My workers comp claim was rejected. What does that mean?

Rejection (formally 'denial of liability') means the insurer doesn't accept that you're entitled to workers compensation. Common reasons include: the injury isn't accepted as work-related, capacity assessments dispute your level of incapacity, the insurer disputes the medical evidence, or claim notice requirements weren't met. Most rejections can be challenged.

Can I get free legal advice for my rejected claim?

Yes, in NSW. The Independent Review Office (IRO) funds free legal advice and representation for injured NSW workers in disputes through the Approved Lawyers Scheme. Other states have similar (though less generous) review processes: Queensland Workers Compensation Conciliation, Victoria's Accident Compensation Conciliation Service, WA's WorkCover Conciliation Service, SA's South Australian Employment Tribunal. You can also contact a law firm that advertises on CompoCheck for your state and claim type.

How long do I have to dispute a rejection?

Time limits vary by state but most schemes give you 28 days to 3 months to lodge a dispute. Evidence preservation is important and dispute deadlines are strict. Even if you've passed the formal deadline, late disputes can sometimes still proceed.

What evidence helps reverse a rejection?

Medical records contemporaneous with the injury, GP notes, specialist reports, evidence linking the injury to work activities, witness statements from co-workers, and (for psychological injuries) treating psychologist or psychiatrist reports. A lawyer can organise this evidence as part of the dispute process.

Claim guide · Reviewed 4 May 2026

Workers comp claim rejected: what to do next

Q: How often are rejections reversed?

Most rejections are reversed when properly challenged with strong medical evidence and legal representation. Insurers reject claims for many reasons, sometimes wrongly. The dispute process forces independent assessment of the evidence. Don't accept the rejection at face value.

Most rejections are reversed when properly challenged. Here's the playbook, by state, with free legal advice options where they exist.

Don't accept the rejection at face value

Insurers reject claims for many reasons, sometimes legitimately, often wrongly. The dispute process exists precisely because rejections aren't always correct. Your goal is to challenge the rejection with proper evidence and legal advice, not to accept it.

Step 1: Read the rejection letter carefully

The insurer's notice of decision must give reasons. Common rejection reasons:

The injury is not accepted as arising out of or in the course of employment.
The medical evidence doesn't support the claimed level of incapacity.
The injury is attributed to pre-existing conditions or non-work activities.
Notice or claim form requirements weren't met within time.
For psychological injuries: the cause is "reasonable management action" rather than negligence.

The reason determines the response strategy.

Step 2: Get free legal advice

NSW: The Independent Review Office (IRO) Approved Lawyers Scheme funds free legal representation for injured NSW workers in disputes. Ask any law firm you contact whether it is an IRO Approved Lawyer.

Other states: Free advice options are more limited but most state schemes have conciliation services that provide some support. Many Australian personal injury firms offer free initial consultations and no-win-no-fee arrangements. Ask any firm you contact for its costs agreement before committing.

Step 3: Lodge a dispute within time

Time limits to dispute a rejection vary by state:

NSW (icare): Internal review request, then dispute via the Personal Injury Commission.
VIC (WorkCover): Conciliation conference within set timeframe.
QLD (WorkCover): Application for review to the Workers' Compensation Regulator.
WA (WorkCover): Application to WorkCover Conciliation Service.
SA (RTWSA): Internal review, then SA Employment Tribunal.

A lawyer can manage the dispute timeline and lodgement.

Step 4: Build the medical evidence

Most disputes turn on medical evidence. Your treating GP's records, specialist reports, and (where appropriate) independent medical examiner reports become the case. For psychological injury disputes, treating psychologist and psychiatrist reports are essential. Keep all medical records, certificates and treatment notes.

Step 5: Attend the dispute hearing or conciliation

Most state schemes require an attempt at conciliation or pre-hearing settlement before a formal hearing. Your lawyer represents you, presents your evidence, and negotiates with the insurer's representative. Many disputes resolve at this stage.

What if I lose the dispute?

Further appeal options exist (e.g. tribunal or court appeals). A lawyer can advise on whether further escalation is viable. Even where statutory benefits are denied, common-law damages may still be available for serious injuries caused by employer negligence.

Contact a workers compensation lawyer about your dispute

Take the 60-second eligibility check to contact the law firm that advertises on CompoCheck for your state and claim type. In NSW, ask whether the firm is an IRO Approved Lawyer, as IRO can fund legal representation in disputes.