is so terminated is entitled to any compensation provided in the contract of employment of the executive (and to no other compensation or entitlement for the termination of employment).
(5) The employment of a senior executive, or any matter, question or dispute relating to any such employment, is not an industrial matter for the purposes of the Industrial Relations Act 1996.
(6) Parts 6, 7 and 9 of Chapter 2 of the Industrial Relations Act 1996 do not apply to or in respect of the employment of a senior executive.
(7) Any State industrial instrument (whether made before or after the commencement of this section) does not have effect in so far as it relates to the employment of senior executives. This subsection does not prevent the provisions of any such industrial agreement being adopted by reference in the conditions of employment of a senior executive.
(8) No proceedings for an order in the nature of prohibition, certiorari or mandamus or for a declaration or injunction or for any other relief, lie in respect of a matter that is declared by this section not to be an industrial matter for the purposes of the Industrial Relations Act 1996.
(9) In subsections (5)–(8), a reference to the employment of a senior executive is a reference to—
(a) the appointment of, or failure to appoint, a person as such an executive, or
(b) the removal, retirement, termination of employment or other cessation of office of a senior executive, or
(c) any disciplinary proceedings or disciplinary action taken against a senior executive, or
(d) the remuneration or other conditions of employment of a senior executive.
Division 4
Investment management of scheme funds
Division 4 Investment management of scheme funds
Division 4 Investment management of scheme funds
pt 2, div 4 (ss 16A–16C): Ins 2015 No 54, Sch 1.
16A
Definitions
16A Definitions
16A Definitions
In this Division—
investment management services include (but are not limited to) the following—
(a) managing investments for the whole or part of a scheme fund,
(b) advising on investments and investment strategies and other related strategies for the whole or part of a scheme fund,
(c) services in relation to the custody of the assets and securities of the whole or part of a scheme fund.
investment manager means a person who provides investment management services for a scheme fund or part of a scheme fund, and includes any other person engaged by that person to provide all or any of those services.
scheme fund means a fund referred to in section 12 (4).
scheme fund investment strategy means an investment strategy for a scheme fund determined by ICNSW under section 12.
pt 2, div 4 (ss 16A–16C): Ins 2015 No 54, Sch 1.
16B
Investment managers for scheme funds
16B Investment managers for scheme funds
16B Investment managers for scheme funds
(1) The Treasurer may, by order in writing given to the authority responsible for administering a scheme fund, require—
(a) the investment of the whole or any part of the scheme fund to be managed by one or more investment managers approved by the Treasurer (a mandated investment manager), and
(b) the responsible authority to enter into an agreement or arrangement with any such mandated investment manager with respect to investment management services for the whole or part of the scheme fund subject to the terms and conditions set out or described in the order.
(2) Subsection (1) does not prevent the responsible authority from entering into an agreement or arrangement containing additional terms or conditions that are not inconsistent with the terms and conditions set out or described in the order or any scheme fund investment strategy.
(3) The Treasurer must consult with the responsible authority and the proposed mandated investment manager before giving an order under this section.
(4) The order may be given only with the approval of the Minister administering the provisions of the Act under which the scheme fund concerned is established (the relevant Act).
(5) The terms and conditions must not be inconsistent with any scheme fund investment strategy for the scheme fund or the relevant Act.
(6) A mandated investment manager (or an investment manager engaged by the mandated investment manager to provide relevant services)—
(a) may invest the whole or part of the scheme fund concerned only in any investment that is authorised or permitted by or under the relevant Act or any other applicable legislation, and
(b) must carry out the investment management services concerned subject to the applicable terms and conditions and consistently with any relevant scheme fund investment strategy.
(7) An order under this section takes effect on the day specified in the order.
pt 2, div 4 (ss 16A–16C): Ins 2015 No 54, Sch 1.
16C
Prudential standards or reporting and auditing requirements
16C Prudential standards or reporting and auditing requirements
16C Prudential standards or reporting and auditing requirements
(1) The Minister may, by order published in the Gazette, declare that prudential standards, or reporting and auditing requirements, specified or described in the order are standards or requirements that apply to an authority responsible for the administration of a scheme fund and ICNSW in the exercise of any functions in relation to that fund described in the order.
(2) Before making an order under this section, the Minister is to consult ICNSW on the proposed standards or requirements.
(3) An order under this section takes effect on the day specified in the order.
(4) A responsible authority, ICNSW and any person carrying out a function on behalf of the responsible authority must comply with any standard or requirement applied under this section to the exercise of a function in relation to a scheme fund.
pt 2, div 4 (ss 16A–16C): Ins 2015 No 54, Sch 1.
Part 3
State Insurance Regulatory Authority
Part 3 State Insurance Regulatory Authority
Part 3 State Insurance Regulatory Authority
17
Constitution of State Insurance Regulatory Authority
17 Constitution of State Insurance Regulatory Authority
17 Constitution of State Insurance Regulatory Authority
(1) There is constituted by this Act a body corporate with the corporate name of the State Insurance Regulatory Authority.
(2) SIRA is, for the purposes of any Act, a NSW Government agency.
(1) There is to be a Board of the State Insurance Regulatory Authority.
(2) The SIRA Board is to consist of the following members—
(a) the chief executive of SIRA,
(b) the Secretary of the Department of Finance, Services and Innovation or a person nominated by the Secretary,
(c) up to 5 other members appointed by the Minister (the appointed members).
Note.
Schedule 3 contains provisions relating to the members and procedure of the SIRA Board.
(3) The appointed members are to be persons who, in the opinion of the Minister, have skills and experience relevant to matters arising under the workers compensation and motor accidents legislation and the Home Building Act 1989 and that will assist SIRA in attaining its objectives.
(4) A person who is an appointed director of the ICNSW Board is ineligible to be appointed as a member of the SIRA Board.
(5) The SIRA Board has the following functions—
(a) to determine the general policies and strategic direction of SIRA,
(b) to oversee the performance of the activities of SIRA,
(c) to give the Minister any information relating to the activities of SIRA that the Minister requests,
(d) to keep the Minister informed of the general conduct of SIRA’s activities and of any significant development in SIRA’s activities,
(e) such other functions as are conferred or imposed on it by or under this or any other Act or law.
s 18: Am 2015 No 58, Sch 2.27; 2017 No 28, Sch 2.6 [1]; 2018 No 62, Sch 7.1.
19
Chief executive of SIRA
19 Chief executive of SIRA
19 Chief executive of SIRA
(1) The chief executive of SIRA is the person employed in the Department of Finance, Services and Innovation as the chief executive of SIRA.
