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).
If you've suffered a psychological injury after a car accident in NSW, understanding your rights under the Compulsory Third Party (CTP) scheme is critical. Psychological injuries, such as anxiety, PTSD or depression, can be complex to claim but are covered under the Motor Accident Injuries Act 2017. Early action is essential to preserve your right to claim benefits. This guide explains the practical steps, evidence needed and time limits for psychological injury claims in Auburn, focusing on SIRA's requirements and how to navigate disputes.
What is a Psychological Injury Under NSW CTP Laws?
Under the Motor Accident Injuries Act 2017, psychological injuries are classified as 'threshold injuries' if they meet specific medical criteria. SIRA's guidelines define a threshold injury as one that results in a 'significant limitation' of daily activities, such as difficulty sleeping, concentrating or managing stress. However, not all psychological injuries qualify for statutory benefits. For example, a person with a diagnosed anxiety disorder requiring ongoing treatment may be eligible, while a temporary reaction to trauma may not meet the threshold.
The key distinction is whether the injury is 'serious enough' to require treatment. SIRA's medical experts assess whether the injury has caused a 'significant limitation' of daily activities. This means you must seek professional medical attention promptly to document your condition. A psychologist or psychiatrist's report is essential to establish the injury's severity.
Practical Steps for Psychological Injury Claims
- Seek Immediate Medical Attention: Visit a registered medical practitioner (e.g., GP, psychologist or psychiatrist) within 28 days of the accident. Document your symptoms, treatment plan and any changes in your mental health. Delaying medical care can jeopardise your claim.
- Preserve Evidence: Gather all relevant records, including:
- Accident reports from NSW Police or the Transport for NSW website
- Witness statements or contact details
- Photographs of the scene and vehicle damage
a. Medical records showing a diagnosis of a psychological condition b. Notes from therapy sessions or medication records
- Notify the At-Fault Driver's Insurer: SIRA requires you to notify the insurer within 52 weeks of the accident. This is crucial because claims for injuries beyond the threshold (e.g., severe PTSD) may require a separate review process.
- Understand Time Limits: If your injury is classified as a threshold injury, you may only receive weekly benefits for 52 weeks. After this period, you may need to pursue a common law damages claim through the NSW Civil and Administrative Tribunal (NCAT) if your injury is more severe.
How SIRA Handles Psychological Injury Claims
SIRA evaluates claims based on the Motor Accident Guidelines, which include specific criteria for psychological injuries. For example, a person with a 'significant limitation' of daily activities may be eligible for weekly income payments and treatment benefits. However, if your injury is not classified as a threshold injury, you may still have a claim for non-economic damages (e.g., pain and suffering) under common law, provided you meet the 'whole person impairment' threshold.
SIRA's assessment process involves a medical expert review. If your claim is denied, you can request a review or escalate it to the NSW Civil and Administrative Tribunal. It's important to act quickly, as SIRA has strict deadlines for processing claims.
Example: A Hypothetical Scenario
Consider a person who was in a car accident and developed anxiety symptoms, including panic attacks and sleep disturbances. They sought treatment from a psychologist, who diagnosed a 'significant limitation' of daily activities. This would qualify as a threshold injury, making them eligible for weekly benefits and treatment. However, if the anxiety worsened over time and required long-term therapy, they may need to pursue a separate claim for non-economic damages.
When to Seek Legal Advice
Psychological injuries can be complex, especially if they involve both statutory benefits and common law claims. A solicitor can help you understand whether your injury meets the threshold for SIRA benefits or if you have a stronger case for damages. Early legal advice is particularly important if your injury is not classified as a threshold injury but you believe it has caused long-term harm.
Next Steps
If you're unsure whether your psychological injury qualifies for compensation, take action now. Complete the quick, no obligation enquiry form to request contact about your circumstances. Every claim depends on its own facts, and the available options may depend on the evidence and applicable law.