Understanding Burn Injuries in NSW CTP Claims
A threshold injury under the Motor Accident Injuries Act 2017 (NSW) includes a soft tissue injury and a psychological or psychiatric injury that is not a recognised psychiatric illness (adjustment disorder and acute stress disorder are the usual examples; s 1.6 and Motor Accident Guidelines Part 5).
If you suffered a burn injury in a motor vehicle fire in Greater Sydney, you may be entitled to compensation under the NSW Compulsory Third Party (CTP) insurance scheme. The State Insurance Regulatory Authority (SIRA) administers this scheme and provides clear guidance on how burn injuries are assessed and compensated. This article explains how SIRA evaluates such claims, what types of injuries are covered, and what steps you should take to support your claim.
How SIRA Assesses Burn Injury Severity
SIRA assesses burn injuries based on medical evidence and the Motor Accident Injuries Act 2017 (MAIA). The severity of a burn injury is determined by the depth of tissue damage, the extent of the body surface affected, and the impact on function and quality of life. Burns are classified as first-degree (superficial), second-degree (partial thickness), or third-degree (full thickness), with more severe burns carrying greater potential for long-term impairment.
SIRA uses the Motor Accident Guidelines to determine whether a burn injury qualifies as a threshold injury. This means it must result in a whole person impairment (WPI) of at least 10%. For burns, this assessment considers scarring, pain, loss of function, and psychological impact. If the injury does not meet the threshold, you may still be entitled to treatment and care benefits and weekly income payments, but not damages for pain and suffering.
What Types of Burn Injuries Are Covered?
CTP compensation covers thermal and chemical burns resulting from a motor vehicle fire, including those caused by fuel ignition, electrical arcing, or contact with hot surfaces. Injuries sustained during escape from a vehicle fire, such as smoke inhalation or burns from hot metal or glass, are also covered if they are directly linked to the accident.
SIRA considers the cause and timing of the burn. For example, a burn sustained while exiting a vehicle that caught fire due to a collision is compensable. However, injuries caused by pre-existing conditions, self-inflicted harm, or unrelated incidents are not covered. The injury must have occurred as a direct result of the motor accident.
Practical Steps and Evidence to Support Your Claim
To establish a valid CTP claim for a burn injury, you must act promptly and preserve evidence. The following steps are essential:
- Seek immediate medical treatment and keep all records, including hospital notes, specialist assessments, and photographs of the burn wound and scarring.
- Report the accident to the police if it involved a vehicle fire, and obtain a copy of the police report.
- Collect contact details of any witnesses who saw the fire or your injuries.
- Take photographs of the vehicle, burn sites, and any visible scarring.
- Notify your CTP insurer as soon as possible, ideally within 28 days of the accident, to avoid delays in receiving benefits.
SIRA requires objective medical evidence to assess your claim. This includes a formal WPI assessment by a qualified medical practitioner, typically a specialist in rehabilitation medicine or plastic surgery. The assessment must be conducted under the Motor Accident Guidelines and include details on pain, functional loss, and psychological impact.
Time Limits and Dispute Options
There is a 3-year limitation period from the date of the motor accident to commence legal proceedings for damages. However, you may still be eligible for treatment and care benefits and weekly income payments even if you miss this deadline, provided you apply within a reasonable time.
If your claim is denied or you disagree with the assessment of your injury, you may request a review from SIRA or apply to the NSW Civil and Administrative Tribunal (NCAT) for a determination. Disputes often arise over the level of impairment, the need for ongoing treatment, or the calculation of weekly payments. It is important to seek independent medical advice if you believe the assessment is inaccurate.
When to Seek Independent Advice
A burn injury from a vehicle fire can result in complex medical and legal issues. The long-term impact on daily life, employment, and mental health may not be fully apparent in the initial stages. SIRA’s assessment process is based on standard medical guidelines, but individual circumstances vary.
If you have a severe or extensive burn, or if your injury has resulted in permanent scarring, loss of mobility, or mental health issues, you may benefit from independent legal advice. A solicitor can help you understand your rights, ensure your medical evidence is properly documented, and advocate for a fair outcome.
Hypothetical Example
A 38-year-old driver in Sydney sustained second-degree burns to his hands and face during a vehicle fire following a collision at a roundabout in February 2026. He was trapped for several minutes before being rescued. Medical records show scarring, reduced hand function, and ongoing pain. A WPI assessment under the Motor Accident Guidelines determined a 15% impairment. He received treatment and care benefits and weekly income payments. After 52 weeks, he applied for damages, which were approved because his injury met the threshold and caused significant long-term impact.
Next Steps
Every claim depends on its own facts. To request contact about your circumstances, complete the quick, no obligation enquiry form.