Proposed changes to premium process

Consultation on proposed changes to the premium process has now closed. Thank you to the employers who have provided their feedback via the online survey, email or at one of the information sessions delivered between 31 October to Thursday 8 November. We are currently reviewing the feedback provided to determine which changes will be implemented for the 2019/20 financial year.

We know that the end of year can be a busy time for many businesses. ReturnToWorkSA's current process is too complex and onerous for employers. We propose to make a number of changes to improve this process for employers.  More information about the changes is available by viewing a pre-recorded webinar , a copy of the presentation delivered at the information sessions or by reading a selection of the frequently asked questions we have received from employers.

What is being proposed?

The changes we are proposing are detailed in the table below.

Current process Proposed changes from 1 July 2019

Employers are required to provide a lot of information in a short time frame (3-4 weeks) at a busy time of year (July).

We will extend the timeframe for employers to provide their information, from 3-4 weeks, to approximately 10 weeks (early July to mid September).

The initial premium payable based on estimated remuneration is subject to adjustment when actual remuneration is received at the end of the year, making it difficult for employers to budget and plan cash flow.

Employers will no longer need to provide estimated remuneration for the upcoming year.  Instead, actual remuneration for the previous year will be used to calculate premium for the upcoming year.  This means that the amount of information employers need to provide will be halved.

As a consequence of eliminating estimated remuneration, there will be no end of year adjustments to the premium paid (unless exceptional circumstances apply).

Employers whose premium is over $2000 pay in 10 instalments, and under $2000 pay in one payment.  Employers are not given a choice about these payment arrangements.

All employers will have a choice to make one annual payment or pay in instalments, regardless of premium dollar value.  Due to the extension of time to provide remuneration information, there will be nine payment instalments instead of 10.

Due to limitations in our online services, employer passwords for online submission of remuneration information are reset every year and the new password is posted out. This is inefficient, inconvenient, and a security risk.

We are updating our online services, and employer passwords will not be reset each year, or posted out.  Employers will be required to register online once only as part of the transition to the new system.  Further information about this will be provided in early 2019.

Key benefits for employers

  1. Registered employers will no longer be required to submit a remuneration estimate for the upcoming year.
  2. Additional time to prepare actual remuneration return.
  3. Cash flow management - employers will have certainty about their premium amount for the financial year and can choose to pay premium upfront or in nine equal instalments.
  4. After a one-off registration process, employers will not have their password for ReturnToWorkSA’s online services reset each year.

More information

Read the Consultation Paper Proposed Changes to Premium Process (PDF, 492 KB) to learn more about these changes.