Personal Injury Claims in Australia: What You Can Claim and How It Works

The amount of compensation you receive after a work injury depends on a few key factors, such as how the accident happened, who was at fault, and whether your injury leads to long-term impacts.

Generally, there are three main types of compensation you might be entitled to. Here’s a closer look at each one and how they work.

Basic workers compensation benefits

If you’ve been injured because of work, you’re generally entitled to workers compensation benefits, regardless of who was at fault.

Depending on your situation, you may be eligible for:

• Weekly payments to replace lost wages (up to 95% of your usual income).
• Medical and hospital expenses.
• Rehabilitation and return-to-work support.
• Travel costs for getting to and from treatment.

Importantly, it doesn’t matter if you’re full-time, part-time or casual. As long as the injury is work-related, you can lodge a workers comp personal injury claim and start getting the support you need to recover.

Permanent impairment lump sum payments

If your work injury results in a permanent condition, you may be entitled to a lump sum payment on top of your regular workers compensation benefits.

To qualify, your level of Whole Person Impairment (WPI) needs to be assessed. This assessment is carried out by an independent medical professional who evaluates how your injury affects your body and your ability to live and work, both now and in the future.

In many states, there’s a minimum WPI threshold you need to meet before you can access a permanent impairment payout:

Let’s say you suffer a lower back injury at work in NSW. Once your condition is stable (meaning it’s not expected to improve with further treatment), you’ll undergo a Whole Person Impairment (WPI) assessment.

In this situation, your WPI is assessed at 28%. Since that’s well above the 11% threshold required in NSW, you’ll be eligible to claim a lump sum payment on top of your weekly workers comp benefits.

The exact amount you receive depends on your WPI rating and the date of your injury. For example, if your injury happened between 1 July 2025 to 30 June 2026, you could expect:

Want to learn more about how WPI works and what it could mean for your personal injury claim? Check out our total guide to permanent impairment lump sum payments.

Common law personal injury claims

If your work injury was caused by your employer’s negligence, you may be eligible to make a common law personal injury claim. For example, they may have failed to provide proper training, equipment, or a safe work environment.

Unlike workers compensation claims, which provide basic weekly benefits, common law claims can lead to large lump sum settlements.

On top of your regular workers comp benefits, a successful common law claim may include:

• Future lost earnings and superannuation.
• Ongoing medical and rehab costs (depending on your state).
• Pain and suffering or ‘non-economic loss’ (depending on your state).

In some states, you’ll also need to meet a minimum Whole Person Impairment (WPI) threshold before you’re eligible to file a common law claim. Check the table below to see the required WPI rating in your state.

If you’ve been injured in a road traffic accident, the amount of compensation you’re entitled to depends on a few key factors, including which state or territory you live in and who was at fault.

If the accident wasn’t your fault

If someone else caused the crash, you may be able to claim compensation for:

• Lost income: including past wages and future earnings if your injury affects your ability to work.
• Pain and suffering: for the physical and emotional toll the injury has taken on your life. It’s also known as ‘non-economic loss’.
• Care and support: including help from paid professionals or family members, as well as compensation if you can no longer care for someone who depends on you.
• Out-of-pocket expenses: like medical bills, travel to and from appointments, and any home or vehicle modifications you need to maintain your independence.

What if the accident was your fault?

You might still be eligible for compensation; it just depends on where you live.

In NSW, Victoria, Tasmania, the ACT, and the Northern Territory, you can make a CTP (Compulsory Third Party) claim even if you were the at-fault driver.

In Queensland, South Australia, and Western Australia, you can only claim compensation if someone else was at fault.

If you’re in a state that allows at-fault claims, you may still receive compensation for:

• Lost income.
• Medical treatment.
• Domestic assistance and rehabilitation.

To find out exactly what you’re entitled to, check out our full motor accident compensation guide or get in touch with our personal injury lawyers for free advice on your situation.

If your injury happened in a public place, private property, or rental home due to someone else’s negligence, you could be eligible to make a public liability compensation claim.

Your payout will depend on the severity of your injury and how it’s affected your life, but may include:

• Lost income and super: covering both past and future losses
• Care and support: for yourself or anyone who depends on you
• Non-economic loss: also known as ‘pain and suffering’, this recognises the physical and emotional impact
• Out-of-pocket costs: like medical expenses, rehab, or home modifications

Want a clearer idea of what your claim might be worth? Check out our full guide on public liability compensation, or speak with one of our experienced personal injury lawyers for free, tailored advice.

If you were harmed because a doctor, surgeon, dentist or other healthcare provider failed to meet the expected standard of care, you may be eligible to make a medical negligence claim.

A successful claim can provide compensation for the full impact the injury has had on your life, including:

• Lost income and superannuation: covering both past losses and future earning potential
• Care and support: for yourself or for anyone who depends on you
• Pain and suffering: also known as ‘non-economic loss’, this recognises the emotional and physical toll of your injury
• Out-of-pocket expenses: such as treatment costs, rehabilitation, travel to appointments, or home modifications

Want to understand what your claim might be worth? Read our full guide to medical negligence payouts, or speak to one of our experienced personal injury lawyers for free, personalised advice.

