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Canberra Today 25°/29° | Friday, March 29, 2024 | Digital Edition | Crossword & Sudoku

New law ‘slashes’ accident compensation, say lawyers

Photo: Silas Brown

FROM today, Canberrans injured in a road accident that is not their fault will have their compensation slashed, says the Law Society.

Not so, according to Chief Minister Andrew Barr, who says: “Canberrans will receive fairer, faster and more comprehensive support if they are injured in a motor vehicle accident through the ACT’s new Motor Accident Injuries Scheme.”

He says motorists will save through reduced premiums.

“Premiums set by the private-sector insurers have been as high as $644 for the average passenger vehicle in today’s dollars,” he says. “With the new Motor Accident Injuries Scheme, the average passenger vehicle premiums will be $458.

“Under the new scheme, everyone who is injured in a motor vehicle accident from February 1 will be entitled to receive treatment, care and lost income benefits up to five years, no matter who was at fault.

“The new scheme will also provide quicker access to benefits, allowing recovery to get underway as soon as possible and ongoing support for those who need it most. People who are more seriously injured will continue to be able to make a claim for further compensation through common law.”

The Law Society says the new CTP scheme is “vastly inferior” to the old one.

“The government claims that the new scheme will be ‘fairer, faster and more comprehensive’, but that’s really only the case if you are an insurer,” the society says.

“If you’re one of the 90 per cent of injured people that don’t meet the new scheme’s arbitrary injury threshold, you’ll not be properly compensated for the full extent of your injuries.

“What’s more, as the government has done its best to prevent you having access to proper legal representation, you’ll have to fight your well-represented insurer on your own.”

The ACT Law Society maintained throughout that the process leading to the new scheme was fundamentally flawed. The pilot citizens’ jury did not have access to balanced information and relevant expertise, and were shepherded into a government-preferred option, it says.

“In its unseemly rush to implement this ill-considered regime, the government has produced legislation that lacks a number of necessary regulations and guidelines. This simply adds to the shambolic processes underlying this new scheme,” the lawyers say.

 

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