Australian Capital Territory Consolidated Acts

WORKERS COMPENSATION ACT 1951 - SECT 149

    (1)     This section applies if an employer fails to maintain a compulsory insurance policy with an approved insurer.

    (2)     However, this section does not apply if—

        (a)     the employer provides evidence that a State was the Territory or State of connection for the employment under the law of a State corresponding to part 4.2A (Employment connection with ACT or State); or

        (b)     the employer had insurance, or was registered, as required under a law of the State in relation to liability for workers compensation under the law of the State.

Note     State includes the Northern Territory (see Legislation Act , dict, pt 1).

    (3)     The director-general must determine the amount of the premium (the avoided premium ) that would have been payable to an approved insurer if the employer had maintained a compulsory insurance policy for the period that the employer was not insured (up to a maximum of 5 years).

    (4)     The director-general may determine an amount (a recovery amount ) for the employer equal to—

        (a)     double the avoided premium; or

        (b)     an amount less than double the avoided premium, having regard to the following:

              (i)     whether payment of the recovery amount would cause the employer financial hardship;

              (ii)     whether payment of the recovery amount would cause the employer to stop conducting the employer's business in the ACT;

              (iii)     whether the director-general is likely to recover the amount;

              (iv)     the employer's history of compliance with its obligations under this Act;

              (v)     whether the employer's failure to maintain a compulsory insurance policy was based on independent advice;

              (vi)     steps the employer has taken to obtain a compulsory insurance policy;

              (vii)     any other material provided by the employer;

              (viii)     any other relevant factor.

Note     The director-general's determination under s (4) is an internally reviewable decision (see Workers Compensation Regulation 2002 , sch 3, pt 3.2).

    (5)     If the director-general determines a recovery amount for an employer, the director-general must give the employer written notice of—

        (a)     the avoided premium; and

        (b)     the recovery amount.

    (6)     The director-general may recover the recovery amount as a debt owing by the employer to the DI fund.

    (7)     In this section:

"employer "does not include a self-insurer or non-business employer.