(2) The affairs of SIRA are to be managed and controlled by the chief executive in accordance with the general policies and strategic direction determined by the SIRA Board.
(3) Any act, matter or thing done in the name of, or on behalf of, SIRA by the chief executive is taken to have been done by SIRA.
20
Ministerial directions
20 Ministerial directions
20 Ministerial directions
(1) The Minister may give SIRA a written direction with respect to the functions of SIRA if the Minister is satisfied that it is necessary to do so in the public interest.
(2) SIRA must ensure that the direction is complied with.
(3) SIRA must include in its annual report particulars of each direction given under this section during the year to which the report relates.
(4) Except as provided by this section, SIRA is not, in the exercise of its functions, subject to the control and direction of the Minister.
Section 59 of the Government Sector Employment Act 2013 provides that the persons so employed (or whose services SIRA makes use of) may be referred to as members of staff of SIRA. Section 47A of the Constitution Act 1902 precludes SIRA from employing staff.
22
Committees of SIRA Board
22 Committees of SIRA Board
22 Committees of SIRA Board
(1) The SIRA Board may establish committees to give advice and assistance to the SIRA Board in connection with any particular matter or function of the SIRA Board.
(2) A committee of the SIRA Board must be chaired by a member of the SIRA Board. It does not matter that some or all of the other members of a committee are not members of the SIRA Board.
(3) The procedure for the calling of meetings of a committee of the SIRA Board and for the conduct of business at those meetings is to be as determined by the SIRA Board or (subject to any determination of the SIRA Board) by the committee.
23
Principal objectives of SIRA
23 Principal objectives of SIRA
23 Principal objectives of SIRA
The principal objectives of SIRA in exercising its functions are as follows—
(a) to promote the efficiency and viability of the insurance and compensation schemes established under the workers compensation and motor accidents legislation and the Home Building Act 1989 and the other Acts under which SIRA exercises functions,
(b) to minimise the cost to the community of workplace injuries and injuries arising from motor accidents and to minimise the risks associated with such injuries,
(c) to promote workplace injury prevention, effective injury management and return to work measures and programs,
(d) to ensure that persons injured in the workplace or in motor accidents have access to treatment that will assist with their recovery,
(e) to provide for the effective supervision of claims handling and disputes under the workers compensation and motor accidents legislation and the Home Building Act 1989,
(f) to promote compliance with the workers compensation and motor accidents legislation and the Home Building Act 1989.
s 23: Am 2017 No 28, Sch 2.6 [1].
24
Functions of SIRA
24 Functions of SIRA
24 Functions of SIRA
(1) SIRA has such functions as are conferred or imposed on it by or under this or any other Act (including under the workers compensation and motor accidents legislation and the Home Building Act 1989).
(2) The functions of SIRA also include the following—
(a) to collect and analyse information on prudential matters in relation to insurers under the workers compensation and motor accidents legislation and the Home Building Act 1989,
(b) to encourage and promote the carrying out of sound prudential practices by insurers under that legislation and the Home Building Act 1989,
(c) to evaluate the effectiveness and carrying out of those practices.
(3) In this section, a reference to an insurer under the Home Building Act 1989 includes a reference to the provider of an alternative indemnity product under that Act.
s 24: Am 2017 No 28, Sch 2.6 [1] [2].
25
Investigation and report by IPART
25 Investigation and report by IPART
25 Investigation and report by IPART
(1) The Independent Pricing and Regulatory Tribunal (IPART) may, at the request of the Minister, conduct an investigation and report to the Minister on such matters relating to the operational costs and expenses of SIRA as are determined by the Minister.
(2) Except as provided by the regulations, Division 7 of Part 3 of the Independent Pricing and Regulatory Tribunal Act 1992 applies to an investigation and report by IPART under this section in the same way as it applies to an investigation or report under that Part.
26
Delegation
26 Delegation
26 Delegation
(1) SIRA may delegate to an authorised person any of its functions, other than this power of delegation.
(2) The chief executive of SIRA may delegate to an authorised person any of the chief executive’s functions under this Act, other than this power of delegation.
(3) A delegate may sub-delegate to an authorised person any function delegated by SIRA or the chief executive if the delegate is authorised in writing to do so by SIRA or the chief executive.
(4) In this section—
authorised person means any of the following—
(a) a member of staff of SIRA,
(b) a member of the SIRA Board or a committee of the SIRA Board,
(c) a person or body prescribed by the regulations.
26A
Definitions
26A Definitions
26A Definitions
In this Division—
data means facts, statistics, instructions, concepts or other information in a form capable of being communicated, analysed or processed, whether by an individual or by a computer or other automated means.
relevant service means a service prescribed by the regulations provided in connection with a claim under the workers compensation and motor accidents legislation.
relevant service provider means a person, organisation or body providing a relevant service, but does not include a person, organisation or body, or class of persons or bodies, prescribed by the regulations.
s 26A: Ins 2022 No 25, Sch 3.3[1].
26B
Relationship of Division with other law
26B Relationship of Division with other law
26B Relationship of Division with other law
(1) The provisions of this Division apply despite anything to the contrary in another Act or law.
(2) Without limiting subsection (1), a relevant service provider is authorised and required to comply with a direction given under this Division despite anything to the contrary in the other Act or law.
s 26B: Ins 2022 No 25, Sch 3.3[1].
26C
Direction to provide data to SIRA
26C Direction to provide data to SIRA
26C Direction to provide data to SIRA
(1) SIRA may give a written direction to a relevant service provider requiring the provider to provide SIRA with specified data within a specified period concerning relevant services the provider provides.
(2) A relevant service provider must comply with a direction given to the provider under this section.
Directions concerning relevant services by relevant service providers
26D Directions concerning relevant services by relevant service providers
26D Directions concerning relevant services by relevant service providers
(1) SIRA may give 1 or more of the following written directions to a relevant service provider—
(a) a direction requiring the provider to take specified action, or provide specified information, concerning specified relevant services,
(b) a direction requiring the provider to provide specified relevant services for the purposes of the workers compensation and motor accidents legislation in a specified way,
(c) a direction requiring the provider not to provide specified relevant services for the purposes of the workers compensation and motor accidents legislation,
(d) a direction requiring the provider not to provide any relevant services for the purposes of the workers compensation and motor accidents legislation.
(2) Without limiting subsection (1), a direction under this section may extend to all of the workers compensation and motor accidents legislation or be limited to specified Acts or instruments, or specified provisions of Acts or instruments, forming part of the legislation.
(3) A relevant service provider must comply with a direction given to the provider under this section.
Maximum penalty—
(a) for a corporation—500 penalty units, or
(b) for another person—100 penalty units.
