Claiming Compensation? Here's 5 Facts You Need to Know
A summary of five important facts for personal injury compensation claims in Australia – including taxes, claim filing deadlines, and other procedural details.
The Australian legal system provides a framework for injured parties to receive compensation from insurers and other responsible parties after an accident. For answers to specific questions about your personal injury case, meeting with a compensation lawyer is the best approach.
While you wait for a consultation, here are 5 quick facts about compensation for personal injury cases that you should know today.
1. Time Limits to File a Personal Injury Claim
Perhaps the most important fact about compensation claims in Australia is that time limits exist for how long you have to file a claim. Generally, you have three years from the date of accident to make a claim. However, some time limits are less for certain types of personal injury claims for statutory benefit (e.g., motor vehicle accidents or worker’s compensation claims). Local laws can also influence the time you have to make a claim. The time limit usually begins on the date of the accident or the date you discover your injury.
2. Calculating Your Compensation
Compensation for a personal injury covers more than your cost of medical care. You can receive money to compensate for your pain and suffering, along with money to cover your lost earnings and need for domestic care (both past and present). The amount of your compensation will depend on the nature of your injury and other factors related to your earning potential (e.g., age, work history, and education).
3. Most Personal Injury Compensation Is Tax-exempt
Your personal injury compensation will most likely be tax-exempt. Australia does not collect income taxes on this type of compensation, because it is meant to reimburse you. However, we recommend working with an accountant to confirm tax liability – including any reporting requirements.
4. How to Pursue Compensation
The process for pursuing a compensation claim might look different depending on the nature of the accident that caused the injury. In many cases, you may be able to resolve the claim by having your lawyer negotiate with insurers, responsible parties, or other agencies. As a last resort, filing a claim in court and pursuing compensation through litigation might be necessary.
5. The Timeline for Resolving a Personal Injury Case
The amount of time it takes to resolve a claim and receive compensation can vary from case to case. Additionally, the process used to resolve the claim will influence the timeline. On the short end, some cases can take a few months, while other cases (usually due to delays in the court system) can take a year or two to conclude.
Schedule a Free Consultation with State Law Group
Led by Andrew Le – an accredited specialist in personal injury since 2016 – State Law Group is committed to providing its personal injury expertise throughout New South Wales and Queensland. We have offices in Cabramatta, Sydney, Liverpool, and several other locations where we are available for a free consultation.
After an initial consultation, you can sign representation papers that allow us to formally represent you as a client. Based on our experience, we know personal injury cases are a difficult time in your life. We rely on that same experience, however, to get you a rightful compensation that helps you and your family recover.
Contact State Law Group today to schedule a free consultation for your personal injury claim.