Insurance Law

Author: Ben Hall, Special Counsel and Ryan Stehlik, Senior Associate 

Recovery claims under section 138 of the Accident Compensation Act 1985 (Vic) continue to be a cause of headache for general liability insurers. The Victorian WorkCover Authority frequently adopts an inflexible approach to the prosecution of such claims. No doubt this is partially informed by the quantification of the potential indemnity, using a methodology which is unique to Victoria, and clearly favourable to the VWA. oreover, it has been our experience that the VWA sometimes refuses to adopt a commercial approach to the resolution of claims, in circumstances where liability is in issue, thereby placing insurers and insureds in a difficult predicament.

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