CTP motor accident claims: how to claim your lump sum
In Australia, all registered vehicles are required to have Compulsory Third Party (CTP) Insurance. This allows you to claim compensation if you’re injured in a road accident — whether you’re a driver, pedestrian, or public transport passenger.
Some states provide basic CTP compensation even if you were at fault. However, to get a lump sum payment, you’ll generally need to show that you weren’t responsible for the accident.
Depending on your situation, your lump sum payment could include lost income (both past and future), medical bills, and compensation for pain and suffering.
Each state has its own rules for lump sum payouts, so keep reading to find out what’s required to claim yours. If you’d prefer to speak to a lawyer directly, reach out anytime. Our expert motor accident team is ready to offer free advice on your entitlements.
Whole Person Impairment vs. Injury Scale Value: how they affect your claim
Whole Person Impairment (WPI) is used to measure the long-term effects of a motor accident injury.
An independent doctor will assess your condition by looking at factors like how severe the injury is and how much it impacts your daily life. They’ll then assign you a WPI percentage. To qualify for a lump sum payout, you’ll need to meet your state’s minimum WPI requirement.
Injury Scale Value (ISV) works similarly, assigning a number between 0 and 100 to show how serious your injury is and how it affects your life. ISV is only used for motor accidents in South Australia and Queensland, with your exact ISV determining how much compensation you’ll receive.
Below, we’ll outline the WPI and ISV requirements for each state.
Do I qualify for a lump sum payment?
New South Wales
If you’re looking to claim a lump sum for injuries from a motor accident, you’ll need to make a common law damages claim. This requires proof that:
- You have more than just minor injuries (this excludes things like soft tissue damage or psychological injuries that aren’t medically recognised.)
- Someone else was at fault for the accident.
Victoria
In Victoria, there are two ways you can get a lump sum payment for motor accident injuries:
- Permanent impairment payment: this is a one-time permanent impairment payment you can get on top of your usual CTP benefits. To qualify, your WPI has to be over 11%.
- Common law damages claim: if the accident was due to someone else’s negligence, you might have a common law damages claim. For this, you’ll need at least 30% WPI or a ‘serious injury certificate’ from the Transport Accident Commission.
Queensland
After a car accident, you’ll need to make a common law damages claim to receive a lump sum payout. This means you’ll need to show:
- Someone else caused the accident.
- Your ISV is over 0.
South Australia
To get a lump sum payout, you’ll need to make a common law damages claim. This means proving that:
- Another driver was at fault for the accident.
- Your ISV is over 8.
Northern Territory
After a motor accident, there are two ways to get a lump sum payout:
- Permanent impairment payment: this is a one-time permanent impairment payment that’s added to your regular CTP compensation. To be eligible, your WPI needs to be above 5%.
- Common law damages claim: to make a successful claim, you’ll need to prove that the accident was caused by another driver’s negligence.
Australian Capital Territory
To get a lump sum payment after a motor accident, you’ll need to make a common law damages claim. This means proving two things:
- The accident was caused by another driver.
- Your WPI is over 10%.
Tasmania
To receive a lump sum payment after a motor accident, you’ll need to file a common law damages claim. This requires proof that:
- The accident was caused by another driver’s negligence.
- Your WPI is more than 10%.
Western Australia
In WA, all motor accident compensation comes as a lump sum rather than ongoing benefits. To be eligible, you’ll need to prove:
- Another driver was at fault for the accident.
- Your total claim is worth more than $23,500.
What types of common law damages compensation could I receive?
When you make a common law damages claim, there are two main types of compensation you could be eligible for:
- Economic loss: this covers the income you’ve lost due to your injury, including the estimated income you’ll lose in the future. It can also include superannuation contributions, medical expenses, and any home or vehicle modifications related to your injury. Generally, you can claim future economic loss automatically if you qualify for a common law damages claim. The only exception is South Australia, where you need a minimum ISV of 8.
- Non-economic loss: this is compensation for the impact of the injury on your quality of life, covering things like pain and suffering, loss of enjoyment of life, and disfigurement. In some states, you need to meet a certain level of impairment to claim this. For example, in NSW, you need at least 10% WPI. While in South Australia, you must have a minimum ISV of 11, unless you can show your injuries have had a more serious impact than similar cases.
The total amount you receive depends on your state and how serious your injuries are. For a better idea of how much you could get, talk to our expert motor accident lawyers. In a free consultation, we’ll explain whether you have a claim and how to get the most compensation for your injuries.
Do time limits apply to my claim?
Yes, time limits apply to all motor accident claims. The exact limit depends on which state you’re in.
| NSW, SA, ACT, QLD, WA | 3 years from the accident date |
| VIC, TAS | 6 years from the accident date |
| NT | 3 years from the date of the accident. However, the Motor Accidents Compensation Commission can reject a claim that is made more than 6 months after the accident. |
To learn more, head to our complete guide to motor accident time limits.
If you’ve missed the time limit, don’t worry — you still have options. Just get in touch with a lawyer as soon as possible. Our expert lawyers fully understand the motor accident laws in every state and can apply for a time-limit exception for you. We’ve successfully helped hundreds of clients get delayed claims approved over the years.
What factors can reduce the size of my compensation?
Sometimes, an insurer might say you’re partly to blame for your injuries because of something you did or didn’t do. This is called contributory negligence, and can include things like:
- Not wearing a seatbelt (or having unbuckled passengers).
- Not wearing a helmet while biking.
- Sitting unsecured in a vehicle, like in the back of a van.
- Driving or being a passenger with an intoxicated driver.
- Getting distracted, like texting while driving.
If the insurer claims contributory negligence, your compensation might be reduced depending on how much they believe you were responsible for the accident. This is where a lawyer can help. Your lawyer will challenge those claims with solid evidence and strategies to help you keep as much of your payout as possible.
For example, let’s say you’re stopped at a red light and checking your phone when another car hits you. Normally, the other driver is at fault, but their insurer might claim your payout should be reduced by 30% for contributory negligence. Your lawyer could counter this by showing you had a good reason to check your phone or that it wasn’t reasonable to assume a quick glance would lead to an accident.
How we can help you
While you can make a motor accident claim on your own, having a specialist lawyer ensures you get everything you’re entitled to. Here’s how we can help:
- Initial assessment: we’ll evaluate if you have a claim and explain how much it’s worth for free.
- Medical treatment and records: we’ll refer you to a doctor for treatment and ensure thorough documentation of your injuries. If scans are clear but you still have pain, we’ll help you get a second opinion.
- Calculating compensation: we’ll assess the evidence to determine how much compensation you deserve, including past and future losses and the overall impact on your life and mental health.
- Handling disputes: we’ll advocate for you against the insurer throughout the whole process, ensuring you receive fair compensation.
- Maximising your payout: we’ll find your extra entitlements like income protection and Total and Permanent Disability (TPD) to maximise your compensation.
The best part? Our No Win No Fee guarantee keeps your claim risk-free. You won’t pay anything upfront, and you only pay if we win your case. If we don’t succeed, you won’t receive a bill from us.
Reach out today to talk about your motor accident claim. Find out if you qualify for a lump sum and how we can secure the compensation you deserve.
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