UPDATE: A surge in WorkCover claims in Victoria is raising serious privacy concerns for claimants. Greg Muller, after a serious bicycle accident, found himself fielding invasive questions from a private investigator, highlighting the troubling practices surrounding workers’ compensation.
Muller spent four days in a trauma ward recovering from a fractured rib and shoulder injury after crashing his bicycle in inner Melbourne. While recuperating, he filed a WorkCover claim, only to receive a phone call that delved deep into his personal life. “It [the phone call] wasn’t just about my ride to work,” Muller stated. “It was about my family, where I’m living, what my work is like, do I have stress at work, how much I drink, my relationship with my partner.” The intrusive conversation lasted nearly half an hour.
This alarming trend comes as the number of Victorians filing WorkCover claims has surged, with 35,575 new claims recorded in the 2024 financial year, reflecting a 25 percent increase over three years. This surge has put financial strain on the system, prompting questions about who bears the responsibility for workplace injuries.
Muller’s claim was ultimately rejected by Allianz Australia, the insurer, because he was injured during his commute after work hours. “Allianz has determined that your injuries have not arisen in or out of the course of your employment,” the company stated. Despite his acceptance of the decision, Muller expressed frustration over the invasive questioning regarding his personal life, questioning why such an extensive interview was necessary when his accident did not meet WorkCover criteria.
Legal experts, including Kate Denning of Denning Insurance Law, emphasize that the personal information collected during these investigations is often extensive. “When someone makes a workers’ compensation claim, the insurer needs to figure out two main things: whether the person meets the definition of a ‘worker’ and whether the injury is one that falls under the scheme,” Denning explained.
Victorian legislation allows employees to claim compensation if their injuries arise out of or in the course of employment. However, the ambiguity surrounding definitions of “work-related injury” creates confusion. The Victorian Chamber of Commerce and Industry pointed out that while there are examples provided in the legislation, there is no definitive guideline, leaving many claimants in limbo.
Muller is also alarmed that Allianz claims it cannot delete his personal information from their records, especially in light of increasing cyber breaches. “Regarding the request to erase information obtained during the claim investigation, please note that we are unable to delete this information,” Allianz stated, raising critical questions about data privacy.
John Pane, a data privacy expert with Electronic Frontiers Australia, argues that Australian privacy laws must adapt to provide individuals with greater control over their personal data. “There is no current right in Australia that grants individuals the power to demand that their personal data be deleted,” Pane highlighted, emphasizing the need for reform.
Concerns over data retention are compounded by the fact that taxpayers have contributed over $1.3 billion to WorkCover to manage the rising costs associated with claims, particularly those related to mental health. With the number of claims rising sharply, the system’s sustainability is increasingly under scrutiny.
As this situation develops, claimants like Muller are left grappling with the invasive nature of the claims process and the uncertainty of their personal data’s security. The urgent need for clearer privacy regulations and fair treatment in the claims process is becoming more apparent.
Stay tuned for updates on this critical issue affecting workers across Victoria and beyond.
