Just received this from my PM
RENTAL OWNERS and WORKERS COMPENSATION
As from JULY 1 2005 changes to legislation which governs workers compensation insurance come into effect and effectively the changes make it compulsory for all owners of residential investment properties to have workers compensation insurance cover.
PENALTY OF UP TO $5 000 FOR NON COMPLIANCE
“PLUSâ€- personal liability for recovery of the workers compensation claim.
This applies even though the individual contractor may have workers compensation insurance and cover should be arranged before the due date with your insurer.
DUE to financial services reform act, your REA cannot arrange this on your behalf but as your Property Managers we advise that this is insurance is compulsory and YOU MUST ARRANGE COVER with your insurer.
As an example of the cost and since you are insured with them A** Insurance Brokers will cover as an add on to existing policy holders of Building Insurance and Landlords Protection Insurance for $66.32 per property owned.
The changes to the legislation can be found at http://www.workerscomp.wa.gov.au , please raed the frequently asked questions section for examples.
Please read the website and arrange cover in plenty of time to comply with your new legal obligations.
D**** ***** REA
“Money is a currency, like electricity and it requires momentum to make it Effective”
Count The Currency With This Online Positive Cashflow CalculatorLooks ambigious to me, i’ve contacted DOCEP to get thier take on the issue.
Anyone else know any more?
“Money is a currency, like electricity and it requires momentum to make it Effective”
Count The Currency With This Online Positive Cashflow CalculatorDocep have told me to contact a lawyer and get advice?
I’ll keep you posted
“Money is a currency, like electricity and it requires momentum to make it Effective”
Count The Currency With This Online Positive Cashflow CalculatorHi all,
Like I just said on Somersoft… Just another great reason for me to keep on investing in New Zealand… Do the various fed and state govts want to drive OZ PI’s out of the game?
Cheers, Nobleone. [biggrin]
“Making mistakes is just another another tool for learning.”
Why would residential IP owners need workers compensation insurance? Sounds like BS to me.
Another REA i spoke to said it’s prob true- insurance companies bleeding the public.
REIWA stamp on the letter also, i’ve asked them too…
“Money is a currency, like electricity and it requires momentum to make it Effective”
Count The Currency With This Online Positive Cashflow CalculatorWhy would residential IP owners need workers compensation insurance? Sounds like BS to me.
Originally posted by JasonBourne:Why would residential IP owners need workers compensation insurance? Sounds like BS to me.
What are you saying Jason? That having an insurance that may be a legal requirement is something you wouldn’t do?
Simon Macks
Finance Broker
[email protected]
0425 228 985Comments may not be relevant to individual circumstances. If you intend making any investment, financial or taxation decision you should consult a professional adviser.
Originally posted by Mortgage Hunter:Originally posted by JasonBourne:Why would residential IP owners need workers compensation insurance? Sounds like BS to me.
What are you saying Jason? That having an insurance that may be a legal requirement is something you wouldn’t do?
No Simon,
I think (correct me here if I am mistaken) Jason is questioning the need for residential property owners (landlord/ladies) to take out workers compensation insurance, when clearly this type of cover is designed to safeguard “employees.” In that regard, I’m afraid I have to agree, how does it correlate??? [blink]
I personally can’t understand the need for it, but obviously if it is a legal requirement, then I guess I (as will most) landlord/ladies have to cop it sweet!! [blush2]
Cheers,
Jo
Can you change it?
If the answer is no then pay it or don’t own property in this state.
Why waste emotional energy fighting it or complaining? Turn your effort to something a little more productive.
If the answer is yes then change it and everyone will be happy [biggrin]
Simon Macks
Finance Broker
[email protected]
0425 228 985Comments may not be relevant to individual circumstances. If you intend making any investment, financial or taxation decision you should consult a professional adviser.
