Business Insurance Online :: News
SHARE

Share this news item!

icare Ushers in Major Changes Starting Next Week

icare Ushers in Major Changes Starting Next Week

icare Ushers in Major Changes Starting Next Week?w=400

The information on this website is general in nature and does not take into account your objectives, financial situation, or needs. Consider seeking personal advice from a licensed adviser before acting on any information.

Commencing on October 8, icare is gearing up for significant structural changes aimed at streamlining operations and boosting efficiency.
This initiative comes in response to a comprehensive Operational Expenditure Review conducted by NSW Treasury, which outlines 14 pivotal findings to help reduce the state's insurer's service costs by 5%.

NSW Treasury's review sheds light on a complex legacy of governance, culture, and accountability issues within icare. The review highlights the need for proactive management and closer collaboration between NSW Treasury, icare, and the State Insurance Regulatory Authority to establish an enhanced reporting framework that supports greater accountability.

The review has been seen as a guiding document for icare’s next phase. According to a spokesperson for icare, "This is an opportunity to deepen our commitment to transformation and address the recommendations comprehensively. Our internal initiatives already indicate that we can achieve more than a 5% reduction in core operational expenses."

Work Health and Safety Minister Sophie Cotsis emphasized the necessity of these changes to restore public confidence in icare. "Transparency and operational efficiency are paramount. This review will serve as a road map to elevate accountability within icare and across the state insurance system," she said.

A noteworthy alteration includes amendments to the State Insurance and Care Governance Act 2015. These changes are intended to bolster the accountability and transparency of icare's business performance. A significant shift will see icare's CEO no longer serving on the board, and the Secretary of the Treasury Department joining the board. Additionally, CEO appointments will now require ministerial approval.

icare has had a challenging few months, including the July departure of CEO Richard Harding. The insurer, which handles around 80,000 claims annually for about four million workers, is actively searching for a new CEO. In the interim, focused efforts are being made to save approximately $23 million a year. Talks with union representatives and staff are underway, with potential impacts on up to 130 jobs among icare’s approximately 1,800 employees.

Cotsis has also directed a letter to icare chair John Robertson seeking detailed plans on how the review's findings will be implemented. "Thorough and clear responses will be necessary to navigate these changes effectively," she added.

The information and insights shared in this article originate from a similar piece published on insuranceNEWS.com.au, ensuring that all steps are taken to offer a fresh perspective while keeping you informed of the pivotal structural changes within icare.

Published:Tuesday, 1st Oct 2024
Author: Paige Estritori

Please Note: We do not endorse any specific products or companies. Some content is sourced from third parties, including press releases, and may not be independently verified for accuracy or completeness.

Share this news item:

Insurance News

Deloitte's 2026 Insurance Predictions: Key Trends Shaping the Future
Deloitte's 2026 Insurance Predictions: Key Trends Shaping the Future
17 Apr 2026: Paige Estritori
As Australia's insurance industry stands on the cusp of significant transformation, Deloitte's latest report, 'Insurance Predictions 2026,' offers a comprehensive analysis of the key trends poised to reshape the sector. The report underscores the imperative for insurers to adapt to rapid technological advancements, escalating climate risks, and evolving regulatory landscapes. - read more
APRA Warns of Heightened Risks in Australia's Insurance Industry
APRA Warns of Heightened Risks in Australia's Insurance Industry
17 Apr 2026: Paige Estritori
The Australian Prudential Regulation Authority (APRA) has recently issued a cautionary statement regarding the elevated risks confronting the nation's insurance sector. This alert underscores the necessity for insurers to bolster their resilience against a backdrop of climate hazards, cyber incidents, and global geopolitical tensions. - read more
Private Health Insurance Premiums Set to Increase by 4.41% in April 2026
Private Health Insurance Premiums Set to Increase by 4.41% in April 2026
17 Apr 2026: Paige Estritori
Australian private health insurance policyholders are set to experience a significant premium increase, with rates rising by an average of 4.41% from April 2026. This adjustment marks the most substantial hike since 2017, reflecting the escalating costs associated with medical and hospital services. - read more
Debate Intensifies Over Proposed Legal Fee Caps in Australian Insurance
Debate Intensifies Over Proposed Legal Fee Caps in Australian Insurance
09 Apr 2026: Paige Estritori
The Australian insurance sector is currently witnessing a significant debate over the Insurance Council of Australia's (ICA) proposal to implement caps on legal fees associated with civil liability claims. This initiative aims to address the rising insurance premiums that have been a concern for small to medium business owners across the nation. - read more
Premium Affordability and Cybersecurity Emerge as Top Challenges for Australian Insurers
Premium Affordability and Cybersecurity Emerge as Top Challenges for Australian Insurers
09 Apr 2026: Paige Estritori
In the dynamic landscape of the Australian insurance industry, a recent survey conducted by Gallagher Bassett has shed light on the primary challenges confronting insurers in 2026. The findings underscore a significant reshaping of priorities, with premium affordability, cybersecurity, and labour shortages emerging as the most pressing concerns. - read more


Business Insurance Articles

Key Factors to Consider When Comparing Business Insurance Options
Key Factors to Consider When Comparing Business Insurance Options
Business insurance is a vital aspect of safeguarding your company's interests and mitigating potential risks. Whether you are a small startup or a well-established organization, having appropriate insurance coverage is essential for protecting your assets, finances, and reputation. - read more
Avoiding Underinsurance: How to Adequately Cover Your Growing Business
Avoiding Underinsurance: How to Adequately Cover Your Growing Business
When it comes to protecting the vitality and financial health of a growing business, insurance is a keystone. Yet, amidst the day-to-day hustle of driving your business forward, it's surprisingly easy to overlook the adequacy of your insurance policies - a misstep that can lead to the perilous state of underinsurance. In this article, we will delve into the essential knowledge and strategies to ensure your business is sufficiently covered, shielding it from unexpected setbacks and losses. - read more
How to Lower Your Insurance Costs Without Sacrificing Coverage
How to Lower Your Insurance Costs Without Sacrificing Coverage
Insurance costs can be a significant expense for businesses in Australia, and it is crucial to understand how they can affect your bottom line. With premiums on the rise, many business owners are looking for ways to cut costs while maintaining the coverage they need to protect their operations. - read more
Cash Flow Management Strategies for Small Business Sustainability
Cash Flow Management Strategies for Small Business Sustainability
Understanding the ebbs and flows of your business finances is more than just knowing numbers; it's a vital component of your small business's longevity and success. In the ever-dynamic landscape of entrepreneurship, cash flow management emerges as a centerpiece in the grand puzzle of sustainability. Small businesses, with their limited resources, often face the pronounced challenge of maintaining a healthy financial heartbeat to thrive and grow. - read more
Common Insurance Mistakes Small Business Owners Should Avoid
Common Insurance Mistakes Small Business Owners Should Avoid
Running a small business in Australia comes with its unique set of challenges and risks. One crucial aspect that every small business owner must consider is liability insurance. Liability insurance is designed to protect businesses from various claims and lawsuits that can arise in the course of their operations. Whether it's a customer slipping and falling in a store or a disgruntled employee filing a lawsuit, having the right insurance can provide a financial safety net. - read more

Knowledgebase
Peril:
A specific risk or cause of loss covered by an insurance policy, such as fire, theft, or flood.