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What is Workers Compensation Fraud?

For many years now the workers compensation scheme has helped injured workers with lost wages, medical costs and returning to work. In NSW, employers must be insured to assist...

Justin Wong

For many years now the workers compensation scheme has helped injured workers with lost wages, medical costs and returning to work. In NSW, employers must be insured to assist injured workers, however, claimants must also be careful not to be misleading or deceptive when lodging their claims.

The Workplace Injury Management and Workers Compensation Act 1998 (NSW) makes it an offence to

  • Commit fraud by obtaining or attempting to obtain a financial advantage under the workers compensation scheme, by deception, and
  • Falsify a statement knowing that it is false or misleading in a claim, medical certificate or any information related to claim.

Fraud can occur in a number of unsuspecting ways, such as claiming an injury that didn’t occur at work or even failing to notify the relevant authority of a change in income.

Offences can also be committed by someone other than the injured person, for example if a witness such as a co-worker makes a false statement to support a claim or if a friend submits a false document on behalf of the claimant. Health professionals may also be prosecuted for billing for services or consultations that were not provided.

If found guilty of either of these offences, penalties can be up to $55,000 and/or 2 years imprisonment. 

For more information on workers compensation visit our webpage here.

If you are charged with workers compensation fraud and need further assistance, contact us on 9025 9888.