Be Nice if it was BS jason…but i dont think so somehow…[confused2]
“Money is a currency, like electricity and it requires momentum to make it Effective”
Count The Currency With This Online Positive Cashflow CalculatorUproar in WA
Hey we’re still smarting about the fact that a female proprety owner (investor) is losing her house under the proceeds of crime act as her tenants were using the house to grow/sell marijiuana.A guy on 6PR Radio rang up the other day wanting to know what to do, his parents rent thier IP privately and the son did the last inspection; he saw one room had been converted into a green room (literaly) his quandory now “do i tell the cops? and if i do will my parent lose thier house?”
I believe we as the Property Owners also have to ensure that if your tenanthas a potentialy vicious (protective or scared) dog- then you as the PI are responsible for erecting a “Beware of Dog” sign..
I also got a letter some time back regarding shower screens and that you are required to replace them if theyare not safety glass due to a tenant falling through one and slicing himself open, again you are supposedly liable..yet in a meeting i went to the commercial buildings only had to meet the fire code of the day when they were built, they dont need to be upgraded to todays codes even for the basics such as a fire panel (and there are numerous people in the buildings 24/7)
Whats next ?
having no problems with my shares at the moment though… [blush2]
“Money is a currency, like electricity and it requires momentum to make it Effective”
Count The Currency With This Online Positive Cashflow CalculatorOriginally posted by Mortgage Hunter:Can you change it?
If the answer is no then pay it or don’t own property in this state.
Why waste emotional energy fighting it or complaining? Turn your effort to something a little more productive.
If the answer is yes then change it and everyone will be happy [biggrin]
Are you asking ME specifically?? [blink]
If yes, as I said Simon, I am not overly concerned, if it has to be paid so be it.
I don’t know that it will apply to us here in Vic (it may well do) and again, if so, so be it.
All I said was “I don’t see how it correlates.”
Who’s complaining?? [blink]
Cheers,
Jo
Monopoly got it right, I’m questioning why landlords need it, when it is for the protection of employees.
This question has still not been answered, so it still sounds like BS to me.[V]
Can you change it…yep…just don’t pay it. I can’t believe people would blindly pay this without any explanation of why they were paying it!!!![blink][dazed][dazed]
Anyone care to explain why IP owners would need to take out workers compensation insurance?
cheers,
Jason.Uproar in WA
Hey we’re still smarting about the fact that a female proprety owner (investor) is losing her house under the proceeds of crime act as her tenants were using the house to grow/sell marijiuana.A guy on 6PR Radio rang up the other day wanting to know what to do, his parents rent thier IP privately and the son did the last inspection; he saw one room had been converted into a green room (literaly) his quandory now “do i tell the cops? and if i do will my parent lose thier house?”
I believe we as the Property Owners also have to ensure that if your tenanthas a potentialy vicious (protective or scared) dog- then you as the PI are responsible for erecting a “Beware of Dog” sign..
I also got a letter some time back regarding shower screens and that you are required to replace them if theyare not safety glass due to a tenant falling through one and slicing himself open, again you are supposedly liable..yet in a meeting i went to the commercial buildings only had to meet the fire code of the day when they were built, they dont need to be upgraded to todays codes even for the basics such as a fire panel (and there are numerous people in the buildings 24/7)
Interesting post..all part of the joy of owning property, hey!!. Although, all the above issues relate to a property owner’s legal liability at common law, not workers compensation insurance (just keepin’ the thread on track).
cheers
JasonI’m sorry but after reading the information of the provided link, repeatedly, I STILL cannot fathom the correlation between the need for Workers Comp insurance and residential property owners cover for tenants!!!
The ONLY section that even HINTS to have some merit is:
Example 3.
A sub-contract paver who happens to be a working director repairs the paving of a rental property owned and rented out by an investor. The investor, in this instance called the principal, would be required to cover the working director because the working director performs the work and the work is for the purpose of the principal’s trade or business – the investor is in the business of maintaining and renting out residential properties.However, as a “CONTRACTOR” this tradie would have to have his/her own insurance cover to safeguard against injury, based on the fact that they are indeed a “contractor” and not an “employee”.
