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).
When a child is injured in a motor accident in NSW, parents and guardians must navigate specific legal requirements to secure compensation. Common mistakes can jeopardise claims, including delays in reporting, incomplete documentation, or misunderstanding eligibility rules. This article explains how to avoid errors under the NSW Compulsory Third Party (CTP) scheme and ensure claims meet SIRA guidelines.
Key CTP Rules for Child Injury Claims
Under the Motor Accident Injuries Act 2017, CTP claims cover injuries caused by motor vehicles. For children, the scheme provides treatment and care benefits, weekly income payments, and lump sum damages if eligible. However, claims must be made within strict time limits. For example, weekly benefits are generally limited to 52 weeks if the injury is classified as a 'threshold injury' (see s 4.4 of the Act). Delays in reporting an accident can result in missed opportunities to claim these benefits.
Practical Steps to Avoid Errors
- Report the accident immediately: Notify the at-fault driver’s insurer within 52 weeks of the incident. Delays may prevent access to statutory benefits like treatment and care payments. SIRA guidelines stress that prompt reporting is critical to preserve claim eligibility.
- Document everything: Keep medical records, accident reports, witness statements, and photographs. For children, detailed records of symptoms and treatment are essential to prove the injury’s severity. Incomplete records may lead to disputes over whether the injury meets the 'threshold injury' definition.
- Understand the difference between statutory benefits and damages: Statutory benefits are automatic for eligible injuries, while damages require proving a 'whole person impairment' (as defined in SIRA’s Motor Accident Guidelines). Parents should not assume a claim for damages is automatic.
Common Pitfalls to Avoid
- Missing the 52-week deadline: If a child’s only injuries are threshold injuries, weekly benefits stop after 52 weeks. Families must transition to other compensation options, such as lump sum damages, if eligible.
- Failing to seek medical attention: Delayed treatment can affect both medical evidence and the ability to claim benefits. A child’s injury must be documented by a medical practitioner to meet CTP requirements.
- Not addressing contributory fault: If the child or parent contributed to the accident (e.g., distracted driving), the claim may be reduced. SIRA’s guidelines clarify how fault is assessed in cases involving minors.
Hypothetical Example
A parent in Ballina delays reporting their child’s injury after a car accident. The child’s medical records are incomplete, and the family misses the 52-week deadline for weekly benefits. As a result, they lose access to treatment and care payments, even though the child’s injury meets the threshold definition. This highlights the importance of timely action and thorough documentation.
When to Seek Legal Advice
While many claims are resolved through SIRA’s process, disputes may arise over injury severity, fault, or benefit eligibility. Families should consult a solicitor if:
- The child’s injury requires a 'whole person impairment' assessment.
- The at-fault driver’s insurer disputes the claim.
- The family needs to transition from statutory benefits to damages.
Next Steps
CTP claims for child injuries depend on strict deadlines, accurate documentation, and understanding of SIRA guidelines. Families should act quickly and seek professional advice if they face disputes or uncertainty.
Every claim depends on its own facts. To request contact about your circumstances, complete the quick, no obligation enquiry form.