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).
Post-traumatic stress disorder (PTSD) following a road trauma can severely impact daily activities, such as work, household tasks, and social interactions. In New South Wales, the Compulsory Third Party (CTP) scheme covers psychological injuries like PTSD, but the process of claiming compensation depends on specific legal rules and evidence. This article explains how PTSD affects daily life, what CTP claims cover, and the practical steps to support your case.
How the NSW CTP Scheme Covers PTSD
Under the Motor Accident Injuries Act 2017, psychological injuries, including PTSD, are eligible for compensation through the CTP scheme. SIRA (State Insurance Regulatory Authority) guidelines state that PTSD must be diagnosed by a medical practitioner and linked to the road trauma. The injury must meet the 'threshold injury' criteria, meaning it must be more than a minor issue. For example, persistent anxiety, flashbacks, or sleep disturbances that prevent you from working or managing daily tasks may qualify.
Daily Activities Affected by PTSD
PTSD can disrupt routine activities like:
- Work: Difficulty concentrating, avoiding work-related triggers, or experiencing panic attacks.
- Household tasks: Overwhelming feelings of responsibility or avoidance of chores.
- Social interactions: Withdrawal from family or friends due to anxiety.
- Sleep: Insomnia or nightmares that interfere with rest.
To prove these impacts, you must show a clear connection between your PTSD and the road trauma. Medical records, therapy notes, and statements from healthcare professionals are critical.
Evidence Needed for CTP Claims
The CTP scheme requires objective evidence to support your claim. Key documents include:
- A diagnosis of PTSD from a registered medical practitioner.
- Records of therapy sessions, medication, or other treatments.
- Evidence of how PTSD affects your daily life, such as:
- Work records showing reduced hours or leave.
- Statements from family or friends about your behavior.
- A diary or journal documenting symptoms.
- Accident reports and witness statements to establish the trauma's link to the road incident.
Time Limits and Dispute Options
You have 52 weeks from the accident date to claim benefits for 'only injuries' (such as threshold injuries). After this period, weekly payments and treatment benefits typically stop unless the injury is severe enough to qualify for long-term compensation. If your claim is disputed, you can request a review by the Personal Injury Commission. However, a review does not guarantee a change in the decision and may require additional evidence.
When to Seek Legal Advice
If your PTSD claim is denied or you're unsure about your options, consult a legal professional. A solicitor can help you:
- Navigate the CTP application process.
- Challenge a decision if you believe the claim was unfairly rejected.
- Explore additional compensation for long-term impacts.
Practical Example
Consider Sarah, a 35-year-old mother who developed PTSD after a car crash. She struggled to care for her children due to anxiety and flashbacks. Her therapist documented these symptoms, and her employer noted reduced work performance. With this evidence, Sarah successfully claimed CTP benefits for her psychological injury.
Next Steps
Every claim depends on its own facts. To request contact about your circumstances, complete the quick, no obligation enquiry form.