---
title: "Test an NSW workers or motor scheme against Insurance Contracts Act section 9"
url: "https://ailawframework.com/practice/insurance-law/check-whether-the-insurance-contracts-act-applies-to-the-contract/new-south-wales"
type: "task_jurisdiction_version"
site: "AI Law Framework"
id: "A22-MA20261022-7-NSW"
practice_area: "Insurance Law"
tier: "yellow"
lawyer_review: "required"
jurisdictions: ["NSW"]
last_reviewed: "2026-10-25"
---

# Test an NSW workers or motor scheme against Insurance Contracts Act section 9

> From the policy and the scheme the lawyer names, set out which section 9 exception is in play, including workers compensation, motor-accident compensation and State insurance.…

Canonical page: https://ailawframework.com/practice/insurance-law/check-whether-the-insurance-contracts-act-applies-to-the-contract/new-south-wales  
Last reviewed: 2026-10-25

Site index for agents: https://ailawframework.com/llms.txt

## Key facts

| Fact | Value |
| --- | --- |
| Practice area | [Insurance Law](https://ailawframework.com/practice/insurance-law.md) |
| Human involvement | Yellow: Lawyer and AI draft together |
| How AI is used | From the policy and the scheme the lawyer names, set out which section 9 exception is in play, including workers compensation, motor-accident compensation and State insurance. Do not decide whether the Insurance Contracts Act applies. |
| What the lawyer must review | Decide whether section 9 takes the contract, or only some provisions, outside the Act. A workers compensation law and a common-law damages cover written for that law are treated together. Do not call icare or a licensed insurer State insurance unless the subsection says so. Keep medical details in the firm's system. Apply ASCR rule 9, APP 11, and the Privacy Act notifiable-breach test. |
| Written for | New South Wales |
| Applies to | [Check whether the Insurance Contracts Act applies to the contract](https://ailawframework.com/practice/insurance-law/check-whether-the-insurance-contracts-act-applies-to-the-contract.md) |

## Checking plan

**Verify against sources**

The lawyer applies section 9 to the New South Wales scheme the policy was entered for.

- What the AI does: From the policy and the scheme the lawyer names, set out which section 9 exception is in play, including workers compensation, motor-accident compensation and State insurance. Do not decide whether the Insurance Contracts Act applies.
- What the lawyer does: Decide whether section 9 takes the contract, or a group of its provisions, outside the Act.
- Who reviews: Lawyer competent in this practice area
- Basis: Checked against the linked sources on 23 October 2026. Confirm the current instrument before reliance.

## Checks the lawyer makes

1. Section 9(1)(e) covers a contract entered for a State law on workers compensation, or on compensation for death or injury arising out of the use of a motor vehicle.
2. Section 9(1)(f) covers a contract entered for a workers compensation law that also insures the employer's common-law damages liability. Subsection (1B) treats those two groups as one excluded contract.
3. Subsections (1A) and (1C) split mixed contracts and pull related provisions into the excluded group. Apply them only to the clauses the lawyer marks.
4. Section 9(2) excludes contracts entered in the course of State insurance, including some joint insurance with the State. Do not apply that label without the lawyer's decision.

## Notes

- The section uses the words workers' compensation. The New South Wales short title is the Workers Compensation Act 1987, with no apostrophe. A life, total and permanent disablement or income-protection policy is not placed under paragraph (e) or (f) unless the lawyer says it was entered for one of those laws.

## Practical guide

Jurisdiction: Insurance Contracts Act 1984 (Cth) section 9, applied to a New South Wales workers compensation or motor-accident scheme

**Deliverable**: A section 9 table for the policy the lawyer names, with no decision on whether the Act applies.

**Inputs**

- Policy wording and schedule
- The New South Wales scheme the lawyer names
- Any proposal or notice

**Example**: Illustrative example: The schedule is a compulsory third-party policy. The tool sets out section 9(1)(e)(ii) and stops. It does not decide that the Act is excluded, and it does not use section 54 on that policy.

**Stop and escalate when**

- The lawyer has not identified the law the contract was entered for.
- The policy mixes scheme cover and other cover and the groups of provisions have not been marked.

Checked 2026-10-23.

## Sources

- [Insurance Contracts Act 1984 (Cth) section 9](https://classic.austlii.edu.au/au/legis/cth/consol_act/ica1984220/s9.html) (checked 2026-10-23)
- [Insurance Contracts Act 1984 (Cth) section 54](https://classic.austlii.edu.au/au/legis/cth/consol_act/ica1984220/s54.html) (checked 2026-10-23)

*Practice guidance for planning and review. Confirm current primary sources and the requirements of the actual matter. This is general information, not legal advice.*