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Workers compensation reform: 27 March commencment

30 March 2026

Several reforms from the Workers Compensation Legislation Amendment Act 2025 and Workers Compensation Legislation Amendment (Reform and Modernisation) Act 2026 have been proclaimed to commence on 27 March 2026.

The first of these amends the Personal Injury Commission Act 2020 to allow the Personal Injury Commission (Commission) to appoint a tutor to represent and support a person under legal incapacity. This applies if proceedings before the Commission directly or significantly affects a person under legal incapacity.

A person under legal incapacity has the same meaning as defined in the Civil Procedure Act 2005,  and includes a child under the age of 18, an involuntary or forensic patient under the Mental Health Act 2007, a person under guardianship and a person who is unable to receive or express their wishes due to disability.

Amendments to the Personal Injury Commission Act 2020 have also been commenced to permit the President of the Commission to make a relevant order  to prohibit or restrict disclosure of certain Commission decisions. A relevant order may apply to details of a decision, a person’s name or other identifiable information, information in transcripts, lodged documents or recordings, and can relate to any party or witness.

The proclamation also commences amendments to the Workers Compensation Act 1987 to freeze the Nominal Insurer’s (icare) insurance premium target collection rate for two years.

From 30 June 2026 to 30 June 2028 icare must not file premiums with SIRA which would result in an increase from the 2025-26 target collection rate.

This does not prevent an individual employer’s premium increasing during the freeze period. Employer premiums may still increase due to a rise in wages, change in business activity or claims experience.

Finally, amendments to establish the NSW Chief Psychiatrist review into the effectiveness and appropriateness of the Psychiatric Impairment Rating Scale (PIRS) have also been commenced. The review will be conducted in accordance with terms of reference and consider the appropriateness of PIRS as a tool to determine the degree of permanent impairment of injured workers, as well as an alternative tool.

The final report on the outcome of the review must be tabled in parliament within 18 months of the assent of the Workers Compensation Legislation Amendment (Reform and Modernisation) Act 2026.

Further information can be found on the NSW Legislation website.

Updated 30 March 2026

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