As a substantial employer in Queensland, you have choices regarding how WorkCover Queensland calculates your premium. You can opt for the existing Experience Based Rating (EBR) calculation method, or you can select the Large Employer Alternative Pricing (LEAP) method.

What does  Large Employer Alternative Pricing (LEAP) offer? Large Employer Alternative Pricing (LEAP) provides a premium pricing model that acknowledges the importance of injury prevention, rehabilitation, and return to work. It may be a more suitable option if the claim costs in your industry exceed those of your organization.

Who qualifies? WorkCover Queensland will assess your eligibility for Large Employer Alternative Pricing (LEAP) if you qualify for a self-insurance license in Queensland as a single or group employer and employ a minimum of 2,000 full-time workers (FTE) in Queensland. Additionally, consideration will be given if you are a returning entity to the WorkCover Queensland fund or exiting the Queensland scheme. During the review, your claims history, occupational health and safety performance, and compliance with Work Health and Safety and Workers' Compensation and Rehabilitation Act and Regulation will be evaluated based on the last five consecutive injury years.

We seek a genuine commitment to work health and safety from your organization and look for evidence of improved safety practices, incident management, and assistance to workers returning to work after an injury. A written commitment to ongoing safety and injury management from a senior executive of your organization is required.

Applying for LEAP To initiate the process, please get in touch with your WorkCover Relationship Manager.

Large Employer Alternative Pricing (LEAP) Premium Calculation.  The Large Employer Alternative Pricing (LEAP) insurance period spans three consecutive years. For each injury year, the calculation involves:

1. Upfront normal EBR premium
2. Three annual premium adjustments (plus GST and stamp duty)

Considerations include:

• Annual adjustment = release factor x [(Claims x Runoff factor) - (EBR + all prior adjustments)]
• Min/max premium cap: +/- 50% of EBR premium

Updated run-off and release factors are published annually in the Queensland Government Gazette.

Claims Costs include:

• Four-year run-off (claims development) per injury year
• Individual event-based claim caps: $350,000 or $500,000 (combined statutory and common law costs)
• All 'net' claim costs (encompassing journey and recess away from work claims and investigation costs).

Key Definitions:

• Run-off factor: A gross-up factor determining ultimate claims costs, considering remaining claim development, admin costs, and cost spreading. The run-off factor decreases with claims development.
• Release factor: Manages or diminishes the volatility of the retrospective adjustment, increasing with claims development.

Factors for 2023-24 injury year

You can read more detail about our LEAP product in the Queensland Government Gazette.