Motor Accident Compensation NSW — What You Can Claim After a Car Accident

What is a motor accident compensation claim in NSW?

If you have been injured in a car accident in NSW, you may be entitled to more compensation than you realise. Most people know they can claim medical expenses, but a motor accident claim can also cover lost wages, pain and suffering, and even future costs if your injuries have a long-term impact on your life. In NSW, any accident after 1 December 2017 is covered under the Motor Accidents Injuries Act 2017. Understanding what you can claim — and how the process works — is the first step to making sure you get what you are entitled to.

When you are injured in a motor accident you may be entitled to claim benefits from the green slip insurer of a vehicle in the accident.

In New South Wales, any accident after 1 December 2017 is regulated by the Motor Accidents Injuries Act 2017. 

What can you claim in the first 52 weeks?

The legislation allows an injured person to claim statutory benefits regardless of fault for the first 52 weeks. Those benefits include weekly compensation if the injured person has been unable to return to work in their normal pre-injury duties and medical expenses. These benefits are payable and can be claimed regardless of who is at fault as the legislation operates for the first 52 weeks on a no-fault basis. 

Prior to the expiration of 52 weeks the insurer will determine whether the injured person is entitled to ongoing benefits. To qualify for ongoing benefits the insurer must be satisfied that the injured person:

• has a non-threshold injury, which is defined in the legislation for both physical and psychological injury; and
• was not at fault or did not contribute to the accident by more than 61%.

If these two elements are satisfied, then the insurer will issue a liability notice confirming ongoing benefits. 

What are you entitled to post 52 weeks?

Medical Expenses

Once ongoing liability has been accepted, unless there is a change in the legislation, ongoing medical expenses that are reasonable and related to the injury are payable for life. The insurer is entitled to dispute the reasonableness of a particular treatment however the entitlement remains, and any dispute can be resolved by referral to the Personal Injury Commission who will determine any dispute.

Medical expenses that can be claimed include:

• doctor and hospital visits; 
• rehabilitation; 
• physiotherapy; 
• medication;
• travelling costs to the treatment provider.

How is lost income calculated?

Loss of wages can be claimed from the date of the accident into the future to retirement age. The amount that is calculated is the difference between what you were earning if you were not injured compared to what you are now able to earn as a result of your injuries. The claim is payable as a lump sum and is tax free.

When considering the assessment of earnings prior to the accident, factors such as future promotional opportunities and salary increases can be taken into account provided there is evidence to support the claim. When analysing the earnings an injured person is now capable of earning post-accident considering the injuries, the capacity or ability of the person to work, whether that is full time, part time or spasmodic employment as well as the physical or psychological limitations that someone is experiencing. 

When assessing an injured person’s ability to work, having the right medical evidence is important to ensure whoever is determining the claim can take on board all the limitations suffered by the injured person.

Can you claim for pain and suffering?

Pain and Suffering is able to be claimed provided the injured person exceeds a threshold. The assessment is made based on guidelines which determines the level of impairment. It is important to remember that the guidelines are very limited and will be applied strictly to the injuries. Most injured persons do not reach the threshold.

If you do exceed the threshold then you are entitled to claim for your pain and suffering. This claim as the name suggests relates to the impact the accident or incident has on a person’s life. The claim will consider what impact the accident has on a person’s activities of daily living, such as being unable to participate in prior sporting or recreational activities, whether there has been a need for surgery or other major treatment and the impact on the injured person’s ability to earn income. 

Pain and suffering includes an assessment of the impact of the accident from the time of the incident up to the time of assessment and also includes a consideration of the pain and suffering an injured person might experience in the future. That might include possible future surgeries, any prospective deterioration of the condition complained of and psychological impacts. Because there is an assessment of the future impact, matters such as the age of the injured person will come into consideration. A person who is 20 years of age will have a greater future impact than someone who is 55 years of age.

How is your damages claim finalised?

A damages claim will finalise all the injured persons entitlements to pain and suffering and economic loss. Once agreed or ordered by a tribunal the lump sum is paid with no ongoing benefits except for medical expenses which continue to be paid for life that relate to the injuries.

It is important when considering your damages claim that you get the right advice as it will make all the difference and give you the best opportunity to maximise your entitlements.

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