Seeing a Psychologist Through Workers' Compensation

If you have a work-related injury, the cost of seeing a psychologist can often be covered through workers’ compensation. This applies both to work-related psychological injuries, such as work-related stress, anxiety, depression, or post-traumatic stress, and to psychological support while you recover from a physical injury at work. Once a claim is accepted, treatment is funded through the scheme rather than paid out of pocket. In Queensland this runs through WorkCover Queensland or a self-insurer, and in New South Wales through the scheme regulated by the State Insurance Regulatory Authority (SIRA). This article explains how it works, what to expect, and how to get started.

Does workers’ compensation cover psychology?

For an accepted claim, workers’ compensation schemes can fund psychology treatment that is reasonably necessary and related to a work injury. This covers two main situations: a primary psychological injury caused by work, and psychological support for someone recovering from a physical workplace injury. The treatment is funded by the insurer rather than paid out of pocket, and it does not use your Medicare sessions.

Common work-related presentations include work-related and chronic stress, anxiety and low mood, and post-traumatic stress following a workplace incident.

How it works in Queensland and New South Wales

In Queensland, a claim is lodged with WorkCover Queensland or a self-insurer. Once the claim is accepted, your treating doctor and the insurer approve treatment, including psychology. In New South Wales, the workers’ compensation scheme is regulated by SIRA, and your nominated treating doctor and insurer guide approval of treatment. What a SIRA-approved psychologist is and how the NSW scheme works covers that side in detail.

The details differ between states and between insurers, so it is always worth confirming the specifics of your claim with your insurer or case manager. Safe Work Australia provides general information about how workers’ compensation operates around the country.

What to expect from sessions

The first session is mostly about understanding your situation: what happened, how it is affecting you at work and in daily life, and what you are hoping to get out of treatment. For a work-related injury, this often includes how things have changed for your routine, your sleep, your relationships, and how you feel about work. There is no need to have everything worked out in advance.

From there, sessions are tailored to what you are dealing with. Veronica draws on evidence-based approaches, including Acceptance and Commitment Therapy (ACT), which focuses on building psychological flexibility and acting in line with what matters to you; Cognitive Behavioural Therapy (CBT), which looks at the links between thoughts, feelings, and behaviour; and, for trauma-related presentations, EMDR, a structured therapy for processing distressing memories. The approach is matched to you rather than applied from a template.

Psychology in a workers’ compensation context often has a practical, functional focus alongside the therapeutic work. Where it is one of your goals, sessions can include support with managing symptoms day to day, rebuilding routine and confidence, and working towards a return to work at a pace that is realistic for you. The focus is on supporting your recovery and functioning, not rushing it.

Frequency is worked out with you and in line with what your claim supports. Progress varies from person to person, and therapy is not a quick fix. The pace is matched to what is workable while you are managing an injury and a claim at the same time.

One difference from private therapy is that treatment under a claim involves some communication with the insurer or case manager. This usually means treatment updates or progress reports, and sometimes input on your capacity and recommendations for your recovery. It also means confidentiality works a little differently than in private therapy, so Veronica explains what is shared, and with whom, at the outset.

How to get started

Referrals can come from an insurer or case manager, from a GP, or directly from a worker with their claim details. For accepted claims, sessions are billed directly to the insurer. You can read more on the workers’ compensation psychology page, or see the fees and funding page for other options if you are not making a claim.

Frequently Asked Questions

Does workers’ compensation cover psychology sessions?

Yes. For an accepted claim, workers’ compensation can fund psychology treatment that is reasonably necessary and related to the work injury, including treatment for a psychological injury or psychological support during recovery from a physical injury.

Do I need a referral to see a psychologist on a workers’ compensation claim?

Referrals can come from your insurer or case manager, from your GP, or directly from you with your claim details. Treatment generally needs to be approved by the insurer before it begins.

Can workers’ compensation psychology be done by telehealth?

Yes. Sessions can be provided by secure telehealth, which removes travel as a barrier during recovery. Veronica offers telehealth across Queensland, New South Wales, and the rest of Australia.

What is a psychological injury claim?

A psychological injury claim is a workers’ compensation claim for a mental health condition caused or significantly contributed to by work, such as work-related stress, anxiety, depression, or post-traumatic stress.

About the author

Veronica West is a registered psychologist (BPsychSc(Hons), MPH, MPsych) based on the Sunshine Coast, Queensland. She is a registered WorkCover Queensland provider and SIRA-approved in New South Wales, with a particular interest in work-related psychological injury, including several years spent in the employment and work-injury sector. She works with adults and adolescents across Australia via secure telehealth. About Veronica.