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If you employ a worker in the Northern Territory, you must arrange a workers compensation policy with one of the insurers approved by NT WorkSafe. Five are approved. You don't register with NT WorkSafe yourself: you buy the policy directly or through a broker, and the insurer tells NT WorkSafe it is in place. Insurers set premiums based on your industry, claims history, payroll and number of employees; there are no published rates.
The NT differs from other schemes in how it decides who is a worker. It uses the Australian Taxation Office's PAYG test, so the question is essentially whether you should be withholding tax from the person's pay. This page covers that test, the option to cover company directors, the rules for labour hire, and the penalties for being uninsured.
By Better Rate Mate Editorial Team ยท Last reviewed
| Northern Territory | |
|---|---|
| Regulator | NT WorkSafe |
| Who insures | 5 approved private insurers; 4 large self-insurers |
| Can you choose your insurer? | Yes. Contact an approved insurer or a broker |
| Who must insure | Any employer that employs a worker |
| Who is a worker | Defined by the ATO's PAYG employee test |
| Wage threshold | None |
| How premiums are set | By the insurer, based on industry type, claims history, payroll and number of employees; no official rates published |
| Registration | You don't register with NT WorkSafe; the insurer notifies it of your policy |
| Directors | Not workers by default, but can be covered if paid through PAYG and disclosed to the insurer |
| Penalty for not insuring | Up to $179,000 for a company, according to NT WorkSafe; it can also order you to stop business |
| Law | Return to Work Act 1986 |
The NT uses approved private insurers. NT WorkSafe says you can obtain a policy by contacting an insurance broker or one of the approved insurers directly. At the time of writing it lists five. Note that TIO is described by NT WorkSafe as Allianz Australia Insurance Limited trading as Territory Insurance Office, so two of the five names sit with the same insurer group.
A few very large employers self-insure (NT WorkSafe lists Coles Group, Wesfarmers, Westpac and Woolworths Group). The NT Government carries its own risk.
| Insurer (as listed by NT WorkSafe) |
|---|
| Allianz Australia Ltd |
| CGU Australia Pty Ltd |
| GIO General Ltd |
| QBE Workers Compensation |
| Territory Insurance Office (TIO) |
NT WorkSafe says employers must arrange a workers compensation policy if they employ a worker, and it defines a worker using the ATO's PAYG test. In practice, anyone you should be treating as an employee for PAYG withholding is a worker, and a contractor who passes the ATO's employee test is deemed a worker too, ABN or not. The ATO's employee or contractor decision tool is the place to start if you're unsure.
Two special cases matter. If you run a labour hire business, NT WorkSafe says all individuals you engage must be covered, whether they're employees or contractors. And a worker sent to the NT temporarily by an interstate employer for up to six months is an exception, because they stay under their home state's scheme.
NT WorkSafe doesn't publish premium rates. Approved insurers determine the rates and premiums they charge based on your industry type, claims history, payroll and number of employees. Because each insurer sets its own price, getting more than one quote, directly or through a broker, is the only way to know whether a price is competitive. Give every insurer the same industry description and payroll figure so the quotes are comparable.
A company director isn't a worker under the NT Act by default. There is, however, a provision for directors to be covered: NT WorkSafe says the director must be paid through PAYG and must be disclosed to the insurer. If you're a working director and want cover, raise it when you take out or renew the policy.
A sole trader isn't anyone's employee, so the scheme doesn't cover a sole trader's own injuries, as business.gov.au notes for every state. NT WorkSafe's own guidance warns that a sole trader who doesn't insure the workers they do engage is putting their personal assets at risk. For cover for yourself, see insurance for sole traders.
NT WorkSafe warns that penalties for failing to hold workers compensation insurance can reach $179,000 for a company, and that it can order an uninsured employer to stop business. A worker injured while employed by an uninsured employer can still be compensated through the scheme's nominal insurer arrangements, which then pursue the employer.
Each state and territory runs its own scheme, and an employer registers where its workers are based. If you employ people in more than one state, check each scheme, or see the eight schemes side by side.
Yes. NT WorkSafe says employers must arrange a workers compensation policy if they employ a worker. There is no wage threshold.
Contact one of the approved insurers directly or use an insurance broker. You don't register with NT WorkSafe; your insurer notifies it that the policy is in place.
By the ATO's PAYG test. If the person is an employee for PAYG withholding purposes, they are a worker for workers compensation, and a contractor who passes the ATO's employee test is deemed a worker.
Yes, if they are paid through PAYG and disclosed to the insurer. Directors aren't workers by default under the NT Act.
There are no published rates. Approved insurers set premiums based on your industry, claims history, payroll and number of employees, so compare quotes from more than one insurer.
NT WorkSafe says penalties can reach $179,000 for a company, and it can order an uninsured employer to stop business.
Better Rate Mate is an independent comparison site. We are not a workers compensation insurer, agent or regulator, and this page is general information for employers, not advice. For a policy, a premium or a claim, contact the scheme or a licensed insurer directly. If you have been injured at work, your employer's insurer and the regulator listed above can explain your entitlements.
