Workers Compensation Top-up Cover Explanation (NSW Employees Only)


You must have a NSW workers compensation insurance policy to receive workers compensation top-up cover.

Event

Benefit

Death Benefit

A single payment equal to 16% of the compensation paid under section 25(1) (a). This section of the
Workers Compensation Act 1987 (NSW) refers to the situation where workers die leaving dependants.

Permanent Injury

Where the permanent impairment that has resulted from the same incident has been caused by only one workers compensation injury, the benefit Hannover will pay to the insured person is equal to 125% of the total compensation subject to a maximum of:

  • in the case of hearing loss – $3,000 where compensation is paid under section 66 of the Workers Compensation Act 1987 (NSW); and
  • in the case of back injury – $6,000 where compensation is paid under section 66 of the Workers
    Compensation Act 1987 (NSW).

Where the permanent impairment that has resulted from the same incident has been caused by more
than one workers compensation injury, the benefit Hannover will pay to the insured person is equal to 81.25% (which is 65% of 125%) of the total compensation subject to a maximum of:

  • in the case of any portion of the permanent injury benefit which is referable to hearing loss, that
    portion of the benefit is capped to a maximum of $3,000 where compensation is paid under section 66 of the Workers Compensation Act 1987 (NSW); and
  • in the case of any part of this benefit relating to back injury, that part of the benefit is capped to a maximum of $6,000 where compensation is paid under section 66.

Notes:

  • The benefits provided by the various options above are explained Standard Benefits Table
  • It is possible for NSW employers to select workers compensation top-up cover on a standalone basis, but only if You already have basic cover or enhanced cover as described in the Cover Options Table, through a different insurance arrangement. In this situation, the applicable premium rate will be $41.50 per insured person per month.

 

 

 

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