Regulatory requirements for healthcare arrangements in the NSW workers compensation and CTP schemes

The State Insurance Regulatory Authority (SIRA) is undertaking a review into healthcare arrangements in the NSW workers compensation (WC) and CTP schemes.

A note from SIRA Chief Executive, Carmel Donnelly states, “We have a responsibility under legislation to ensure the schemes are delivered efficiently, effectively and sustainably.”

The health care spend of SIRA-regulated schemes accounts for over $1 billion annually. Scheme performance monitoring activity has highlighted escalating healthcare costs, particularly in the workers compensation scheme.

Donnelly said, “I commissioned Ernst and Young (EY) to look at the size of the medical spend in the personal injury schemes, what’s driving cost increases, and what other jurisdictions do.  EY’s preliminary findings confirm increased health care costs in the WC scheme, and that scheme inflation on top of Consumer Price Index (CPI) has increased from 8.5 per cent in 2016/17 to 10.5 per cent in 2017/18.”

Donnelly has categorically stated that she also wants to ensure health care outcomes for injured motorists and workers in NSW are the best they can be, “SIRA has work underway to improve its measurement of health care outcomes under the schemes.”

She has welcomes ideas on actions to ensure injured people receive high quality, evidence-based health care would also be most welcome and has encouraged you to provide feedback and participate in the consultation with a submission, which can be accessed on SIRA’s website here.

The consultation closes on Friday 1 November 2019 and in addition to the consultation paper there is an EY report and consultation questions to support your submission.