Jason, I agree wholeheartedly, this claim does not hold water, well not on the surface anyway. Thus I too, would like to hear from those who can verify its legitimacy!!!
Cheers,
Jo
Originally posted by JasonBourne:Monopoly got it right, I’m questioning why landlords need it, when it is for the protection of employees.
This question has still not been answered, so it still sounds like BS to me.[V]
Can you change it…yep…just don’t pay it. I can’t believe people would blindly pay this without any explanation of why they were paying it!!!![blink][dazed][dazed]
Anyone care to explain why IP owners would need to take out workers compensation insurance, or shall we dodge the explanation in true Derivex style??[devilish]
cheers,
Jason.Are you suggesting that people not pay an insurance they seem to be legally required to have?
You are either trolling for an argument or are an idiot.
If people want to make a issue of it I suggest there are safer ways to do so than to leave yourself open to losing everything you may own.
Simon Macks
Finance Broker
[email protected]
0425 228 985Comments may not be relevant to individual circumstances. If you intend making any investment, financial or taxation decision you should consult a professional adviser.
Originally posted by Monopoly:I’m sorry but after reading the information of the provided link, repeatedly, I STILL cannot fathom the correlation between the need for Workers Comp insurance and residential property owners cover for tenants!!!
The ONLY section that even HINTS to have some merit is:
Example 3.
A sub-contract paver who happens to be a working director repairs the paving of a rental property owned and rented out by an investor. The investor, in this instance called the principal, would be required to cover the working director because the working director performs the work and the work is for the purpose of the principal’s trade or business – the investor is in the business of maintaining and renting out residential properties.However, as a “CONTRACTOR” this tradie would have to have his/her own insurance cover to safeguard against injury, based on the fact that they are indeed a “contractor” and not an “employee”.
Jason, I agree wholeheartedly, this claim does not hold water, well not on the surface anyway. Thus I too, would like to hear from those who can verify its legitimacy!!!
Cheers,
Jo
I am the first to admit I know nothing about this WA requirement. I hope you are correct Josie as it seems an onerous requirementforthe landlord and a double up of insurances already in place.
One might need to consider what cover you have for a friend or famly member working on your property for you though?
Simon Macks
Finance Broker
[email protected]
0425 228 985Comments may not be relevant to individual circumstances. If you intend making any investment, financial or taxation decision you should consult a professional adviser.
Originally posted by Mortgage Hunter:
One might need to consider what cover you have for a friend or famly member working on your property for you though?I would hope Simon, that you (or whoever) would have adequate public liability, as this is generally sufficent to cover “friends, family and public in general” but of course, as with any legislative ruling, is never totally conclusive, especially if the case is strongly in (or against) your favour.
Originally posted by Mortgage Hunter:
You are either trolling for an argument or are an idiot.Hardly fair, simply because Jason is questioning the validity of a legistlation that ultimately could impact on his (and others) investments???
Perhaps his comment re Derivex was not to your liking, hence your deletion of same, but you don’t have the right to call him an idiot simply because he is not gullible enough to take everything that is put in front of him as gospel!!!
Cheers,
Jo
Originally posted by Mortgage Hunter:
You are either trolling for an argument or are an idiot Hardly fair, simply because Jason is questioning the validity of a legistlation that ultimately could impact on his (and others) investments???.Do you not understand what I wrote Josie? I thought you were a little brighter than you are coming across.
My point was that encouraging people to be under insured and exposed is idiotic. I spend a lot of time editing posts that have dangerous or ill thought out advice in them.
Time to lock this as no useful info is forthcoming.
I hope you have a lovely weekend.
Simon Macks
Finance Broker
[email protected]
0425 228 985Comments may not be relevant to individual circumstances. If you intend making any investment, financial or taxation decision you should consult a professional adviser.
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