Higher Premiums For Workers Compensation

Northern Advocate, 17 May 1949, Page 4

Higher Premiums For Workers Compensation

EMPLOYERS will pay more for their workers’ compensation insurance under the state monopoly brought into effect by recent legislation. While some rates are lower, and employers of small office staffs will benefit, the general scale is higher, in some cases by as much as 100 per cent.

In the case of the Waikiekie Lime Works the total premium on a wage bill of £6OOO is £IOO more under the State Fire Insurance than was paid to a private company for the same cover.

Individual rates in this case are:— Manager £4/10/- per £IOO of cover compared with £2/14/-; mill workers £4/10/- compared with £2/14/-; quarry hands £5/8/- compared with £4/10/-. The firm’s secretary (Mr F. J. Philpott) has been directed to protest against the charges. Public institutions employing domestic staff have been hard hit by the epange. The insurance premium for the entire staff of the Whangarei Public Hospital this year will be £347, while, computed under the premiums for a similar number of employees on the old rates, the premium would be £l7l for the same cover.

Individual rates increased by more tnan 100 per cent. Domestic staff rates were 7/6 per cent and are now 15/per cent; nurses previously 7/6 per cent, now 15/-; medical staff previously 6/- per cent, now 15/- per cent. LESS FOR SHOP ASSISTANTS A business firm in Whangarei which paid £37/2/- for employers’ liability now pays £42/3/-, an increase of slightly over 13 per cent. Shop assistants will be covered for. slightly less by the State Fire Insurance as their premiums dropped from 7/6 per cent to 6/- per cent, but garage attendants and vulcanisers will be covered for 25/- compared with £1 under a private company. A firm of garage proprietors protested to the general manager of the State Fire Office according to its right under the act. They received a reply stating that it was charged under the gazetted rates, and nothing could be done. The increased amount was paid under protest. Types of businesses which operated a mutual cover are not affected by the new provisions for a state monopoly. SAWMILLING Sawmilling is one such. Mill owners insure under the Sawmillers’ Mutual Accident scheme. Typical rates are £5 for mill hands, reduceable to £2 to £2/10/- at the end of the year’s transactions, depending on the number of claims..

This premium provided £5/10/- per week for disablement and £3OOO in the event of death in the mill or bush. Comparable rates are £5/8/- for quarry hands without the right of return of unexpended premiums from the common pool. Employers who would normally be computed below the minimum by a private company were charged the usual minimum of 10/- per year. The minimum flat rate has been reduced by the state to 5/-. The indications from a general survey of typical employers in Whangarei were that insurance is costing more, and employers have either protested against the compulsory increase, or have heard of the fate of similar protests by associates and have decided to pay the increased amount with a bad grace.

Only 99.96 P.C. Of

Rates Collected

KAEO, Tue. (Sp.).—“We had a little talk—in fact, we had three little talks—but I couldn't persuade the only late ratepayer to pay up just yet.” With this comment, the county clerk (Mr M. H. Guthrie) told the Whangaroa County Council yesterday that 99.96 per cent of European rates had been collected up to March 31, 1949. In 1947-48, 100 per cent of European rates was collected.

Total levied this year was £4540. The amount in arrears on March 31 was £2.