---
title: What happens if I let my workers compensation policy lapse?
description: Letting your workers comp policy lapse can result in serious legal and financial consequences.
---

[Skip to content](https://knowledge.ausrehab.com/what-happens-if-i-let-my-workers-compensation-policy-lapse#main-content)

English

Show submenu for translations

![AusRehab_logo](https://knowledge.ausrehab.com/hs-fs/hubfs/AusRehab_logo.png?width=150&height=45&name=AusRehab_logo.png)

- [Home](https://www.ausrehab.com/)
- [Services](https://www.ausrehab.com/our-services/)
- [Contact Us](https://www.ausrehab.com/contact/)

Open main navigation

Close main navigation

- [Home](https://www.ausrehab.com/)
- [Services](https://www.ausrehab.com/our-services/)
- [Contact Us](https://www.ausrehab.com/contact/)
- English
  
  Show submenu for translations
- [Contact us](https://www.ausrehab.com/contact/)

[Contact us](https://www.ausrehab.com/contact/)

 How can we help you?

- There are no suggestions because the search field is empty.

1. [AusRehab Help Desk](https://knowledge.ausrehab.com/?hsLang=en)
2. [Legal Rights & Obligations](https://knowledge.ausrehab.com/legal-rights-obligations?hsLang=en)
3. [Employer Help Desk](https://knowledge.ausrehab.com/legal-rights-obligations?hsLang=en#employer-help-desk)

# What happens if I let my workers compensation policy lapse?

## Letting your workers comp policy lapse can result in serious legal and financial consequences.

If your workers compensation policy lapses, your business may face serious consequences. These can include:

- Financial penalties
- Lawsuits
- License revocation; and
- Higher premium rates

Additionally, if an employee is injured during this time, you may be held personally liable for covering medical expenses, lost wages, and any rehabilitation services. This can result in significant financial losses and potential legal action from employees.

It's crucial to maintain an active policy to avoid these risks and remain compliant with workers compensation laws.

- [Legal Rights & Obligations](https://knowledge.ausrehab.com/legal-rights-obligations?hsLang=en#main-content)
  
  
  
  
  
    - [Employer Help Desk](https://knowledge.ausrehab.com/legal-rights-obligations?hsLang=en#employer-help-desk)
    - [Worker Eligibility & Coverage](https://knowledge.ausrehab.com/legal-rights-obligations?hsLang=en#worker-eligibility-coverage)
    - [Worker Rights & Entitlements](https://knowledge.ausrehab.com/legal-rights-obligations?hsLang=en#worker-rights-entitlements)
- [Career Services](https://knowledge.ausrehab.com/career-services?hsLang=en)
- [Return to Work](https://knowledge.ausrehab.com/return-to-work?hsLang=en#main-content)
  
  
  
  
  
    - [FAQs](https://knowledge.ausrehab.com/return-to-work?hsLang=en#faqs)
    - [SIRA Programs](https://knowledge.ausrehab.com/return-to-work?hsLang=en#sira-programs)
- [Payments & Reimbursements](https://knowledge.ausrehab.com/payments-reimbursements?hsLang=en#main-content)
  
  
  
  
  
    - [Reimbursements](https://knowledge.ausrehab.com/payments-reimbursements?hsLang=en#reimbursements)
    - [Pre-injury Average Weekly Earnings (PIAWE)](https://knowledge.ausrehab.com/payments-reimbursements?hsLang=en#pre-injury-average-weekly-earnings-piawe)
    - [Costs & Payments](https://knowledge.ausrehab.com/payments-reimbursements?hsLang=en#costs-payments)
- [Workers Compensation](https://knowledge.ausrehab.com/workers-compensation?hsLang=en#main-content)
  
  
  
  
  
    - [Claim Lodgement](https://knowledge.ausrehab.com/workers-compensation?hsLang=en#claim-lodgement)
    - [Navigating the System](https://knowledge.ausrehab.com/workers-compensation?hsLang=en#navigating-the-system)
    - [Eligibility & Coverage](https://knowledge.ausrehab.com/workers-compensation?hsLang=en#eligibility-coverage)
    - [Key Work Health and Safety Statistics Australia 2024](https://knowledge.ausrehab.com/workers-compensation?hsLang=en#key-work-health-and-safety-statistics-australia-2024)
- [Pre-employment Screening](https://knowledge.ausrehab.com/pre-employment-screening?hsLang=en#main-content)
  
  
  
  
  
    - [Booking Process](https://knowledge.ausrehab.com/pre-employment-screening?hsLang=en#booking-process)
    - [FAQs](https://knowledge.ausrehab.com/pre-employment-screening?hsLang=en#faqs)
- [Technical Support](https://knowledge.ausrehab.com/technical-support?hsLang=en#main-content)
  
  
  
  
  
    - [AusRehab Consent Form](https://knowledge.ausrehab.com/technical-support?hsLang=en#ausrehab-consent-form)
- [Workplace Rehabilitation](https://knowledge.ausrehab.com/workplace-rehabilitation?hsLang=en)
- [CTP (Compulsory Third Party Insurance)](https://knowledge.ausrehab.com/ctp-compulsory-third-party-insurance?hsLang=en)
- [Business Information](https://knowledge.ausrehab.com/business-information?hsLang=en)
- [ADL (Activities of Daily Living) Assessment](https://knowledge.ausrehab.com/adl-activities-of-daily-living-assessment?hsLang=en)

[![Chill listening crop-3](https://knowledge.ausrehab.com/hubfs/AusRehab%20Knowledge%20Base_Logo%20Colour.svg "Chill listening crop-3")](https://www.ausrehab.com)

<https://www.facebook.com/AusRehab> <https://www.linkedin.com/company/82480746/admin/dashboard/> <https://www.instagram.com/ausrehab/> <https://www.tiktok.com/@ausrehab> <https://www.youtube.com/@AusRehab>

Copyright © 2025, AusRehab