transforming under performing workers compensation schemes
TRANSCRIPT
NATIONAL CONFERENCE & EXHIBITION 2014
Platinum Sponsor
Silver Sponsor Bronze SponsorRisk Manager of the Year
Award Sponsor
Conference and Exhibition Partners
National Conference & Exhibition 2014
Transformingunder performing
workers compensation
schemesRob CordinerGeneral Manager, InsuranceWorkCoverSA
SimpleEasy
I understandService
HelpClarity
Run it like any businessI can perform/achieve
Business planROI
Value
Tax: expensiveLegal processGovernmentRegulation
CompulsoryTechnicalLong tailComplex
HardPoor Motivation
‘Regulatory framework’
National Conference & Exhibition 2014
Government workers compensation: Makes you think?
Doctors
Lawyers
ActuaryRehab
provider
Loss adjustor
Customers
Stake holders
Suppliers
ABetter life
ABetter life A better life
Now
National Conference & Exhibition 2014
Common features of underperforming Government owned schemes
Hindering historyRegulator V Insurer role
Stakeholders V controllers
Complexity
One size/rule fits all
Beliefs V facts
Past failures – stuck in past
Worse future
Trust down – drama up
Spin & defence
Insurer V Social welfare
Limited product knowledge
Supporting futureInfrastructure
Customers ‘ pain
Needing clear direction
Sphere of action - now
Sphere of influence - future
Brightness of future
Separate insurer & regulator
Investment performance
Exec product knowledge
Target execution to results
Wear a bullet proof vest
VisionMission
Specifictargets
Goals&
Objectives
MonitorAnalyse trends
FeedbackAction
AskExpect
Demand
Provideright tools
TrainSupport
Accountable
Operational strategy
When dramais up
Trust isdown
If I want thingsto change,
Then first I....
ClarityLeads to
power totake action
Look for blame & justification
It might tell you what you are not
taking responsibilityfor
The little thingsdon’t mean anything
They mean.....................
High performancetools need
High performance management
Cultural improvementthrough
Personal leadership
National Conference & Exhibition 2014
Our clear “Asks & Demands”Small business - Early service
Whole scheme – manage boundaries
Expect success &
Pay for success
9
Registered employers
Copyright WorkCoverSA 2014
As at 30 June 2014, there were approx. 49,500 registered employers.
< $20k base premium and < $300k remuneration.
$20K-$500k base premium and > $300k remuneration.
> $500k base premium.
Break even premium rate
3.34% 2012-13
Copyright WorkCoverSA 2014
2.87%2013-14
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Claims liability improvement
$298 million claims liability release.Best release in more than 14 of the last independent valuations.
2014
People with income maintenance claimsReduction across the board of people on the scheme at 2, 13, 26 and 52 weeks.
Copyright WorkCoverSA 2014
17% 16%
17% 8%
People with income maintenance claims
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Workers are returning to work earlier compared to 2012-13 meaning less people are remaining on the scheme at key milestones.
People entitled to income maintenance
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People entitled to income maintenance down 24.3 per cent to last year.
Investment return
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$290 million return on investments.Continues to grow, out performing our 10 year average.
Unfunded liability$234 million improvement (17%) to our unfunded liability.
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Scheme funding ratioIncreased by 7.3% (71%)Funding ratio back over 70 per cent for the first time in 12 years.
Copyright WorkCoverSA 2014
Thank you.
NATIONAL CONFERENCE & EXHIBITION 2014
Platinum Sponsor
Silver Sponsor Bronze SponsorRisk Manager of the Year
Award Sponsor
Conference and Exhibition Partners