If your injury or illness means you’re permanently unable to return to your job, you could be entitled to a Total and Permanent Disability (TPD) payout through your superannuation.

TPD payouts are lump sum benefits designed to ease financial pressure and support you long-term. While most payouts range from $60,000 to $450,000, some super policies provide benefits of over $1 million. It all depends on your level of cover and how severe your condition is.

To find out what you could be entitled to, speak with our experienced TPD lawyers. We’ll review your policy, assess your eligibility, and explain your options clearly — all in a free consultation.

Workers compensation claims

Most Australian states and territories impose a cap on how much injured workers can claim for lost wages:

However, the exact amount you receive will depend on the amount you earned before your injury and how long you’re receiving payments.

Car accident claims

If you’re involved in a car accident, most states put a cap on how much you can claim for lost wages:

Importantly, the precise amount you get is based on your pre-injury earnings and how long you receive benefits.

If you were injured because of someone else’s negligence, you may be able to claim for ‘non-economic’ loss on top of your lost wages, medical costs and other economic losses.

Also known as ‘pain and suffering’, each state has its own cap on non-economic loss compensation. Check out the table below to learn the cap in your state. Keep in mind, these caps were set in October 2024 and increase every year with inflation.

To learn more, head to our complete guide to calculating pain and suffering in personal injury claims.

TPD claims don’t have caps like other personal injury claims. That’s because you’re not claiming separate damages (like lost income or medical expenses), you’re claiming the full lump sum insured under your superannuation policy.

The amount you receive depends entirely on the terms of your policy and your level of cover. So while there’s no legal ‘cap’, the payout is limited to the amount you’re insured for.

A duty of care is a legal responsibility to take reasonable steps to protect another person’s safety and well-being. It automatically exists in certain relationships, such as between employers and employees or doctors and patients. So, if your injury was caused by your boss or a medical professional, this part of the claim is usually straightforward.

However, in situations where the relationship isn’t as clear — like if you slipped on a wet footpath, tripped in a shopping centre, or were injured at someone else’s home — you’ll need to show that the person or organisation responsible owed you a duty of care. This involves looking at what a reasonable person in their position would be expected to do to prevent harm.

Once you’ve shown that the other party owed you a duty of care, the next step is proving they breached it. This means showing they did something (or failed to do something) that a reasonable person or business in the same situation wouldn’t have done. In other words, their actions fell short of the standard of care that’s expected, and that’s what led to your injury.

Next, you’ll need to prove that their breach of duty directly caused your injury. This is usually done using the ‘but for’ test. When applying the test, we ask: ‘but for’ their actions (or failure to act), would you have been injured? If the answer is no, then you’ve likely shown that their breach caused your harm.

The final step is proving that the other person’s negligence caused you some form of ‘loss’. This could include lost income, medical expenses, or pain and suffering (meaning the overall impact the injury has had on your life).

Unless your policy specifically says otherwise, TPD claims generally don’t have strict time limits. That said, it’s always best to file your claim as soon as possible. With time, gathering the necessary evidence becomes more difficult, and insurers tend to be more likely to refuse claims the longer you wait.

During your free consultation, you’ll talk directly with one of our solicitors for personal injury claims. We’ll listen carefully to your story, explain your legal rights in plain, straightforward language, and offer clear advice on the compensation you may be entitled to.

If you choose to move forward, the same lawyer you meet with will manage your case from start to finish. This ensures you get consistent support and expert guidance throughout the entire process.

Your lawyer will carefully review your clinical records, employment history, and medical background to build a strong case on your behalf. When needed, we’ll bring in one of our trusted medical experts to conduct an independent assessment of your injury. If this happens, we cover all costs upfront — and you won’t pay a cent unless your claim is successful.

We collaborate closely with trusted medical and liability experts to obtain detailed reports and key evidence that strengthen your claim. If your injury impacts your ability to work or limits your hours, we’ll also bring in vocational experts to evaluate how your condition affects your current and future capacity to work.

This part looks a little different depending on where you live.

The process can vary depending on where you live. In states like NSW, we begin court proceedings by filing the necessary documents and exchanging evidence with the medical professional’s insurer. After that, your claim typically moves to mediation, where our lawyers negotiate strongly to secure the best possible compensation for you.

In other states, such as South Australia, we handle all required pre-court steps upfront. This includes preparing a pre-action claim and participating in a pre-action meeting (often called a ‘settlement conference’) before any formal court proceedings begin.

Most cases settle during the settlement conference or mediation, avoiding the need for a court trial. Throughout this process, your personal injury lawyer handles all negotiations to secure the best possible outcome for you. Our detailed preparation and expertise really make a difference here. If a settlement isn’t possible, your lawyer will guide you through what happens next.

Yes, you can make a personal injury claim for a mental health condition. You might also hear it referred to as a ‘psychiatric injury claim’.

These types of claims follow the same basic legal principles as physical injury claims, but the evidence required can be quite different. Instead of relying on X-rays or scans, you’ll typically need medical reports from a psychiatrist and, in some cases, psychological assessments to show the extent of your condition and how it has affected your life.

