Motorists may soon save with the state government proposing cheaper greenslip prices despite an injured workers advocate saying any price cuts will be “short term gain with long term pain.”
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A report to the state government has recommended changes providing defined benefits for “low-severity” injuries. It means if a person has injuries to 10 per cent or less, they will lose their benefits after five years.
Central West Community Union Alliance spokesman Joe Maric said the changes would offload responsibility from insurers to taxpayers.
He said people have to turn to welfare after their benefits end. Labelling the changes “drastic”, he urged the Baird government to think about the people of the state and not insurers. Mr Maric said people injured travelling to work had used greenslip insurance after reforms to workers compensation.
“If insurers are taking money for a service, they should be responsible for that person,” he said.
“Whiplash is not a simple or mild injury, severe injuries can come from it, they’re not talking degrees of whiplash, but all types.
“The only benefit is for insurers, it’s a massive saving for them.”
Michael Evans, solicitor with Whitely Ironside and Shillington, said there was always tension between the certainty of an outcome and people’s circumstances.
“Two people with the same injury will sometimes have different outcomes, each person has a different job or life circumstances,” Mr Evans said.
“A soft-tissue injury might be alright for an office worker or a tradie’s working life might just be cut short.
“In moving towards efficiency, perhaps we’re losing some of the fairness.”
The state government claims the changes will mean future price rises, estimated at 10 to 20 per cent, will not be happen and motorists could have lower premiums.
According to the government, only 45 cents in each dollar paid for greenslips is used to support people’s injuries. The legislation is being considered, and if passed, will take effect in July 2017.