(4) The regulations may make provision for or concerning the following—
(a) the giving and form of directions under this section,
(b) the circumstances in which directions may be given under this section,
(c) the periods during which directions under this section have effect, including providing for directions of indefinite duration,
(d) standard provisions for directions under this section, including enabling standard provisions to be incorporated in directions by reference rather than set out in the directions,
(e) the revocation and variation of directions given under this section,
(f) appeal or review procedures for directions given under subsection (1)(a) or (b).
Note—
Section 26F allows a relevant service provider to apply to the Civil and Administrative Tribunal for an administrative review under the Administrative Decisions Review Act 1997 of a direction under subsection (1)(c) or (d).
s 26D: Ins 2022 No 25, Sch 3.3[1].
26E
Guidelines for provision of relevant services by relevant service providers
26E Guidelines for provision of relevant services by relevant service providers
26E Guidelines for provision of relevant services by relevant service providers
(1) SIRA may issue guidelines concerning the provision of relevant services by relevant service providers.
(2) Without limiting subsection (1)—
(a) the guidelines may extend to all of the workers compensation and motor accidents legislation or be limited to specified Acts or instruments, or specified provisions of Acts or instruments, forming part of the legislation, and
(b) the provisions of the Interpretation Act 1987, section 42(2) apply to the guidelines in the same way as they apply to statutory rules.
(3) SIRA may, wholly or partly, amend, revoke or replace the guidelines.
(4) The guidelines may adopt the provisions of other publications, whether with or without modification or addition and whether in force at a particular time or from time to time.
(5) Unless the guidelines provide otherwise, the guidelines prevail to the extent of an inconsistency between them and guidelines made under the workers compensation and motor accidents legislation.
(6) The guidelines must be published in the Gazette.
(7) The guidelines take effect on—
(a) the day the guidelines are published, or
(b) if a later day is specified in the guidelines—the later day.
s 26E: Ins 2022 No 25, Sch 3.3[1]. Am 2026 No 2, Sch 1.6.
26F
Review of directions by NCAT
26F Review of directions by NCAT
26F Review of directions by NCAT
A relevant service provider given a direction under section 26D(1)(c) or (d) may apply to the Civil and Administrative Tribunal for an administrative review under the Administrative Decisions Review Act 1997 of the direction.
s 26F: Ins 2022 No 25, Sch 3.3[1].
26G
Register of directed service providers
26G Register of directed service providers
26G Register of directed service providers
(1) SIRA may keep a register of relevant service providers given directions under section 26D.
(2) The regulations may make provision for or concerning the following—
(a) the form of the register,
(b) information to be recorded on the register,
(c) the updating or removal of information on the register,
(d) the provision of access to, or the publication of information contained on, the register.
(3) SIRA, or a person acting under the direction of SIRA, does not incur liability for anything done, or omitted to be done, in good faith in connection with keeping the register or publishing information contained on the register.
(4) Without limiting subsection (3), a person does not incur liability for publishing in good faith—
(a) information contained on the register, or
(b) a fair report or summary of information contained on the register.
(5) In this section—
liability includes liability for defamation.
s 26G: Ins 2022 No 25, Sch 3.3[1].
Part 4
Miscellaneous
Part 4 Miscellaneous
Part 4 Miscellaneous
27
Supervision of operation of insurance and compensation schemes by Parliamentary Committee
27 Supervision of operation of insurance and compensation schemes by Parliamentary Committee
27 Supervision of operation of insurance and compensation schemes by Parliamentary Committee
(1) As soon as practicable after the commencement of this section and the commencement of the first session of each Parliament, a committee of the Legislative Council is to be designated by resolution of the Legislative Council as the designated committee for the purposes of this section.
(2) The resolution of the Legislative Council is to specify the terms of reference of the committee so designated which are to relate to the supervision of the operation of the insurance and compensation schemes established under the workers compensation and motor accidents legislation.
(3) On the commencement of this section, the Parliamentary Committee designated under section 11 of the Safety, Return to Work and Support Board Act 2012 (as in force immediately before its repeal by this Act) is taken to be the designated committee under this section.
(4) In this section, the workers compensation and motor accidents legislation includes the following—
(1) A matter or thing done or omitted to be done by—
(a) ICNSW or SIRA, or
(b) the ICNSW Board or the SIRA Board (or a committee of such a board), or
(c) a director of the ICNSW Board or a member of the SIRA Board, or
(d) the chief executive of ICNSW or SIRA, or
(e) a member of staff of ICNSW or SIRA, or
(f) a person acting under the direction of ICNSW, SIRA, the ICNSW Board, the SIRA Board, a director or member, or a committee, of any such board or the chief executive of ICNSW or SIRA,
does not, if the matter or thing was done or omitted to be done in good faith for the purposes of executing this Act or any other Act, subject any director or member of the board or committee concerned, the chief executive, the member of staff or the person so acting personally to any action, liability, claim or demand.
(2) A reference in subsection (1) to the execution of this Act includes a reference to the execution of the provisions of any other Act that confers or imposes functions on ICNSW or SIRA.
29
Seal of authorities and recovery of money by authorities
29 Seal of authorities and recovery of money by authorities
29 Seal of authorities and recovery of money by authorities
(1) The seal of an authority is to be kept by the chief executive of the authority and may be affixed to a document only—
(a) in the presence of the chief executive of the authority or a member of staff of the authority who is authorised for the purpose by the chief executive of the authority, and
(b) with an attestation by the signature of the chief executive or that member of staff of the fact of the affixing of the seal.
(2) Any charge, fee or money due to an authority, or to the Crown in respect of the activities of the authority, may be recovered by the authority as a debt in a court of competent jurisdiction if no express provision is otherwise made for its recovery.
(3) In this section, authority means ICNSW or SIRA.
29A
Nature of proceedings for offences
29A Nature of proceedings for offences
29A Nature of proceedings for offences
Proceedings for an offence under this Act or the regulations may be dealt with summarily before the Local Court.
s 29A: Ins 2022 No 25, Sch 3.3[2].
29B
Penalty notices
29B Penalty notices
29B Penalty notices
(1) An authorised officer may issue a penalty notice to a person if it appears to the officer the person has committed a penalty notice offence.
(2) A penalty notice offence is an offence against this Act or the regulations prescribed by the regulations as a penalty notice offence.
(3) The Fines Act 1996 applies to a penalty notice issued under this section.
Note—
The Fines Act 1996 provides that, if a person issued with a penalty notice does not wish to have the matter determined by a court, the person may pay the amount specified in the notice and is not liable to further proceedings for the alleged offence.
