Workcover Premiums On Hold For Next Financial Year
The Allan Labor Government will maintain the WorkCover average premium rate for Victorian businesses for the next financial year.
Deputy Premier and Minister for WorkSafe and the TAC Ben Carroll today confirmed that the average premium will remain at 1.8 per cent for a third consecutive year, while continuing to strengthen support for workers to get back to health and work.
This delivers on the Government’s commitment that once WorkCover returns to financial sustainability, any savings will go back into the scheme to ensure better outcomes for workers and lower premiums for businesses.
Last financial year, WorkSafe provided $3.4 billion in tailored support to more than 104,000 injured workers while helping more than 26,000 injured workers to return to safe and sustainable work.
The average premium rate has remained unchanged since the 2023-24 financial year, when the Government introduced reforms to modernise the WorkCover Scheme to ensure it remains financially sustainable and can continue to support injured workers into the future.
That is why Allan Labor Government established Return to Work Victoria – working with employers, unions, mental health and occupational health experts to pilot innovative programs and supports for injured Victorians and those experiencing work-related mental stress to return to work or training.
An independent statutory review will be conducted in 2027 to ensure the reforms are working as they should.
While the average premium rate will remain steady for 2025-26, individual premiums for Victorian employers are determined by factors that can vary from year to year, such as how much they pay their workforce and their own claims history.
Individual premiums are also based on more than 500 specific industry rates, which are set annually based on how dangerous that particular sector has been compared with other industries in recent years.
Premium renewal notices for the 2025-26 financial year will be available via WorkSafe’s Online Employer Services (OES) portal in July. For more information visit worksafe.vic.gov.au/insurance
As stated by Deputy Premier and Minister for WorkSafe and TAC Ben Carroll
“WorkCover is about standing by people – giving workers peace of mind and helping businesses through tough times. We’ve strengthened the scheme so it can continue to deliver on that promise.”
“We are taking a balanced approach to ensuring the long-term viability of Victoria’s workers compensation scheme and passing on the benefits directly to workers and employers.”
https://www.premier.vic.gov.au/sites/default/files/2025-05/250527-Workcover-Premiums-On-Hold-For-Next-Financial-Year.pdf