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Insurers to Pay or Face Hefty Fines22 January 2002The changes to workers compensation laws mean that insurers must pay all claims within 7 days or face hefty fines. These changes came into effect on January 1, 2002. As soon as an injured worker reports an injury and receives a receipt number the insurance company has seven days to pay the claim. The insurance company must pay all claims unless they have a very sound reason not to pay. This however may not mean that the insurance company has to continue to pay. New workers compensation laws mean that, in most cases, weekly payments will start within 7 days of an injury being notified to an employer's insurance company, without accepting liability. These provisional payments are designed to reduce the impact of injury and illness, but do not mean an admission of liability by either the insurance company or the employer. The unions have welcomed this change and believe it will make a huge difference to their members, who rely on a weekly income and that income stops when they are hurt at work and can't work, through no fault of their own. In the past these workers have had to wait up to six months before receiving any entitlement and this has left them in a grave financial situation with some losing their homes because they could not make the loan repayments. The majority of people live week to week and cannot afford to be without an income and the changes to the laws should help to alleviate these situations. These changes to workers compensation in NSW mean that a person who has been injured at work receives their entitlements very quickly after suffering an injury. In the past a worker has waited several months to receive payments. From January 2002 there have been major changes to NSW workers compensation laws. These changes to workers compensation in NSW mean that help and assistance starts very quickly after someone has suffered an injury. A new Workers Compensation Commission has been established that provides a single organisation that helps parties come to agreement about a dispute or, when needed, will make a decision about a dispute. Union Assistance All unions have specialist Workers Compensation officers, most of whom are legally qualified. Unions provide comprehensive advice and assistance to their members in all areas of workers compensation, particularly ensuring that their members receive all their entitlements. Unions will also be making sure that the insurance companies and employers comply with the new laws. If you require further information or wish to join a union, contact your union or the Labor Council of NSW on 1800 655 919 or http://www.labor.net.au for further information about which union you are eligible to join. For further information
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