Insurance for Businesses Hosting Apprentices
Taking on an apprentice is good for the trade and good for the business. It also puts a young, inexperienced worker under your supervision - and if they're hosted rather than employed, your workers comp generally isn't the policy that answers for it.
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THE SHORT ANSWER
If you employ an apprentice directly, your workers compensation covers their statutory entitlements under your state's scheme. If you host an apprentice through a GTO, the GTO's workers comp covers the statutory side - but a common-law negligence claim against you as the host, or a recovery action from the workers comp insurer, generally isn't covered by your own workers comp or a standard public liability wording. Host employer liability cover addresses that gap, subject to the policy terms.
Workers compensation is statutory and the arrangements vary by state, so treat this as general information. The practical takeaway doesn't change: know which arrangement you're in, then check that your cover matches it.
THE HOST'S EXPOSURE
Why Hosting an Apprentice Carries Real Exposure
The apprentice works in your workplace, on your equipment, under your direction. Every one of those facts matters if there's an injury.
Supervision Duties
An apprentice is in your workplace to learn, which means closer supervision than an experienced tradesperson needs. If an injury claim lands, the level of supervision you provided is usually one of the first things examined.
Young and Inexperienced Workers
First and second-year apprentices are still building the judgement that keeps experienced workers out of trouble. Tools, heights, machinery and vehicles all carry more risk in inexperienced hands, and the duty of care scales accordingly.
The Common-Law Claim
If a hosted apprentice is injured and alleges your negligence caused it, that claim can come at you directly - and it isn't answered by the GTO's workers compensation. Your own workers compensation generally won't respond because the apprentice isn't your employee.
Recovery Actions
The workers compensation insurer that paid the apprentice's statutory claim may seek to recover from you as the host if it considers your negligence contributed. Host employer liability cover is designed with that action in mind, subject to the policy terms.
CHECK THE ARRANGEMENT
Hosting or employing an apprentice?
Tell us the arrangement - GTO placement or direct employment - and what cover you hold now. We'll flag the gap if there is one and quote the cover that closes it.
EMPLOYING VS HOSTING
What Cover an Apprentice Host Should Have
A guide to where each exposure sits, always subject to the policy terms, limits and exclusions.
| What's covered | Key exclusions and considerations |
|---|---|
| Directly employed apprentice: statutory entitlements under your workers compensation | Workers compensation is state-based - the scheme, premiums and obligations vary by state |
| Hosted apprentice: statutory claim generally sits with the GTO's workers compensation | The GTO's policy protects the apprentice's entitlements, not the host against claims |
| Common-law negligence claims against the host, via host employer liability cover | Standard public liability wordings often exclude injury to people performing work for you |
| Recovery actions by the workers compensation insurer that paid the claim | Recovery rights vary between state schemes; the wording needs to respond to them |
| Third-party injury and property damage under public liability | WHS penalties and fines are generally not insurable under any of these covers |
Hosting through a GTO? The employment model and host agreement requirements have their own page - see hosting apprentices through a group training organisation.
APPRENTICE HOST FAQS
Common Questions About Hosting Apprentices
RELATED COVER & GUIDES
More on Hosting Workers
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