Labour hire: Employers and insurance premiums

If your business provides labour or on-hire services, the insurance premium you pay will be largely based on each of your registered clients or on-hire workplaces.

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The premium

The WorkCover premium for a labour hire employer will be calculated using your employer performance rating and the industry rate for each of the on-hire imputed workplaces. This provides a greater incentive for labour hire employers to improve workplace health and safety for their workers and provides an accurate reflection of risk in each of these workplaces.

Your imputed workplaces are the on-hire workplaces where you send your workers to perform work for your labour hire client.

These workplaces are classified to the same industry classification as your labour hire client’s workplace. A labour hire search facility is available to help you confirm the industry classification of your labour hire client’s workplace. Please talk to your WorkSafe Agent to access the search facility.

You can register the individual address of the workplace of your clients where you on-hire workers (workplace level); or you can register a new workplace at the address from which your on-hired workers are managed, if they are on-hired to several clients that have the same classification (aggregate level); or you can register your workplaces using a combination of the above.

What you need to do

  1. Supply the following details to your WorkSafe Agent in advance of each new financial year:
    1. the legal name and business name of each on-hire client
    2. the address of the workplace(s) to which you on-hire your workers
    3. your head office address
    4. your preferred option for workplace registration i.e. aggregate level, workplace level or a combination of both.
  2. Upon receipt of these details, your WorkSafe Agent will advise you of the appropriate industry classification to help you calculate your remuneration.
  3. When you know the classification, you must advise your WorkSafe Agent of the client's workplaces and the relevant remuneration.
  4. Your WorkSafe Agent will register these on-hire workplaces to your WorkCover insurance.
  5. Once your WorkSafe Agent has recorded all the relevant information, they can provide an estimate of total premium payable for the coming period.
  6. If your on-hired worker injures themselves at your registered on-hire workplace, you must include that workplace in your Employer Injury Claim Report.

Refer to the "On-hire and employment agencies classification arrangements FAQ" for more information on the premium classification system for labour hire employers.

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