(4) The amount payable under a penalty notice issued under this section is the amount prescribed for the alleged offence by the regulations, not exceeding the maximum amount of penalty that could be imposed for the offence by a court.
(5) This section does not limit the operation of other provisions of, or made under, this Act or another Act relating to proceedings that may be taken for offences.
(6) In this section—
authorised officer means a person, or a person belonging to a class of persons, prescribed by the regulations to be an authorised officer.
s 29B: Ins 2022 No 25, Sch 3.3[2].
30
Regulations
30 Regulations
30 Regulations
(1) The Governor may make regulations, not inconsistent with this Act, for or with respect to any matter that by this Act is required or permitted to be prescribed or that is necessary or convenient to be prescribed for carrying out or giving effect to this Act.
(2) The regulations may adopt the provisions of other publications, whether with or without modification or addition and whether in force at a particular time or from time to time.
s 30: Am 2022 No 25, Sch 3.3[3].
31
31
31 (Repealed)
32
Review of Act
32 Review of Act
32 Review of Act
(1) The Minister is to review this Act to determine whether the policy objectives of the Act remain valid and whether the terms of the Act remain appropriate for securing those objectives.
(2) The review is to be undertaken as soon as possible after the period of 5 years from the date of assent to this Act.
(3) A report on the outcome of the review is to be tabled in each House of Parliament within 12 months after the end of the period of 5 years.
Schedule 1
Provisions relating to directors of ICNSW Board
Schedule 1 Provisions relating to directors of ICNSW Board
Schedule 1 Provisions relating to directors of ICNSW Board
(Section 5)
Schedule 2
Provisions relating to chief executive of ICNSW
Schedule 2 Provisions relating to chief executive of ICNSW
Schedule 2 Provisions relating to chief executive of ICNSW
(Section 8)
Schedule 3
Provisions relating to members and procedure of SIRA Board
Schedule 3 Provisions relating to members and procedure of SIRA Board
Schedule 3 Provisions relating to members and procedure of SIRA Board
(Section 18)
Schedule 4
Savings, transitional and other provisions
Schedule 4 Savings, transitional and other provisions
Schedule 4 Savings, transitional and other provisions
sch 4: Am 2023 No 16, Sch 1[3]; 2024 No 88, Sch 1[9].
Schedule 5
Schedule 5
Schedules 5–15 (Repealed)
sch 5: Am 1987 No 15, sec 30C. Rep 2016 No 60, Sch 3, cl 3.
schs 6–15: Rep 1987 No 15, sec 30C.
Source text: opening excerpt
Sourced from legislation.nsw.gov.au, CC BY 4.0.
Part 1 Preliminary
Part 1 Preliminary
Part 1 Preliminary
1 Name of Act
1 Name of Act
1 Name of Act
This Act is the State Insurance and Care Governance Act 2015.
2 Commencement
2 Commencement
2 Commencement
This Act commences on a day or days to be appointed by proclamation.
3 Definitions
3 Definitions
3 Definitions
(1) In this Act—
function includes a power, authority or duty, and exercise a function includes perform a duty.
ICNSW Board means the board of directors of Insurance and Care NSW.
Insurance and Care NSW (or ICNSW) means Insurance and Care NSW constituted under this Act.
Nominal Insurer means the Workers Compensation Nominal Insurer established under section 154A of the Workers Compensation Act 1987.
SIRA Board means the Board of the State Insurance Regulatory Authority.
State Insurance Regulatory Authority (or SIRA) means the State Insurance Regulatory Authority constituted under this Act.
statement of business intent means a completed statement of business intent provided under section 10A(3)(c), as modified from time to time under that section.
workers compensation and motor accidents legislation means any of the following Acts and the instruments under those Acts—
(a) Workplace Injury Management and Workers Compensation Act 1998,
The Interpretation Act 1987 contains definitions and other provisions that affect the interpretation and application of this Act.
Part 3 constitutes the State Insurance Regulatory Authority (SIRA) as a separate body corporate and NSW Government agency (s 17). Its board includes the SIRA chief executive, the Secretary of the Department of Finance, Services and Innovation (or nominee) and up to five appointed members chosen for skills relevant to workers compensation, motor accidents and home building legislation (s 18). The chief executive, employed in the public service, manages day-to-day operations under board policies (s 19). The Minister may issue public-interest directions (s 20), which must be noted in SIRA’s annual report. SIRA’s principal objectives (s 23) are to promote scheme efficiency and viability, minimise community costs and injury risks, promote prevention and return-to-work programs, ensure access to treatment, supervise claims and disputes, and promote compliance. Its functions (s 24) include prudential supervision of insurers, data collection on prudential matters, and all functions conferred by the workers compensation and motor accidents legislation and the Home Building Act 1989.
Division 3 of Part 3 (inserted 2022 No 25) gives SIRA intrusive powers over “relevant service providers” (health, rehabilitation and other providers prescribed by regulation). SIRA may direct them to supply data (including personal and health information notwithstanding privacy legislation) (s 26C), issue compliance directions ranging from required actions to outright prohibition on providing services under the schemes (s 26D), and issue guidelines that prevail over inconsistent guidelines made under other Acts (s 26E). Non-compliance carries penalties of 500 penalty units for corporations or 100 for individuals (ss 26C(2), 26D(3)). Affected providers may seek NCAT administrative review of prohibition directions (s 26F). SIRA may maintain a public register of directed providers with defamation immunity for good-faith publication (s 26G).
Part 4 provides miscellaneous machinery: parliamentary committee supervision (s 27), exclusion of personal liability for good-faith acts (s 28), seal and debt-recovery rules (s 29), summary proceedings before the Local Court (s 29A), penalty notices (s 29B), regulation-making power that can adopt external publications (s 30), and a five-year statutory review (s 32). Schedules 1–3 detail board and chief-executive appointment, removal, disclosure and meeting procedures. Schedule 4 contains extensive transitional provisions that abolished WorkCover, the Motor Accidents Authority and the Safety, Return to Work and Support Board and re-allocated their assets, liabilities, proceedings and employees.
In short, the Act splits operational and investment functions (ICNSW) from regulatory, prudential and compliance functions (SIRA), subjects both to ministerial oversight and parliamentary scrutiny, and equips SIRA with strong coercive powers over service providers while protecting decision-makers from personal suit.
Who it affects
The Act directly constitutes and binds two statutory corporations: ICNSW and SIRA. Their boards, chief executives, committees and staff are subject to its governance, conflict, delegation and liability rules.
