What compensation am I entitled to if I am involved in a motor accident?

Since 1 February 2020, all compensation from motor accident-related injuries is covered by the Motor Accident Injuries Act 2019 (the Act). This Act dramatically changed the way people injured in motor accidents in the ACT are compensated for their injury, loss and damage.

The process can be complicated, so we recommend reaching out to a lawyer with experience with motor vehicle accidents and the new scheme to help you. To prepare, we have outlined what you can expect below.

In the ACT, there is now a two-stage claims process after a motor vehicle accident when someone is injured – defined benefits and quality of life benefits.

Defined Benefits

The first of these stages provides specific and limited compensation, or Defined Benefits, for most people injured in an accident.

An application for Defined Benefits should be made within 13 weeks of your accident (or if you have a valid reason, it can be made within a maximum of two years) and must include two forms:

• A Personal Injuries Application
  This should usually be submitted to the Insurer of the at-fault vehicle.

• A Medical Report.
  This needs to be completed by your general practitioner or treating specialist.

You can make an application for your injuries even if you were at fault for the accident, however, if you were convicted of serious driving offences your access to compensation will be limited.

To learn more, head to the ACT government website to read a summary of the process.

An accepted application then gives rise to an entitlement to Defined Benefits which includes:

1. Income replacement benefits
Subject to some exceptions, this compensates you for income lost, as long as you are at least 15 years old and were in paid work or capable of being in paid work at the time of the accident.  Your earning capacity will be determined by looking at the nature of your injury; treatment and care needs; post-injury income; and fitness for work certificates.

2. Treatment (including medication) and paid care benefits.
Subject to your circumstances, you will be entitled to compensation to cover treatment and care, domestic services, and travel expenses.  In deciding whether treatment and care is reasonable and necessary, the insurer must consider the appropriateness of the treatment, the cost of the treatment, and relevant guidelines.  The period for which treatment benefits are payable starts on the date of the accident and ends 5 years after the accident.

If treatment is required, your insurer must provide you with a recovery plan.  A draft plan must also be given to you and your doctor before being finalised, and submitted within 28 days of when you applied for defined benefits.

Quality of Life Benefits

The second stage of the claim process applies if you suffer a permanent injury that results in at least 5% Whole Person Impairment (WPI).

To make a Quality of Life (QoL) benefits claim you must have an accepted application for Defined Benefits.  An application for QoL benefits made between 6 months and 4 years and 6 months from the date of accident.

The process to claim QoL benefits can be complex, and involves assessment by at least one specialist doctor who will assess how your injuries from the accident are likely to affect you in the future. These assessments are important and we recommend discussing your claim with an expert solicitor before submitting a QoL application.

What should I do to make a claim?

The Motor Accident Injury Scheme in the ACT is complex and can be  difficult to navigate. If you have been injured in a motor vehicle accident, contact the specialist team at Maliganis Edwards Johnson for a no-obligation assessment of your rights.

You deserve better, and our lawyers are knowledgeable, compassionate and dedicated to providing you with the best legal advice to injured Canberrans.