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NSW THOROUGHBRED RACING BOARD - Racing NSW

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Insurance<br />

“The insurance department operates a<br />

fund which acts as a non-profit workers'<br />

compensation insurer for the racing<br />

industry's Clubs and Trainers. The<br />

department also facilitates the purchasing<br />

of a wide-range of insurance covers for<br />

the racing industry - taking advantage<br />

of the industry's bulk buying power.<br />

In recent times the department has<br />

been instrumental in the establishment<br />

of a public liability arrangement which<br />

has produced substantial savings in<br />

premiums for <strong>NSW</strong>, Queensland, the<br />

ACT and Victorian Race Clubs.”<br />

Michael Thompson, Insurance<br />

Manager.<br />

Department Members:<br />

Michael Thompson<br />

Manager<br />

Hesna Whitbread<br />

Senior Claims Officer<br />

Kay Stivactas<br />

Claims Officer<br />

Geetanjali Sharma<br />

Claims Assistant<br />

Michael Thompson<br />

As at 30 June 2000 the administration<br />

of the department has been subject<br />

to an outsourcing arrangement with<br />

ASWIG, the aim being to improve<br />

resources, training and service.<br />

Objectives<br />

• Manage the TRB Workers’<br />

Compensation Insurance Fund,<br />

• Monitor the Workers’<br />

Compensation Insurance<br />

Scheme, co-ordinate renewals,<br />

• Initiate and facilitate a general<br />

insurance scheme that provides<br />

cost savings for participants by<br />

taking advantage of industry<br />

buying power,<br />

• Investigate initiatives aimed at<br />

reducing the cost of delivering a<br />

Workers’ Compensation policy<br />

and claims service to the<br />

industry,<br />

• Promote sound Occupational<br />

Health and Safety (OH&S)<br />

practices and improve awareness<br />

about OH&S issues.<br />

Workers’ Compensation Claims<br />

During 2002-2003 - 327 workers’<br />

compensation claims were received.<br />

This is trending down again<br />

following last year, which was the<br />

highest number in over 10 years.<br />

The number of current claims as at<br />

the 30 June 2003 was 244.<br />

During the 2002 calendar year,<br />

substantial changes to the <strong>NSW</strong><br />

Workers' Compensation system and<br />

legislation took place. The<br />

speculation and uncertainty arising<br />

from these amendments resulted in<br />

increased litigation. The Insurance<br />

Fund was able to favourably settle<br />

most of these actions within the<br />

year. This resulted in a contained<br />

but unexpected increase in claims<br />

cost for the year, which is not<br />

expected to flow on to the 2003-<br />

2004 year.<br />

In general:<br />

• Case estimates have gone down,<br />

• Severity of claims is lower,<br />

• Return to work times are<br />

improving,<br />

• Litigation is decreasing,<br />

• Employers are participating in<br />

injury management,<br />

• Loses due to HIH collapse are<br />

being mitigated.<br />

These are all positive indicators<br />

and assist in counteracting the<br />

negative effects of increase claims<br />

payments brought on by legislative<br />

changes in 2003, loss of reinsurance<br />

recoveries (HIH), and poor return<br />

on investments.<br />

27

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