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In NSW, it is compulsory to have a workers compensation policy if:
- You engage workers or contractors deemed to be workers and pay, or expect to pay, more than $7,500 a year in wages, or
- You engage apprentices or trainees, or you are a member of a Group for workers compensation purposes.
In NSW, a worker for workers compensation purposes is: ‘a person who has entered into or works under a contract of service or a training contract with an employer (whether by way of manual labour, clerical work or otherwise, and whether the contract is expressed or implied, and whether the contract is oral or in writing)'.