​LGIS achieved improved financial results in 2022/23, returning a $0.9 M operating surplus despite expenditure pressure and a deficit the previous year.

Globally and at home conditions have been difficult –with inflationary pressures, global uncertainty and natural catastrophes. Against this backdrop LGIS continued to deliver sustainable long term protection to the Western Australian local government sector.

100% of WA local government organisations have renewed their membership for 2023/24, recognising the value and benefits that LGISWA delivers to individual organisations and the sector as a whole.

Financial result

From a financial perspective we've achieved a good result, returning a $0.9 M operating surplus following a deficit of $7.26 M in 2021/22. This is a positive result for the mutual Scheme which doesn't operate to make a profit, but rather to serve and protect the local government sector.

Total claims' costs for LGIS escalated substantially and were $6.29M over budget at end of financial year. LGIS is in a good financial position and the new financial year will see continued innovation.

Despite this year's challenges, and because of our prudent financial management, the Scheme remains within our target capital range, ensuring that your LGISWA remains strong and ready to respond when needed.

Delivering members with Scheme covers and risk services

Despite the year that's been, Scheme contribution increases for 2023/24 have been limited, particularly in comparison to the commercial insurance market.

2022/23 marked the second year of LGIS Motor protection; at‑fault claims are high across the sector so we launched the motor fleet risk pilot program to investigate.

17 LGIS members participated in the program, they ranged from small regional members to large metropolitan cities. We assessed participants across three key areas - organisational commitment, driver management and vehicle management.

The pilot has allowed us to pinpoint key areas to reduce member accidents and in 2023/24 we'll be developing a tailored fleet risk management program to be rolled out to all members.

Cyber is a challenging area for the sector, and in the past 12 months it's been in the spotlight for all the wrong reasons following high profile attacks on Optus and Medibank. LGIS recognises the support our members need in this highly complex and technical area, so in 2022/23 we launched our cyber pilot program. Working with a sample of 15 members the pilot allowed us to get a better picture of the sectors cyber environment, including capability and capacity to address vulnerabilities.

You can read the findings of the LGIS cyber pilot program on the LGIS website.

Responding to changes in work, health and safety services, we developed and started delivering our psychological safe program in 2022/23. Designed to support our members in meeting their duty of care to provide a psychologically safe workplace the program includes new workshops, resources and services. Since launching in August 2022 the program has been accessed by 76 members and 492 staff.

Our popular health and wellbeing program was revamped this year to provide members with more options to develop healthy behaviours and learn new skills. This year saw the introduction of financial wellbeing workshops, a timely service given the interest rates hikes and inflationary pressures in the past 12 months. We engaged the Financial Counsellor's Association of WA to deliver the workshops which have been accessed by 1,051 local government employees across the state.

As a mutual, we always strive to offer the best protections, products and services to our members. We put our members first in everything we do.

The 2023 A Year in Review and Annual Financial Report is available on the LGIS website (Make sure you log in to the website to access the report). If you would like a hard copy, or for more information please speak to your LGIS account manager. Your account manager will have copies for meetings with members in the next few months.