In New South Wales, insurers assess shared liability in partial fault motor accident claims by evaluating fault contributions under the Motor Accident Injuries Act 2017. This article explains how insurers determine liability, factors they consider, and practical steps for claimants in Albury.
How Insurers Determine Shared Liability
- NSW CTP insurers assess fault based on the
- Motor Accident Injuries Act 2017* and
- SIRA guidelines*. Shared liability occurs when multiple parties contributed to the accident. Insurers do not assign fault percentages but instead determine whether each party’s actions were a 'contributory cause' of the crash. For example, if a driver ran a stop sign and another driver exceeded the speed limit, both may share liability.
Insurers use evidence such as traffic camera footage, police reports, and witness statements to assess fault. They also consider whether the accident involved a 'threshold injury' (a soft tissue injury meeting specific medical criteria) or a more severe injury. Under the Act, only injuries meeting the threshold definition qualify for statutory benefits.
Factors Insurers Consider
When assessing shared liability, insurers evaluate:
- Traffic rules and actions: Did any party break a traffic law or act recklessly?
- Evidence of fault: Police reports, medical records, and accident scene photos are critical.
- Contributory negligence: If a claimant contributed to the accident (e.g., distracted driving), insurers may reduce benefits.
- SIRA guidelines: These outline how to assess injuries and apportion fault in shared liability cases.
For instance, if a cyclist was partially at fault for not using a pedestrian crossing while a car driver also breached a traffic rule, the insurer would assess both parties’ roles.
Practical Steps for Claimants
To understand insurer assessments, claimants should:
- Gather medical records to confirm injury type (threshold injury or more severe).
- Document accident details, including traffic signs, weather, and vehicle conditions.
- Preserve witness contact information and photographs of the scene.
- Review insurer correspondence to understand how they interpret fault.
Claimants should also note that insurers may apply the 52-week statutory benefit limit if injuries are limited to threshold injuries. After 52 weeks, weekly payments and treatment benefits typically stop unless the injury meets higher impairment thresholds.
Time Limits and Dispute Options
Claimants must notify their insurer within 28 days of the accident to claim statutory benefits. If an insurer disputes liability or benefits, claimants can:
- Request a review by SIRA or the NSW Civil and Administrative Tribunal (NCAT).
- Seek legal advice to challenge the insurer’s assessment.
Disputes often arise when insurers misclassify injuries or dispute fault apportionment. SIRA’s guidelines provide a framework for resolving such conflicts.
When to Seek Legal Advice
Claimants should consult a solicitor if:
- The insurer denies liability or benefits.
- The injury involves complex medical evidence.
- The claimant is unsure how to respond to an insurer’s assessment.
Legal professionals can help claimants understand their rights under the Motor Accident Injuries Act 2017 and ensure insurers comply with SIRA guidelines.
Every claim depends on its own facts. To request contact about your circumstances, complete the quick, no obligation enquiry form.