It indirectly but materially affects:
Insurers authorised under the workers compensation and motor accidents legislation and the Home Building Act 1989, who are subject to SIRA’s prudential supervision, data-collection and compliance functions (s 24(2)–(3)).
Relevant authorities that receive services from ICNSW: the Workers Compensation (Dust Diseases) Authority, Lifetime Care and Support Authority, Sporting Injuries Compensation Authority and NSW Self Insurance Corporation (s 10(2)).
Nominal Insurer (Workers Compensation Act 1987 s 154A), for whom ICNSW acts (s 10(1)(a)).
Scheme funds listed in s 12(4): Workers Compensation Insurance Fund, Dust Diseases Fund, Bush Fire Fighters and Emergency Rescue Funds, Lifetime Care and Support Authority Fund, Sporting Injuries Fund and Supplementary Sporting Injuries Fund. ICNSW determines their investment strategies and reports performance to the Minister every six months.
Relevant service providers (health, rehabilitation, vocational and other providers prescribed by regulation) who may be directed to supply data, alter practices or cease providing services under the schemes (ss 26A, 26C–26G). These providers face strict liability penalties and possible public registration.
Employers, workers, motor-accident victims and sporting participants who rely on the financial viability and efficient administration of the schemes that ICNSW and SIRA oversee.
Unions NSW and employer bodies who nominate board members to ICNSW (s 5(2)(b)(i)–(ii), (7)).
Treasurer and Minister who hold direction, information and approval powers (ss 7, 12A, 10A, 11A).
Parliament through mandatory tabling of business-intent statements (s 11A) and the standing oversight committee (s 27).
Public Service employees transferred during the original abolition of WorkCover and Motor Accidents Authority (Sch 4 Div 2), whose industrial rights were preserved or modified.
Senior executives of ICNSW, whose employment is declared non-industrial and terminable without reason (s 16).
The Act therefore touches every participant in the NSW workers compensation and compulsory third-party motor accident ecosystems, from frontline treatment providers to the highest levels of Treasury and Cabinet.
Key duties and rights
ICNSW Board duties (s 6(3)): provide information and updates to the Minister, determine policies, direct the chief executive. Directors must exercise reasonable care and diligence (s 5(5)) and disclose pecuniary interests (Sch 1 cl 6). The board must comply with public-interest directions (s 7(2)) and prepare, consult on and finalise a statement of business intent annually (s 10A).
ICNSW rights: employ staff outside GSE Act rules (s 14), fix remuneration (s 15), enter service agreements (s 10(1)(c)), determine investment strategies (s 12(1)), delegate (s 13), and receive assets transferred from abolished bodies (Sch 4 cl 3).
SIRA Board duties (s 18(5)): set strategic direction, oversee performance, report to Minister. Appointed members must have relevant skills and cannot overlap with ICNSW Board (s 18(4)).
SIRA rights and powers: issue data directions and behavioural directions to service providers (ss 26C, 26D), issue guidelines with statutory force (s 26E), delegate (s 26), conduct prudential evaluations (s 24(2)), and maintain a register of directed providers (s 26G). SIRA is independent except for valid public-interest directions (s 20(4)).
Service provider duties: comply with data requests (s 26C(2)) and directions (s 26D(3)) despite privacy legislation (s 26C(3)); observe guidelines (s 26E(5)). Right to NCAT review of prohibition directions (s 26F) and protection from liability for good-faith compliance (s 26B).
Ministerial rights: appoint board members, issue public-interest directions after consultation (ss 7, 20), approve chief executive (s 8(1A)), direct amendments to business-intent statements (s 10A(7)), remove commercially sensitive material before tabling (s 11A(3)), and request IPART investigations of SIRA costs (s 25).
Employee and industrial rights: ICNSW senior executives may be terminated without notice or reason but receive only contractual compensation (s 16(3)–(4)); their employment is excluded from most Industrial Relations Act 1996 provisions (s 16(5)–(9)). Transferred employees retained accrued leave but could not double-dip (Sch 4 cl 9).
Personal liability protection: wide good-faith immunity for all office-holders and staff of both agencies (s 28).
Parliamentary rights: receive tabled business-intent documents with ministerial commentary on changes to main undertakings (s 11A(2)), and supervise schemes through a designated Legislative Council committee (s 27).
Penalties and enforcement
The Act itself is relatively light on penalties; its enforcement teeth were significantly strengthened by the 2022 amendments.
Sections 26C(2) and 26D(3) impose maximum penalties of 500 penalty units for corporations or 100 penalty units for individuals who fail to supply data or comply with behavioural directions. These are strict-liability offences (proceedings may be dealt with summarily before the Local Court – s 29A). Penalty notices may be issued for prescribed offences (s 29B).
Non-compliance with ministerial public-interest directions by either board is not expressly penalised but is mandatory (ss 7(2), 20(2)) and would ground removal of directors or chief executives under the broad removal powers in Schedules 1–3.
Breach of pecuniary-interest disclosure rules (Sch 1 cl 6, Sch 3 cl 6) does not invalidate board decisions but could found removal for misconduct.
SIRA’s power to prohibit a provider from offering services under the schemes (s 26D(1)(c)–(d)) is a de-facto enforcement tool; the provider’s only recourse is NCAT administrative review (s 26F). The register of directed providers (s 26G) creates reputational enforcement.
Investment managers who breach Treasurer-mandated terms or scheme investment strategies (s 16B(6)) risk removal from mandated status, though the Act relies on contractual enforcement and the underlying scheme legislation for sanctions.
The Act contains no civil penalty regime; enforcement is primarily administrative (directions, guidelines, board removal, ministerial override) and criminal only in the service-provider context.
How it interacts with other laws
The Act is expressly parasitic on the “workers compensation and motor accidents legislation” defined in s 3(1) to include six principal Acts and all instruments made under them. Functions conferred on SIRA by those Acts are exercised subject to this Act’s governance and objective provisions (s 24(1)).
It cross-references and overrides elements of:
Interpretation Act 1987 (notes in s 3(2); guideline-making in s 26E(2) adopts s 42(2) rules).
Government Sector Employment Act 2013 (expressly disapplied to ICNSW staff (s 14), ICNSW senior executives (s 16(6)), appointed board members (Sch 1 cl 7, Sch 3 cl 7) and the chief executive (Sch 2 cl 6)).
Industrial Relations Act 1996 (Parts 6, 7, 9 of Chapter 2 and industrial-matter status excluded for ICNSW senior executives – s 16(5)–(8)).
Privacy and Personal Information Protection Act 1998 and Health Records and Information Privacy Act 2002 (expressly overridden by s 26C(3) for data directions).
