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Terms of Reference for the Statutory Review of the Personal Injury Commission Act 2020

Introduction

The Personal Injury Commission was established by the Personal Injury Commission Act 2020 (the Act) to resolve disputes between people injured in motor accidents and workplaces in NSW, and insurers and employers.

The Act provides for the objects and functions of the Commission, as well as determining how proceedings are conducted and determined.

Schedule 5 to the Act also provides for the appointment and functions of the Independent Review Officer.

Purpose of the Statutory Review

Section 68 of the Personal Injury Commission Act 2020 (the Act) requires the Minister to undertake a Review of the Act.

The purpose of the statutory review is to determine whether the policy objectives of the Act remain valid, and whether the terms of the Act remain appropriate for securing those objectives.

The statutory review is to be undertaken soon as possible after a period of two years from the date of assent of the Act, which occurred on 11 August 2020.

A report on the outcome of the Review is to be tabled in each House of Parliament within 12 months from commencement of the Review.

Terms of Reference

The State Insurance Regulatory Authority (SIRA) will be leading the Statutory Review of the Personal Injury Commission Act 2020 (the Act) on behalf of the Minister.

The Review will consider whether the policy objectives of the Act remain valid, and whether the terms of the Act remain appropriate for securing those objectives.

The objectives of the Act are outlined in section 3 of the Act, including:

(a)  to establish an independent Personal Injury Commission of New South Wales to deal with certain matters under the workers compensation legislation and motor accidents legislation and provide a central registry for that purpose,

(b)  to ensure the Commission—

  1. is accessible, professional and responsive to the needs of all of its users, and
  2. is open and transparent about its processes, and
  3. encourages early dispute resolution

(c)  to enable the Commission to resolve the real issues in proceedings justly, quickly, cost effectively and with as little formality as possible,

(d)  to ensure that the decisions of the Commission are timely, fair, consistent and of a high quality,

(e)  to promote public confidence in the decision-making of the Commission and in the conduct of its members,

(f)   to ensure that the Commission—

  1. publicises and disseminates information concerning its processes, and
  2. establishes effective liaison and communication with interested parties concerning its processes and the role of the Commission,

(g)  to make appropriate use of the knowledge and experience of members and other decision-makers.

The Statutory Review will not make recommendations relating to the design and operation of the Compulsory Third-Party (CTP) and Workers Compensation legislation including the following legislation:

  • Workplace Injury Management and Workers Compensation Act 1998 (the 1998 Act);
  • Workers Compensation Act 1987 (the 1987 Act);
  • Motor Accidents Compensation Act 1999 (the 1999 Act); and
  • Motor Accident Injuries Act 2017 (the 2017 Act).

Methodology

The Statutory Review will commence on 12 August 2022. Submissions will be accepted via the SIRA website for a period of six weeks.

To inform the statutory review, a public consultation and engagement process will be undertaken.

Submissions should consider the terms of reference and policy objectives under section 3 of the Act as outlined above.

A report on the outcome of the Statutory Review is to be tabled in each House of Parliament within 12 months from the commencement of the review. This may include recommendations to amend the Act.

Background

In August 2020, the NSW Parliament passed legislation establishing the Personal Injury Commission (Commission) and transferring the functions of the Workers Compensation Commission, Dispute Resolution Service, the Motor Accidents Claims Assessment and Resolution Service, and the Motor Accidents Medical Assessment Service to the Commission.

The intention was to create a one-stop shop that simplified the dispute resolution process and deals with disputes justly, quickly, and as cost efficiently as possible.

The structure of the Commission is intended to have two specialist divisions to deal with workers compensation and motor accidents, with an independent judicial head.

In addition, the Act re-established the statutory office of Independent Review Officer (previously established under the Workplace Injury Management and Workers Compensation Act 1987), and assigned the Officer the statutory functions of dealing with complaints made under both workers compensation and motor accidents legislation, and managing and administering the Independent Legal Assistance and Review Service.

The Act did not change the benefits and entitlements in the original workers compensation and CTP schemes, ensuring minimal impact to insurance premiums and offering certainty with business continuity.

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