Section 73 of The Workers Compensation Act (the Act) groups employers into five broad classes (Classes A to E). Class E Employers pay for the costs of the workers compensation system based on their payroll and Claim Costs Experience. These employers are subject to the collective liability provisions of the Act.
This policy provides a framework for the removal of claim costs from a Class E Employer's Claim Costs Experience and assigning them to a collective cost pool (Cost Relief) and for the transfer of claim costs from a Class E Employer to another employer in Classes A to E (Cost Transfer).
Policy 31.05.15, Cost Transfer - Self Insured, provides a framework for the removal of claim costs from a Self-Insured Employer's Claim Costs Account through Cost Transfer.
Appendix A includes a glossary of commonly used terms.