Funding your WorkCover insurance premiums

Businesses and consumers are feeling cost pressures from all angles as inflation remains stubbornly high, following the significant government stimulus during the pandemic.

This in turn has seen the Reserve Bank (RBA) increase the cash rate by 4% since the historic low point of 0.1% in their endeavour to quash inflation. Early in the new financial year, businesses will receive their annual WorkCover levies and unfortunately significant premium increases are coming into effect.

The Victorian Government recently announced changes to the levies imposed to support the WorkCover scheme which take effect 1 July 2023. Due to cost blowouts mainly resulting from increased mental health injury claims, the government has imposed a 42% increase in levies for the 2024 financial year. From July 2023, Victorian businesses will pay an average of 1.8% of employee remuneration under the scheme, up from 1.27%. This compares to 1.23% in Queensland and 1.48% NSW.

Due to cost blowouts, the Victorian Government has imposed a 42% increase in WorkCover levies from 1 July 2023.

For many years McLean Delmo Bentley’s Finance division has assisted businesses fund their WorkCover premium over 10 monthly instalments to smooth the commitment and assist with cashflow management. Funding for the premium is sourced from major Australian Financial Institutions which can offer interest rate terms more attractive than that offered on the WorkCover invoice. It is important to note that there is no security pledged over real estate assets for this funding and in many cases is offered without the need for personal guarantees from the company director(s).

Our Finance division can assist businesses fund their WorkCover premiums. Funding is sourced from Australian Financial Institutions which often offer interest rate terms that our more attractive than the WorkCover interest terms.

Not only can the finance division assist with funding WorkCover premiums, they can also assist with funding many other insurance premiums, including, but not limited to property insurance, motor vehicle fleet insurance, cyber insurance, professional indemnity insurance, debtor insurance etc.