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Standard 7 - interim pre-injury average weekly earning calculation

Providing for an interim pre-injury average weekly earnings (PIAWE) calculation enables workers to be supported by commencement of weekly payments, even when the insurer has insufficient information to make a complete calculation.

Interim pre-injury average weekly earnings calculation

Principle: Weekly payments to workers will commence as soon as possible, and workers will not be disadvantaged because the insurer has not been able to obtain all information required to calculate PIAWE.

ExpectationBenchmark
S7.1 For claims where weekly payments may be payable, insurers must request from the employer as soon as possible any pay information required for the purposes of calculating the worker’s PIAWE. Request made within three working days from receipt of an initial notification.
S7.2 If the insurer is required to start weekly payments but does not have sufficient information to make a complete PIAWE calculation, the insurer must consult the worker and the employer, calculate PIAWE based on the best available information and communicate the calculation in a work capacity decision (interim PIAWE). Worker and employer informed within two working days after decision.
S7.3 Where the insurer makes an interim PIAWE calculation, the insurer must again request from the employer as soon as possible the information required to undertake a complete PIAWE calculation. Further information sought within five working days after interim PIAWE calculation.
S7.4 Insurers must recalculate a worker’s PIAWE as soon as possible following receipt of the information required to undertake a complete PIAWE calculation.
If the interim PIAWE amount was incorrect, the insurer must advise the worker in a work capacity decision of the new PIAWE amount and:
  • if the new PIAWE calculation is more than the interim PIAWE calculation, the insurer must pay the backpay due to the worker; or
  • if the new PIAWE calculation is lower than the interim PIAWE calculation, the overpayment to the worker must be dealt with in accordance with Standard 23.
PIAWE to be recalculated within five working days from receipt of required information.