Independent Pricing and Regulatory Tribunal Act 1992 (Division 7 of Part 3 applied with modifications to IPART reviews of SIRA costs – s 25(2)).
Fines Act 1996 (applies to penalty notices – s 29B(3)).
Administrative Decisions Review Act 1997 (NCAT review of prohibition directions – s 26F).
Transitional provisions in Schedule 4 interacted with the Work Health and Safety Act 2011, Dangerous Goods (Road and Rail Transport) Act 2008, Explosives Act 2003 and Rural Workers Accommodation Act 1969 by re-allocating residual WorkCover functions to SafeWork NSW.
Investment powers (s 12, Div 4) must be exercised consistently with the underlying scheme Acts (s 16B(5)–(6)). Guidelines issued under this Act prevail over inconsistent guidelines issued under the scheme legislation (s 26E(5)).
The Act is therefore both umbrella and subordinate: it supplies the organisational skeleton while the substantive rights and obligations remain in the six listed statutes.
Recent changes and why
The Act has been substantively amended on at least four occasions since 2015, each responding to identified governance or operational gaps.
2022 No 25 inserted Division 3 of Part 3 (ss 26A–26G) after concerns that SIRA lacked timely, granular data on treatment efficacy and provider behaviour, and lacked graduated powers to address poor-performing providers without immediate cancellation of approvals under scheme legislation. The amendments authorise data demands notwithstanding privacy laws and create a scalable suite of directions, coupled with NCAT review and a public register. The changes also added summary-proceedings, penalty-notice and regulation-making amendments (ss 29A, 29B, 30).
2023 No 16 amended ICNSW board composition to reduce the number of appointed directors while retaining employee and employer nominees, and updated transitional provisions (Sch 4 cl 13). The stated policy was to streamline decision-making while preserving tripartite representation.
2023 No 33 inserted the principal objectives of ICNSW (s 9A), expanded the Minister’s public-interest direction power to require prior advice from the board on whether the direction would promote ICNSW objectives (s 7(3)(b)), and gave the Treasurer a stand-alone information-gathering power (s 12A). These changes responded to recommendations for clearer statutory objectives and stronger ministerial and fiscal oversight following reviews of scheme affordability.
2024 No 88 introduced the annual statement of business intent regime (ss 10A–11A), amended board and chief-executive appointment rules (ss 5, 8), updated definitions, repealed spent provisions in s 11, and inserted a transitional exemption from tabling for the 2024–25 statement (Sch 4 cl 14). The changes mirror contemporary public-sector accountability standards applied to other government-owned corporations, ensuring ministerial and parliamentary visibility of ICNSW’s planned undertakings before they are executed.
Each tranche of amendments has progressively layered additional accountability, transparency and coercive regulatory tools onto the original 2015 architecture.
Court challenges and controversies
The source text contains no reported court challenges. It does, however, anticipate disputes in three areas.
First, the validity or reasonableness of ministerial public-interest directions (ss 7, 20) could be challenged on administrative-law grounds; the statutory requirement for prior consultation and (in the case of ICNSW) board advice on consistency with objectives (s 7(3)) supplies an obvious record for judicial review.
Second, service-provider directions under s 26D(1)(c) or (d) are expressly reviewable by NCAT on the merits (s 26F). The regulations may prescribe appeal or review procedures for lesser directions (s 26D(4)(f)). The relationship-of-Division clause (s 26B) makes clear that these powers override any contrary provision in other legislation, limiting the grounds on which a provider could resist on jurisdictional grounds.
Third, pecuniary-interest disclosures and consequent exclusions from deliberation (Sch 1 cl 6, Sch 3 cl 6) have procedural consequences that could found procedural-fairness arguments if a board decision is challenged. However, the clauses expressly provide that contravention does not invalidate the decision (cl 6(6)).
The broad exclusion of personal liability (s 28) and the declaration that ICNSW senior-executive employment is not an industrial matter (s 16(5)–(8)) were designed to reduce litigation risk; the text records that no proceedings for prerogative relief or declaration lie in respect of matters declared non-industrial (s 16(8)).
Controversies evident on the face of the text include the tension between SIRA’s independence (s 20(4)) and ministerial direction power, the breadth of data-collection powers that override privacy statutes, and the potential commercial sensitivity of business-intent statements that must nevertheless be tabled (subject to Ministerial redaction). The transitional re-allocation of assets and proceedings from abolished bodies (Sch 4 cll 3–6) generated complex “successor” questions that the broad vesting and substitution clauses were intended to resolve without litigation.
Gotchas
Most practitioners miss that s 26C(3) authorises SIRA to demand personal and health information from any regulated service provider notwithstanding the Privacy and Personal Information Protection Act 1998 or Health Records and Information Privacy Act 2002; the obligation is absolute once a written direction is received.
ICNSW senior-executive contracts can lawfully provide for termination “for any or no stated reason and without notice” (s 16(3)); the only entitlement is whatever the contract itself stipulates. The exclusion from industrial jurisdiction (s 16(5)–(9)) means unfair-dismissal or reinstatement remedies are unavailable even if the contract is silent.
The statement-of-business-intent regime (ss 10A–11A) contains a rolling modification power: ICNSW can propose changes by notice and implement them after 14 days unless the Minister positively directs otherwise (s 10A(6)). This reverses the usual approval burden and is easily overlooked.
Section 9A’s principal objectives for ICNSW are expressed to operate “in exercising its functions” and include maintaining affordability “consistent with any objectives of the schemes”. This creates a potential conflict-of-objectives argument when scheme legislation (e.g. Motor Accident Injuries Act 2017) contains its own statutory objects; the ICNSW board must navigate both.
The personal-liability shield (s 28) extends to “a person acting under the direction of” any of the listed office-holders. Service providers complying with a s 26D direction therefore enjoy derivative immunity, but only if the direction itself was issued in good faith.
Investment-mandate orders issued by the Treasurer under s 16B bind the responsible authority and any mandated investment manager; the order can prescribe terms and conditions that the authority must incorporate into its agreement. Non-compliance by the manager is not an offence under this Act but can trigger removal and expose the manager to breach-of-mandate claims under the underlying scheme legislation.
Finally, the parliamentary committee under s 27 is designated by resolution of the Legislative Council alone; its terms of reference are whatever the Council chooses. This creates an asymmetric oversight mechanism that has, on occasion, produced recommendations that cut across ministerial policy without Cabinet filter.
How to comply
For ICNSW and its board:
Maintain a skills matrix demonstrating that appointed directors collectively possess scheme-administration expertise (s 5(3)).
