Death benefits for dependants under NSW CTP
Where a person's only injuries resulting from the accident are threshold injuries, weekly benefits and treatment and care generally cease after 52 weeks (ss 3.11 and 3.28).
If a person dies in a motor accident covered by the NSW Compulsory Third Party (CTP) scheme, their dependants may be eligible for financial support to cover daily living costs. This article explains how dependants can claim benefits for returning to daily activities, the legal basis for these claims, and practical steps to take.
Legal framework for dependant death benefits
Under the Motor Accident Injuries Act 2017, dependants of deceased CTP claimants may receive lump sum payments and ongoing support. These benefits are designed to cover living expenses, medical costs, and other needs arising from the loss of the claimant's income and care. SIRA (State Insurance Regulatory Authority) administers these claims, and its guidelines outline the criteria for eligibility.
Dependants include children, spouses, parents, and other individuals who relied on the deceased for financial or domestic support. The CTP scheme covers dependants regardless of where the accident occurred in NSW, provided the claimant was insured under the NSW CTP scheme.
How to claim support for daily activities
To claim benefits, dependants must:
- Submit a claim to the CTP insurer within the statutory time limits (usually 52 weeks from the accident date)
- Provide evidence of dependency, such as income records, care arrangements, and proof of the deceased's financial support
- Demonstrate how the accident impacted the deceased's ability to provide for dependants
SIRA requires claims to include medical evidence showing the deceased's injuries, if applicable, and documentation of the dependant's needs. For example, a child may need financial support for education, while a spouse may require assistance with housing or utilities.
Legal limitations on dependant claims
Dependant claims are subject to specific rules:
- Benefits are limited to the deceased's financial contribution to the dependant's living standards
- Claims must be made within 52 weeks of the accident (unless the dependant was unable to claim due to incapacity)
- The CTP insurer may dispute claims if evidence is incomplete or if the dependant's needs are not clearly linked to the accident
If a dependant's needs exceed the CTP scheme's coverage, they may need to pursue additional support through other channels, such as Centrelink or the Workers Compensation Commission, depending on the circumstances.
Example: Claiming support for daily activities
Consider a scenario where a parent dies in a car accident, leaving two children under 18. The dependants may claim a lump sum to cover educational expenses and ongoing support for daily living. The CTP insurer would assess whether the deceased's income and care would have covered these costs, and whether the dependants' needs are reasonable and directly related to the accident.
When to seek legal advice
Dependant claims can be complex, especially if the CTP insurer disputes the amount or eligibility. Legal advice may be necessary to:
- Challenge an insurer's refusal to pay
- Navigate time limits and procedural requirements
- Ensure all evidence is properly documented
If you're a dependant seeking support for daily activities after a fatal motor accident, it's important to act promptly and gather all relevant evidence. The CTP scheme's rules can vary depending on the accident date and circumstances, so professional guidance may be needed to ensure your claim is properly assessed.
Next steps
Time limits and procedural requirements may apply. To request contact about your circumstances, complete the quick, no obligation enquiry form.