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If you were involved in a motor vehicle accident in NSW on or after 1 April 2023, your claim will be governed by the Motor Accidents Injuries Act 2017 (“the Act”) and the Motor Accident Injuries Regulations 2017 (“the Regulations”).
In summary, the Act and Regulations provide:
Section 1.6(1) of the Act defines threshold injury as:
Subsection (2) defines a ‘soft tissue injury’ as:
(2) “A soft tissue injury is an injury to tissues that connects, supports or surrounds either structures or organs of the body, such as muscles, tendons, ligaments, menisci, cartilage, fascia, fibrous tissues, fat, blood muscles and synovial membranes, but not an injury to nerves or a complete or partial rupture of tendons, ligaments, menisci or cartilage.”
The Regulation further provides [Clause 4]:
“An injury to a spinal nerve root that manifests in neurological signs (other than radiculopathy is included as a soft tissue injury for the purpose of the Act.”
Each of the following injuries is included as a minor psychological or psychiatric injury for the purpose of the Act:-
Under the Act if your injuries are assessed as more than a threshold injury, you have a right to claim common law lump sum compensation for damages from the at-fault driver responsible for the accident that caused their injuries.
There are two types of damages that may be awarded as compensation under the Common Law Damages claim:
1. Damages for economic loss
This is a claim to compensate you for any lost wages or any wages which you may lose in the future as a result of the injuries sustained by you. We also make a claim for any loss of past and future superannuation, as well as any income tax paid on past wage losses by the insurer (Fox v. Wood).
2. Damages for non-economic loss
This is a claim for pain and suffering, loss of amenities of life, reduced life expectancy and/or disfigurement. To be entitled to make a claim for non-economic loss, your level of permanent impairment must be agreed by the insurer, or assessed by the Commission at 11% Whole Person Impairment (WPI) or higher.
The CTP scheme is a complex one and if you have sustained injuries (physical and/or psychological injuries) from a motor vehicle accident, we highly recommend you seek legal advice. The Head of our NSW team, Jessica Cheung is an Accredited Specialist in Personal Injury Law. If you believe you have sustained a personal ijury and would like professional legal, reach out to Jessica and her team for a confidential discussion at no costs to you.
*The intention and purpose of this article is to be used as a guide only.
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