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).
Injured road users in the Newcastle and Hunter region who believe they have a claim for damages under the Civil Liability Act 2002 must understand that this claim operates within the framework of the NSW Compulsory Third Party (CTP) insurance scheme. The Civil Liability Act 2002 provides the legal basis for seeking compensation for injury, loss or damage caused by a motor vehicle accident, but it does not override the statutory CTP scheme administered by the State Insurance Regulatory Authority (SIRA). To pursue damages under the Act, a person must first meet the eligibility criteria set out in the Motor Accident Injuries Act 2017, which governs access to CTP benefits and the threshold for claiming damages. This means that not every injury results in a damages claim, and the process begins with an assessment of the nature and impact of the injury, the accident circumstances, and the claimant’s medical and financial history.
The CTP scheme in NSW provides automatic access to treatment and care benefits, weekly income payments, and rehabilitation support regardless of fault. These benefits are administered under the Motor Accident Injuries Act 2017 and are not governed by the Civil Liability Act 2002. However, if a person’s injuries meet the statutory threshold for a serious injury, they may be eligible to claim damages for pain and suffering, loss of enjoyment of life, and future economic loss under the Civil Liability Act 2002. The key distinction is that damages are not automatically available, they require a formal application and approval through the CTP claims process, not a direct action under the Civil Liability Act.
The early steps for an injured road user in the Newcastle and Hunter region begin with seeking prompt medical treatment and documenting all injuries, symptoms, and treatment outcomes. Medical records, including reports from a treating medical practitioner and any specialist assessments, are essential evidence. A person should also preserve any records related to lost income, out-of-pocket expenses, and the impact of the injury on daily life. Photographs of the accident scene, vehicle damage, and visible injuries may support the claim. Witnesses to the accident, if any, should be contacted to provide a statement. These records form the foundation for a claim and are critical in demonstrating the nature and extent of the injury.
A claim for damages under the Civil Liability Act 2002 must be made through the CTP claims process. The claimant must notify their insurer or the insurer of the at-fault party within a reasonable time, though no specific deadline is set in law. However, delays may affect the availability of evidence and the insurer’s ability to investigate. The claimant must complete a claim form through the SIRA portal or via their insurer. This form requires details of the accident, injuries, treatment, and financial loss. The claim will be assessed by the insurer or SIRA to determine eligibility for damages, including whether the injury meets the threshold for a serious injury under the Motor Accident Injuries Act 2017.
A common misunderstanding is that a damages claim under the Civil Liability Act 2002 can be made independently of the CTP scheme. This is not the case. The CTP scheme is the primary source of compensation for motor accident injuries in NSW. The Civil Liability Act 2002 provides the legal authority for damages, but only after the CTP process has been initiated and the claimant has been assessed as having a threshold injury. For example, a pedestrian in Newcastle who sustained a spinal nerve-root injury with neurological signs (such as reduced reflexes or muscle weakness) that were confirmed by MRI and a neurologist’s report may meet the threshold for a serious injury. If the injury is not considered serious, the claimant will only receive CTP benefits and cannot claim damages under the Civil Liability Act 2002.
Time limits and procedural requirements may apply. While the CTP scheme does not impose a strict time limit for making a claim, delays may affect the insurer’s ability to investigate and assess the claim. The claimant should act promptly to preserve evidence and begin the process. If a claim is denied or disputed, the claimant may apply for a review through SIRA or seek independent legal advice. Disputes often arise over the assessment of impairment, the extent of financial loss, or whether the injury meets the threshold for damages. In such cases, a second medical assessment or an independent review may be necessary.
Every claim depends on its own facts. To request contact about your circumstances, complete the quick, no obligation enquiry form.