Prepare draft statement of business intent within one month of each financial year, consult in good faith on ministerial comments, finalise within three months, and track all modifications (s 10A).
Determine and document investment strategies for each of the seven listed scheme funds; report performance to the Minister every six months (s 12).
Ensure all service agreements with relevant authorities contain appropriate performance-monitoring clauses (s 10(1)(d)).
For SIRA and its board:
Map all functions conferred by the six listed Acts plus the Home Building Act 1989 against the principal objectives in s 23.
Establish prudential data-collection routines for all licensed insurers and monitor sound practices (s 24(2)).
Before issuing a data or behavioural direction, confirm the provider is not within a class excluded by regulation (s 26A definition of relevant service provider).
Publish guidelines in the Gazette; expressly state commencement date and any incorporation of external standards (s 26E).
Maintain the directed-providers register with statutory defences in mind (s 26G(3)–(5)).
For service providers:
Treat any written direction under s 26C or 26D as immediately enforceable; maintain an audit trail of compliance steps.
If a prohibition direction is received, lodge an NCAT application within the prescribed time (s 26F and regulations).
Review internal data-security policies to ensure capacity to isolate and transmit scheme-related data without breaching general privacy obligations.
For insurers and relevant authorities:
Incorporate any Treasurer-mandated investment-management terms into contracts within the timeframe set by the order (s 16B).
Align internal policies with both scheme-specific legislation and any overriding SIRA guidelines (s 26E(5)).
Monitor Gazette notices for new prudential standards (s 16C) or guidelines.
General compliance tips:
Diarise the five-year statutory review trigger (s 32) and any future parliamentary committee reports under s 27.
Maintain separate files for ICNSW versus SIRA interactions to avoid inadvertent cross-contamination of confidential material.
When drafting contracts with ICNSW senior executives, expressly address the limited compensation-on-termination rule (s 16(4)).
Use the regulation-making power under s 30(2) to incorporate updated external standards (e.g. APRA prudential standards) without primary legislation.
Organisations that treat the Act as a mere establishment statute rather than an active accountability and data-governance regime expose themselves to ministerial direction, NCAT proceedings, reputational register listing or, in the case of service providers, significant monetary penalties. Annual board self-audits against the exact wording of ss 5–12A and 23–26G are the minimum prudent compliance step.
(2) Notes included in this Act do not form part of this Act.
s 3: Am 2017 No 10, Sch 5.12; 2024 No 88, Sch 1[1].
Part 2 Insurance and Care NSW
Part 2 Insurance and Care NSW
Part 2 Insurance and Care NSW
Division 1 Constitution and management of ICNSW
Division 1 Constitution and management of ICNSW
Division 1 Constitution and management of ICNSW
4 Constitution of Insurance and Care NSW
4 Constitution of Insurance and Care NSW
4 Constitution of Insurance and Care NSW
(1) There is constituted by this Act a body corporate with the corporate name of Insurance and Care NSW.
(2) ICNSW is, for the purposes of any Act, a NSW Government agency.
Note.
See section 13A of the Interpretation Act 1987.
5 Board of directors of ICNSW
5 Board of directors of ICNSW
5 Board of directors of ICNSW
(1) There is to be a board of directors of Insurance and Care NSW.
(2) The ICNSW Board is to consist of the following directors—
(a) the Secretary of the Treasury, or an officer of the Treasury nominated by the Secretary of the Treasury to represent the Secretary,
(b) the following directors appointed by the Minister (the appointed directors)—
(i) 1 director nominated by an employee body,
(ii) 1 director nominated by an employer body,
(iii) up to 6 other directors.
Note.
Schedule 1 contains provisions relating to the board of directors of ICNSW.
(3) The appointed directors are to be persons who, in the opinion of the Minister, together have skills and experience relevant to the administration of State insurance and care schemes and that will assist ICNSW in exercising its functions.
(4) A person who is an appointed member of the SIRA Board is ineligible to be appointed as a director of the ICNSW Board.
(5) In exercising his or her functions as a director of the ICNSW Board, the director is to exercise the degree of care and diligence that a reasonable person in a like position would exercise in the circumstances.
(6) If an employee body or employer body fails to nominate persons for the purposes of subsection (2)(b)(i) or (ii) within the period specified in a written request given to the body by the Minister—
(a) the Minister may appoint a director under that subparagraph, and
(b) the appointment is taken to have been made as if the director had been nominated under the subparagraph.
(7) In this section—
employee body means Unions NSW.
employer body means a body that represents employers in New South Wales.
s 5: Am 2023 No 16, Sch 1[1] [2]; 2024 No 88, Sch 1[2].
6 Role of ICNSW Board
6 Role of ICNSW Board
6 Role of ICNSW Board
(1) All decisions relating to the functions of ICNSW are to be made by or under the authority of the ICNSW Board.
(2) Any act, matter or thing done in the name of, or on behalf of, ICNSW by or under the authority of the ICNSW Board is taken to have been done by ICNSW.
(3) The ICNSW Board has the following functions—
(a) to give the Minister any information relating to the activities of ICNSW that the Minister requests,
(b) to keep the Minister informed of the general conduct of ICNSW’s activities and of any significant development in ICNSW’s activities,
(c) to determine general policies for ICNSW and to give directions to the chief executive of ICNSW in relation to the ICNSW’s activities,
(d) such other functions as are conferred or imposed on it by or under this or any other Act or law.
7 Power of Minister to give directions in public interest
7 Power of Minister to give directions in public interest
7 Power of Minister to give directions in public interest
(1) The Minister may give the ICNSW Board a written direction in relation to ICNSW if the Minister is satisfied that it is necessary to do so in the public interest.
(2) The ICNSW Board must ensure that the direction is complied with.
(3) Before giving a direction under this section, the Minister must—
(a) consult with the ICNSW Board, and
(b) request the Board to advise the Minister whether, in its opinion, complying with the direction would promote the objectives of ICNSW.
(4) The Minister is required to cause a notice to be published in the Gazette setting out the reasons why a direction was given under this section and why it is in the public interest that the direction was given. Any such notice is to be published in the Gazette within 1 month after the direction is given.
s 7: Am 2023 No 33, Sch 1[1].
8 Chief executive of ICNSW
8 Chief executive of ICNSW
8 Chief executive of ICNSW
(1) The ICNSW Board is to employ a person as the chief executive of ICNSW.
Note.
Schedule 2 contains provisions relating to the chief executive of ICNSW.
(1A) A person may be appointed as the chief executive of ICNSW only with the Minister’s approval.
(2) The chief executive of ICNSW is responsible for day to day management of the activities of ICNSW in accordance with the general policies and specific directions of the ICNSW Board.
s 8: Am 2024 No 88, Sch 1[3] [4].
