How Treatment Costs Are Funded in Fatal Motor Accidents
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 motor accident results in a fatality, the New South Wales Compulsory Third Party (CTP) scheme does not fund treatment costs for the deceased person. However, dependants of the deceased may have other claims under the Motor Accident Injuries Act 2017 (MAIA) to seek compensation for losses, including lost income, medical expenses, and other related costs. This article explains how treatment costs are addressed in fatal accidents and outlines the practical steps for families seeking support.
NSW CTP Rules for Fatal Accidents
The CTP scheme, administered by the State Insurance Regulatory Authority (SIRA), provides compensation for injured persons and their dependants in motor accidents. However, it does not cover treatment costs for deceased individuals. Instead, the MAIA allows dependants to claim for:
- Loss of income (e.g., future earnings)
- Medical expenses incurred before death
- Other financial losses, such as funeral costs
Treatment costs for the deceased are not funded under CTP, as the scheme focuses on injuries, not fatalities. Families should consult SIRA to confirm whether they may be eligible for other benefits under the MAIA.
Evidence and Practical Steps for Families
To claim compensation for losses after a fatal accident, families should gather:
- Medical records of the deceased, including pre-existing conditions
- Evidence of financial dependency (e.g., income statements, care records)
- Accident reports and witness statements
- Proof of funeral or medical expenses
SIRA requires these documents to assess claims under the MAIA. Families should also note that CTP claims for fatalities are rare and typically require a detailed review of the deceased’s circumstances.
Time Limits and Dispute Options
CTP claims must be submitted within 52 weeks of the accident, unless an extension is granted. For dependants’ claims under the MAIA, the time limit is generally 52 weeks from the date of the injury. If a family believes their claim is being undervalued, they may:
- Request a review by SIRA
- Seek independent legal advice to challenge the assessment
- Explore mediation or dispute resolution options
It is important to act promptly, as delays can reduce the chances of securing full compensation.
When to Seek Legal Advice
Families facing complex claims after a fatal motor accident should consult a legal professional to:
- Understand their rights under the MAIA
- Navigate the CTP claims process
- Challenge unfair assessments of dependants’ losses
Legal experts can also help families determine whether they may be eligible for additional support beyond the CTP scheme.
Next Steps
CTP funding for treatment costs is limited to injured persons, not fatalities. Families of deceased individuals should focus on other claims under the MAIA, such as loss of income or medical expenses incurred before death. For personalized guidance, complete the quick, no obligation enquiry form to request contact about your circumstances.