Workers Compensation Supplementation Fund Amendment Act 2002 (ACT)

Workers Compensation Supplementation Fund Amendment Act 2002

Act 2002 No 43

An Act to amend the Workers Compensation Supplementation Fund Act 1980

Notified under the Legislation Act 2001 on 2 December 2002

(see Legislative Assembly for the Australian Capital Territory enacts as follows:

1. Name of Act

   This Act is the Workers Compensation Supplementation Fund Amendment Act 2002.

2. Commencement

   This Act commences on the day after its notification day.

3. Act amended

   This Act amends the Workers Compensation Supplementation Fund Act 1980.

4. Section 22 (2)

   substitute

5. For this section, the prescribed surcharge for a compulsory insurance policy is an amount equal to 10% (or, if a lesser percentage is determined in writing by the Minister, the lesser percentage) of the billed underwritten premium (the premium), not including GST, for the policy.

(2A)    The prescribed surcharge applies to a premium or premium instalment at the rate in force—

(a)if the premium or instalment is paid early or on time—at payment; or

(b)if the premium or instalment is paid late—when the premium or instalment was payable.

1. Section 22 (4)

   substitute

2. An employer mentioned in subsection (1) must pay the prescribed surcharge when the employer pays the premium for the compulsory insurance policy.

3. If the employer pays the premium in instalments, the employer must pay the surcharge in corresponding instalments.

   Examples

   1An employer’s annual premium is $600.  If the prescribed surcharge is 10%, the surcharge of $60 must be paid when the premium is paid, making a total payment of $660.

   2An employer’s annual premium is billed in monthly instalments of $125. If the surcharge is 10%, the surcharge of $12.50 must be paid with each monthly instalment, making a total monthly payment of $137.50.

   3An employer is billed an additional premium of $100 because of an adjustment of premium. If the prescribed surcharge is 10%, the surcharge of $10 must be paid with the additional premium, making a total payment of $110.

   4An employer pays an annual premium of $1 000 on 1 July 2002.  On 1 January 2003 a prescribed surcharge of 10% is introduced.  The surcharge does not apply to the employer’s already billed premium, but will apply at the prevailing rate when the next premium is paid on 1 July 2003.

   5An employer pays an annual premium of $1 000 plus the 10% surcharge on 1 July 2002.  On 1 January 2003 the surcharge is reduced to 5%.  The decrease does not affect the surcharge already paid, but any adjustment of the premium billed after the reduction will incur the surcharge at the reduced rate.

   6An employer’s premium for 2002-2003 is billed in monthly instalments of $100, plus the 10% surcharge of $10 (a total monthly payment of $110), on the 10th of each month.  On 1 January 2003, the surcharge is reduced to 5%.  On 10 January 2003 the employer will have to pay the premium of $100 plus a surcharge of $5, making a total monthly payment of $105.

   NoteAn example is part of the Act, is not exhaustive and may extend, but does not limit, the meaning of the provision in which it appears (see Legislation Act 2001, s 126 and s 132).

4. Section 22

   renumber subsections when Act next republished under Legislation Act 2001

5. Section 23

   substitute

6. Exempt employers to pay surcharge

7. An employer granted an exemption under the Compensation Act, section 152 (Self-insurers) must pay to the manager an amount assessed by the manager on the advice of the committee.

8. The amount assessed by the manager under subsection (1) is the amount of the surcharge that would have been payable by the employer under this Act in relation to a compulsory insurance policy if no exemption had been granted to the employer under the Compensation Act, section 152.

9. Payment under subsection (1) for a financial year must be made within 30 days after the end of the financial year, unless otherwise allowed by the manager.

10. The manager may allow payments mentioned in subsection (3) to be made in instalments.

Endnote

Republications of amended laws

For the latest republication of amended laws, see align="center">[Presentation speech made in Assembly on 29 August 2002]

I certify that the above is a true copy of the Workers Compensation Supplementation Fund Amendment Bill 2002 which was passed by the Legislative Assembly on 14 November 2002.

Clerk of the Legislative Assembly

© Australian Capital Territory 2002