9 Committees of ICNSW Board
9 Committees of ICNSW Board
9 Committees of ICNSW Board
(1) The ICNSW Board may establish committees to give advice and assistance to the ICNSW Board in connection with any particular matter or function of the ICNSW Board.
(2) A committee of the ICNSW Board must be chaired by a director of the ICNSW Board. It does not matter that some or all of the other members of the committee are not directors of the ICNSW Board.
(3) The procedure for the calling of meetings of a committee of the ICNSW Board and for the conduct of business at those meetings is to be as determined by the ICNSW Board or (subject to any determination of the ICNSW Board) by the committee.
Division 2 Objectives and functions of ICNSW
Division 2 Objectives and functions of ICNSW
Division 2 Objectives and functions of ICNSW
pt 2, div 2, hdg: Am 2023 No 33, Sch 1[2].
9A Principal objectives of ICNSW
9A Principal objectives of ICNSW
9A Principal objectives of ICNSW
The principal objectives of ICNSW in exercising its functions are as follows—
(a) to maintain the affordability of insurance and the efficiency and viability of State insurance and compensation schemes established under Acts under which ICNSW exercises functions consistent with any objectives of the schemes,
(b) to promote early and appropriate treatment and care for injury and illness that optimises the recovery and return to work or other activities of persons injured at work or in motor accidents,
(c) to promote efficiency, transparency and accountability in the conduct of ICNSW’s operations.
s 9A: Ins 2023 No 33, Sch 1[3].
10 Functions of ICNSW
10 Functions of ICNSW
10 Functions of ICNSW
(1) ICNSW has the following functions—
(a) to act for the Nominal Insurer in accordance with section 154C of the Workers Compensation Act 1987,
(b) to provide services (including staff and facilities) for any relevant authority, or for any other person or body, in relation to any insurance or compensation scheme administered or provided by the relevant authority or that other person or body,
(c) to enter into agreements or arrangements with any person or body for the purposes of providing services of any kind or for the purposes of exercising the functions of the Nominal Insurer,
(d) to monitor the performance of the insurance or compensation schemes in respect of which it provides services,
(e) such other functions as are conferred or imposed on it by or under this or any other Act.
Note.
These other functions include preparing annual reporting information under the Government Sector Finance Act 2018.
(2) Each of the following is a relevant authority for the purposes of this section—
(a) the Workers Compensation (Dust Diseases) Authority constituted under the Workers’ Compensation (Dust Diseases) Act 1942,
(b) the Lifetime Care and Support Authority of New South Wales constituted under the Motor Accidents (Lifetime Care and Support) Act 2006,
(c) the Sporting Injuries Compensation Authority constituted under the Sporting Injuries Insurance Act 1978,
(d) the NSW Self Insurance Corporation constituted under the NSW Self Insurance Corporation Act 2004.
(e) (Repealed)
s 10: Am 2016 No 55, Sch 1.28; 2018 No 70, Sch 4.94; 2024 No 53, Sch 2.5.
10A Preparation of annual statement of business intent
10A Preparation of annual statement of business intent
10A Preparation of annual statement of business intent
(1) ICNSW must—
(a) prepare a draft statement of business intent for each financial year of ICNSW, and
(b) submit the draft statement of business intent to the Minister not later than 1 month after the commencement of the financial year to which the statement relates.
(2) ICNSW must consider any comments on the draft statement of business intent made by the Minister if the comments are made within 2 months after the commencement of the financial year of ICNSW.
(3) ICNSW must—
(a) consult in good faith with the Minister about the comments made by the Minister about the draft statement of business intent, and
(b) make changes to the draft statement of business intent agreed between the Minister and ICNSW, and
(c) provide the completed statement of business intent within 3 months after the commencement of the financial year of ICNSW.
(4) The statement of business intent must not, before the statement is tabled in both Houses of Parliament, be published or otherwise made available to the public without the prior approval of the Minister and ICNSW.
(5) A statement of business intent may be modified at any time by ICNSW with the agreement of the Minister.
(6) If ICNSW, by written notice to the Minister, proposes a modification to the statement of business intent, ICNSW may, within 14 days after giving the written notice, make the modification unless the Minister, by written notice to ICNSW, directs ICNSW not to make the modification.
(7) The Minister may, from time to time, by written notice to ICNSW, direct ICNSW to amend and resubmit a statement of business intent in the way and time specified in the notice.
(8) Before giving a notice under subsection (7), the Minister must consult with ICNSW about the matters to be referred to in the notice.
(9) ICNSW must comply with a notice given under subsection (7).
s 10A: Ins 2024 No 88, Sch 1[5].
11 Contents of statement of business intent
11 Contents of statement of business intent
11 Contents of statement of business intent
(1) (Repealed)
(2) A statement of business intent is to set out the business plan of ICNSW over the financial year to which the statement relates and is to include the following—
(a) the objectives of ICNSW and its main undertakings,
(b) the nature and scope of the activities to be undertaken,
(c) the accounting policies to be applied in the financial reports of ICNSW,
(d) the performance targets and other measures by which the performance of ICNSW may be judged in relation to its stated objectives,
(e) any other matter required by the Minister.
(3) (Repealed)
s 11: Am 2024 No 88, Sch 1[6] [7].
11A Tabling of statement of business intent and certain related documents
11A Tabling of statement of business intent and certain related documents
11A Tabling of statement of business intent and certain related documents
(1) The Minister must ensure the following documents are tabled in each House of Parliament within 14 sitting days after the Minister receives the document—
(a) a statement of business intent provided to the Minister under section 10A(3)(c),
(b) if a statement of business intent is modified under section 10A—a copy of the modification,
(c) if a notice is given under section 10A(6) directing ICNSW not to modify a statement of business intent—a copy of the notice,
(d) if a notice is given under section 10A(7) directing ICNSW to amend and resubmit a statement of business intent—a copy of the notice.
(2) If the Minister tables a document under subsection (1), the document must be accompanied by a statement about whether the statement of business intent embodies any changes made to the description of the main undertakings of ICNSW.
(3) Before a document referred to in subsection (1) is tabled, the Minister may remove any information of a commercially sensitive nature.
s 11A: Ins 2024 No 88, Sch 1[8].
12 Investment strategies for scheme funds
12 Investment strategies for scheme funds
12 Investment strategies for scheme funds
(1) ICNSW is to determine investment strategies for the investment of any scheme fund.
(2) ICNSW is to report to the Minister at least once in every peri
This is an opening excerpt, not the complete document.