Excess buyout option

Employers may elect to pay additional premium to ‘buyout’ their liability to pay employer excess. This is called excess buyout. The cost of the excess buyout is 5% of the premium amount for the period, or $10, whichever is greater.

If you elect to insure against the excess, the cost of the excess is not included in claims costs for calculation for experience based rating.

How can I elect excess buyout?

You can only elect to insure against payment of the excess period at the start of a new policy or when renewing your policy. You cannot elect to have the excess buyout part way through a period of insurance (unless it is a new policy).

The excess buyout applies from the date the application is processed or the date commenced to employ, whichever is the latter.

Please call us on 1300 362 128 to elect for excess buyout.

Is GST and stamp duty charged on excess buyout?