Workers’ Compensation Claims on the Rise in Australia
Safe Work Australia's 2024 report shows a 20.5% rise in serious workers' compensation claims over the past decade. Where is the rise coming from and how is it impacting premiums across the country? Let's take a look.

Multi-Category Rise in Claims
While Australia has made notable strides in reducing workplace fatalities over the past decade, a concerning trend is emerging in the realm of workers' compensation claims. Safe Work Australia's 2024 report shows a 20.5% rise in serious workers' compensation claims over the past decade. This increase comes despite only a marginal rise in the claims frequency rate when adjusted for hours worked, which grew by just 0.8%.
This rise in claims has occurred across a variety of categories, including:
- Slight rise in workplace fatalities: 200 fatalities in 2023, up from 195 in 2022.
- 80% of serious claims involve body stressing, falls, slips, trips, vehicle incidents, and mental health conditions.
- Vehicle incidents accounted for 42% of workplace fatalities.
- Mental health conditions claims rose nearly 20% in 2023 and have increased almost 100% over the last decade.
- Time off for mental health conditions is four times longer than for other types of injuries.
Concentration of Claims in High-Risk Industries
The report also revealed that 61% of serious claims are concentrated in just six industries:
- Agriculture, forestry, and fishing
- Public administration and safety
- Transport, postal, and warehousing
- Manufacturing
- Health care and social assistance
- Construction
These sectors are among the most hazardous, both in terms of physical risks and mental health challenges due to work conditions. Agriculture and transport, for instance, are particularly prone to vehicle-related incidents, while public administration and healthcare workers face high levels of stress and risk of mental health injuries.
Impact on Workers’ Compensation Premiums
The rising number of claims is also leading to increased workers' compensation premiums across Australia. Insurance and Care NSW (icare) recently announced an 8% increase in workers' compensation premiums in New South Wales for the 2024-25 financial year. Similarly, Western Australia raised its premium rate slightly, and Queensland saw a 4% increase in rates. Although South Australia and Victoria have managed to hold their rates steady, this stability comes after years of rising costs.
"With the rise in serious workers' compensation claims, it's crucial for businesses to not only stay compliant with evolving regulations but to actively mitigate risks through robust workplace safety programs. At Knightcorp, we work closely with our clients to tailor workers’ compensation policies and risk management strategies that reduce claims, protect employees, and control premium costs. The key is proactive engagement with safety and mental health initiatives, which can significantly reduce incidents and create a safer work environment for all."
James Jessup, Head of People & Workplace Risk, Knightcorp.
The Right Coverage & the Role of Risk Management
Knightcorp Insurance Brokers deliver innovative insurance solutions that keep its clients one step ahead of the competition. We can help craft workers compensation insurance that does double duty: uniquely fits your total risk but also satisfies increasingly stringent regulatory requirements. Not only this, but Knightcorp can also help you create a risk management strategy to improve safety and reduce workplace injuries. Reach out today to start the conversation on building a smarter, safer workplace for your business.
For more information, please contact Knightcorp
DISCLAIMER: This information is provided to assist you in understanding the risks, implications, and common considerations for your industry. It does not constitute advice and is not complete. Please contact Knightcorp Insurance Brokers for further information.
DISCLAIMER: Third-Party Links: This article may contain links to external websites or content operated by third parties. These links are provided for your convenience and information only. Knightcorp Insurance Brokers does not endorse, approve, or accept responsibility for the content, accuracy, or security of any externally linked site.
Please note that any third-party websites are not covered by Knightcorp Insurance Brokers’ policies or procedures. We make no representations about the suitability of any information, product, or service contained on those sites for your needs. Use of third-party links is at your own risk, and we recommend reviewing their terms, conditions, and privacy policies.
For advice specific to your insurance needs, please contact your Knightcorp Insurance Brokers directly.