Common psychiatric conditions that can form the basis of a personal injury claim include:

• Anxiety.
• Depression.
• Post-Traumatic Stress Disorder (PTSD).

Unfortunately, you can’t make personal injury claims for stress alone. To be eligible, you must be formally diagnosed with a recognised psychiatric condition.

What makes these claims especially challenging is that psychological injuries are often invisible and deeply personal. The impact can be just as debilitating as a physical injury, but proving it in legal terms requires careful preparation and compelling evidence.

That’s why having an experienced personal injury lawyer on your side is so important. We understand the unique challenges of psychiatric claims, know which expert assessments to organise, and can present your case in a way that truly reflects the severity of your condition.

With the right legal team behind you, you’re not just telling your story — you’re giving it legal weight. This dramatically increases your chances of a successful claim and ensures you’re properly compensated for the full impact of your mental health condition.

Having a pre-existing condition doesn’t stop you from making a personal injury claim, but it can make things more complex. To make a successful claim, you’ll need to show that the accident or incident worsened your condition or caused a new injury altogether.

Unfortunately, insurance companies often try to argue that your symptoms are due to your old injury or illness rather than the new event. That’s why it’s crucial to have a skilled personal injury lawyer on your side.

We work closely with medical experts who can assess your medical history, explain how your condition has worsened, and link it to the accident or incident. Using strong medical evidence and strategic legal arguments, we’ll ensure your pre-existing condition isn’t used against you — and that you receive the full compensation you’re entitled to.

That all depends on the type of claim you’re making. In most cases, payouts come from insurance companies or government bodies:

• Workers compensation claims: your employer’s workers compensation insurer is responsible for paying your benefits.
• Motor accident claims: the compulsory third party (CTP) insurer of the vehicle at fault will pay your compensation.
• Medical negligence claims: the healthcare provider’s professional indemnity insurer usually covers the payout.
• Total and Permanent Disability (TPD) claims: the payout comes from your super fund’s insurer.

When you work with an expert personal injury claims lawyer, it’s unlikely your claim will end up in court. That’s because experienced lawyers know how to resolve claims through a process called mediation, a structured negotiation between both sides. At Monaco, we settle over 98% of personal injury claims out of court, saving our clients the stress, cost, and time of a trial.

That said, if your case does need to go to court, you’ll have a dedicated legal team by your side every step of the way. We’re always fully prepared, highly experienced, and committed to fighting for the best possible result.

What court deals with personal injury claims?

Different courts deal with personal injury claims, depending on the value of your claim and how complex it is. As a guide:

• Workers compensation claims: basic workers comp claims begin in your state tribunal or commission. The court is reserved for common law damages claims only.
• Car accident claims: your CTP claim begins in the relevant state tribunal and only proceeds to court if it can’t be resolved.
• Other personal injury claims: these begin in the District or Supreme Court of our state, depending on your claim value.

In personal injury claims, special damages are a type of economic loss — specifically, the out-of-pocket expenses you’ve already incurred (or are reasonably likely to incur in the future) as a direct result of your injury.

Unlike other economic losses, such as future income loss (which are often based on expert predictions), special damages are concrete and measurable. They’re backed by receipts, invoices, reports, or other clear evidence.

Some common examples of special damages include:

• Medical expenses, including hospital treatment, medication, and rehab.
• Travel costs to and from medical appointments.
• Lost income from time off work.
• Home modifications to improve accessibility or safety.
• Paid care and support services.
• Domestic assistance, including help from family or friends.

Because these costs are evidence-based, strong documentation is key. When you work with a personal injury lawyer, we’ll help you gather and present this evidence clearly to ensure you claim the maximum amount you’re entitled to.

No, personal injury compensation is generally not taxable in Australia. However, there are a few important exceptions:

• Interest earned on your compensation (for example, in a bank account) is taxable.
• Some TPD insurance payouts may have tax withheld if paid directly from your superannuation. The amount depends on your age and how the payout is classified.

In addition, if you’re receiving Centrelink payments, these may be adjusted in line with your personal injury payout.

If you’re unsure how your compensation will affect your tax or finances, it’s a good idea to speak with a tax professional experienced in personal injury claims.

Our personal injury solicitors are here to support you through every step of your claim. We’ll thoroughly investigate the details of your accident or treatment, gather expert evidence, and build a strong case that clearly connects another party’s actions to your injury.

What sets us apart from other law firms? We go beyond the basics to uncover every type of compensation you’re eligible for, ensuring you get the maximum payout for your injury.

When you work with our personal injury lawyers, you can expect:

• Honest legal advice on how much your claim is worth.
• A strong case backed by leading industry experts.
• The financial resources to take on large insurers.
• Expert negotiation skills to secure the best outcome.
• Complete transparency and regular updates throughout.
• Accurate preparation of all court documents.
• No upfront costs with our No Win No Fee guarantee.
• A committed legal team working to uncover your extra entitlements, such as permanent impairment lump sums or TPD benefits.