What Changed for Fatal Accident Claims After 2017?
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).
The 2017 reforms to NSW's Compulsory Third Party (CTP) scheme introduced significant changes to how compensation is calculated for fatal motor accidents. Under the new Motor Accident Injuries Act 2017 (MAIA), dependants of victims now have a clearer pathway to claim for loss of services, future income, and other damages. This replaced the previous system under the Motor Accidents Compensation Act 1999 (MACA), which was phased out on 1 December 2017.
How the New Regime Affects Fatal Claims
Under the MAIA, dependants can claim for:
- Loss of services (e.g., childcare, household support)
- Future income the victim would have earned
- Out-of-pocket expenses
- Psychological harm to dependants
The reforms also introduced a more structured approach to assessing these claims, with SIRA (State Insurance Regulatory Authority) now overseeing the assessment of dependant claims. This contrasts with the previous system, where claims were often handled by private insurers.
Practical Steps for Fatal Accident Claims
- Notify the insurer: Contact the at-fault driver's CTP insurer within 52 weeks of the accident. While this deadline applies to non-fatal claims, dependant claims may have different time limits depending on the circumstances.
- Gather evidence: Document the victim's income, dependants, and any out-of-pocket expenses. Medical records showing the victim's condition and future earning capacity may also be relevant.
- Seek SIRA assessment: For dependant claims, SIRA evaluates whether the claim falls within the 'loss of services' category. This includes assessing the victim's potential career trajectory and the dependants' reliance on their support.
- Dispute resolution: If the insurer rejects the claim, you may request a review by SIRA or escalate to the NSW Civil and Administrative Tribunal (NCAT). The 2017 reforms introduced clearer guidelines for disputing claims, reducing ambiguity in the process.
A Hypothetical Example
Consider a scenario where a working parent dies in a car accident. Under the old MACA system, dependant claims were often limited to 'loss of services' without clear guidelines on how to quantify this. Under the MAIA, the dependants could now claim for:
- The income the parent would have earned over their working life
- The cost of childcare or household support they provided
- Emotional distress caused by the loss
This structured approach ensures dependants receive compensation based on the victim's potential contributions, not just their current income.
Time Limits and Next Steps
While the 52-week rule applies to non-fatal claims, fatal accident claims may have different time limits depending on the evidence. For example, claims involving future income projections may need to be made before the victim's potential earnings are fully realized.
If you're unsure whether your claim falls within the new regime, contact a legal professional. The 2017 reforms have changed how dependant claims are assessed, and your circumstances may require tailored advice.
When to Seek Advice
If your claim involves dependants, future income, or loss of services, it's important to seek guidance to ensure you meet all requirements. Every claim depends on its own facts, and the reforms have introduced new considerations that may affect your entitlement.
Every claim depends on its own facts. To request contact about your circumstances, complete the quick, no obligation enquiry form.