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).
Under the Civil Liability Act 2002, damages for injuries in NSW motor accidents must account for a person’s ability to return to daily activities. This includes physical, emotional and practical challenges caused by the injury. In Bankstown, claims for recovery of daily activities are governed by the NSW Compulsory Third Party (CTP) scheme and SIRA’s guidelines. This article explains how the Civil Liability Act applies to such claims, what evidence is needed, and when to seek legal advice.
How the Civil Liability Act 2002 Applies to Daily Activities Recovery
The Civil Liability Act 2002 requires insurers to compensate for injuries that prevent a person from performing everyday tasks. This includes things like cooking, shopping, working or caring for dependents. The Act does not explicitly define 'daily activities', but courts and SIRA interpret it as the practical capacity to manage routine life functions.
Key principles include:
- Loss of capacity: Compensation covers the inability to perform tasks due to injury.
- Subjective impact: Emotional distress from disrupted daily life is recoverable.
- No fault requirement: Claims are based on injury causation, not who was at fault.
SIRA’s guidelines emphasize that recovery of daily activities must be supported by medical evidence showing a direct link between the injury and the loss of function.
Evidence Required for Daily Activities Claims
To support a claim under the Civil Liability Act, claimants must provide:
- Medical records detailing the injury’s effect on daily tasks.
- Witness statements from family, employers or caregivers about functional limitations.
- Diary entries or logs tracking difficulties with routine activities.
- Occupational therapy reports assessing work-related capacity.
- Photographs or videos of the accident scene (if relevant to daily activity disruption).
Insurers may challenge claims by disputing the link between the injury and daily activity loss. Medical experts are often required to confirm this connection.
SIRA’s Approach to Daily Activities Recovery
SIRA’s Motor Accident Claims page states that recovery of daily activities is a valid claim under the CTP scheme. However, it must be shown that the injury:
- Prevents the person from performing essential tasks.
- Is a direct consequence of the accident.
- Is not a pre-existing condition.
SIRA’s guidelines also note that claims for daily activities recovery are subject to the same 52-week limit as other threshold injuries. After this period, weekly benefits and treatment payments are generally reduced unless the injury is classified as a whole-person impairment.
Practical Steps for Claimants in Bankstown
- Seek immediate medical attention to document the injury’s impact on daily activities.
- Keep a detailed diary of challenges with routine tasks like cooking, cleaning or commuting.
- Notify your insurer within 52 weeks of the accident to avoid missing time limits.
- Gather witness statements from family, employers or caregivers.
- Consult a legal professional if the insurer disputes the claim or refuses to pay.
Time Limits and Dispute Resolution
Claims must be made within 52 weeks of the accident under the Motor Accident Injuries Act 2017. If the injury is not classified as a threshold injury, weekly benefits may stop after this period. Disputes over daily activities recovery can be resolved through:
- SIRA’s internal review process.
- Mediation with a NSW Civil and Administrative Tribunal (NCAT) conciliator.
- Court action if the dispute cannot be resolved.
When to Seek Legal Advice
Legal assistance is recommended if:
- The insurer refuses to pay for daily activities recovery.
- The claimant is unsure if their injury qualifies.
- The accident occurred more than 52 weeks ago.
- The claimant is facing a dispute over the injury’s impact on daily life.
Example of a Daily Activities Claim
A person injured in a Bankstown car accident may struggle to prepare meals or manage household chores. Medical records showing reduced mobility and a diary documenting time spent on assistance would support a claim. SIRA would assess whether the injury directly caused these functional limitations.
Next Steps
Every claim depends on its own facts. To request contact about your circumstances, complete the quick, no obligation enquiry form.