Amendments to motor accidents and workers compensation laws passed
9 June 2022
The Motor Accidents and Workers Compensation Legislation Amendment Bill 2021 was passed by the NSW Parliament on the 8 June 2022, making changes to injured people’s entitlements and the regulation of the schemes.
Volunteers and children of people killed in workplace accidents will benefit from the changes to the workers compensation legislation, as will people claiming in the motor accidents scheme.
The changes remove some discrepancies between volunteer and paid workers, specifically volunteer firefighters, SES volunteers, surf life savers, marine rescue and volunteer rescue association workers. These volunteers will now receive access to provisional acceptance of liability, cover for funeral-related costs, and costs associated with returning to work with a new employer and education and training.
Children of people killed in workplace accidents will be entitled to additional compensation to cover costs associated with the NSW Trustee and Guardian managing their lump sum until they turn 18. SIRA will consult with stakeholders on regulations that give effect to these changes.
Included in the Bill were changes to the CTP scheme to ensure that people injured in motor vehicle accidents have their benefits fairly assessed and calculated.
People who receive a higher income in the 12 months before their motor vehicle accident can now have the higher salary reflected in the calculation of their statutory benefits. Similarly, benefits will now consider a person’s actual earnings post-accident.
Other changes remove ambiguities around no-fault accident provisions and accidents involving an at-fault driver from interstate, while making changes to the access of benefits for injured people living overseas.
The point-to-point industry is in line to pay more accurate CTP premiums. Taxis and hire vehicles will be required to provide information to SIRA or a CTP insurer on their bookings to ensure that premiums are fairly assessed. SIRA’s Point-to-Point Guidelines support these reforms and targeted consultation will continue with key stakeholders ahead of implementation.
Further changes provide additional powers to SIRA to regulate health service providers in the workers compensation and CTP schemes. Under these powers, SIRA can take action against providers who repeatedly engage in practices that adversely impact injured people’s outcomes. Over the coming months, SIRA will consult with stakeholders on regulation and guidelines that will support these changes.
This Bill amends the workers compensation and motor accidents legislation, as well as the State Insurance and Care Governance Act 2015, the Workers Compensation (Bush Fire, Emergency and Rescue Services) Act 1987 and the Personal Injury Commission Act 2020.
All changes were developed in consultation with key stakeholders including insurers, peak medical and legal professional bodies, volunteer organisations, dispute resolution decision-makers, industry and key government agencies.