TAC Claims - Adviceline Injury Lawyers
What if I Can't Work?
TAC claims for loss of earnings
If you are unable to work as a result of
an accident, you may be able to claim for your loss of earnings. People injured
in an accident who were employed or self employed at the date of the accident,
or had worked for periods in the 2 years before the accident are entitled to
compensation for their loss of earnings. Arrangements made before the accident
to start work would also qualify an injured person to loss of earnings payments.
The claim form lodged with the TAC requires details of
the wage or income received. A medical certificate certifying incapacity must
also be provided for periods of lost income.
How much money will my TAC claim bring?
The TAC does not pay for the first 5 days away
from work. The benefits paid after the first 5 days are 80% of the weekly
earnings before the accident. Overtime and shift allowances are included where
they were regular over the previous 12 months.
The maximum that can be paid is $1061 per week (from 01/07/2010) and the minimum is the amount earned
or $520 plus an allowance for dependants (whichever is the less). The TAC, after accepting the
claim, will be like an employer and make fortnightly payments from which it
will deduct the appropriate amount of tax.
If an injured person is convicted of certain offences such as exceeding .05%
blood alcohol limit, these benefits may be reduced. Special provisions are made
for apprentices and students. Where they would have received an increase in
wage, because of their increased level of training, the TAC loss of earnings
payments will also increase.
What if I’m self-employed?
People who were self-employed prior to the injury may have their claim assessed
by TAC Field Officers or accountants who may
visit their business. The TAC is entitled to look
at the income earned during the 3 years before the accident, but it is not
necessarily the average over the 3 years.
Small business proprietors should be aware that the TAC is not obliged to
take into account the fixed expenses which all businesses incur, whether it is
able to be operated or not. This can be very harsh on small businesses, which
have fixed rental or lease arrangements in place.
The TAC is, however, obliged to pay the costs
of replacement workers in connection with the business because of the
proprietor's incapacity. It can be of great assistance for the self-employed to
employ a casual replacement whilst they are injured and seek immediate
reimbursement from the TAC for the wage. Contact
should be made with the TAC claims support
co-ordinator about this at an early stage.
Partial loss of earnings are compensated at the rate of 85% of the difference
between previous weekly earnings and current weekly earnings. Immediately there
is a return to work, the TAC must be notified.
Personal Accident Insurance and superannuation will not be taken into account
when the TAC is assessing loss of earnings.
TAC claims & medical examination
The TAC can also make arrangements for an injured person to be medically examined from time to time by doctors nominated by the TAC. The purpose will be to confirm the person's inability to work. An injured person cannot fail or refuse to attend the appointment without a reasonable excuse, or loss of earnings benefits can be suspended.
What if I Can't Work After 18 Months?
TAC claims loss of earning capacity benefits
After 18 months, a person who is unfit for work is eligible for payment of 80% of his or her net (after tax) pre-accident wage or earnings. These payments are called Loss of Earning Capacity Benefits.
Injured people who did not qualify for
loss of earnings in the first 18 months may qualify for loss of earning
capacity benefits if they intended to go into the workforce before the
accident, but the injuries prevented this. If it appears that a person will
suffer a loss of earning capacity due to the injury, the TAC must, after 18
months, review the injured person's entitlement.
The maximum payable is $958 per week (from 01/07/2008), with a minimum of $515 plus an allowance for
dependants. Where a person is assessed by the TAC as having a permanent
impairment of more than 50%, the loss of earning capacity benefit will continue
to be paid up until retirement age by fortnightly instalments. The TAC can make reviews of
the level of impairment every 5 years.
Where the person is less than 50% impaired, the loss of earning capacity
benefit will only be payable:
- Until 3 years after the injury or,
- Until loss of earnings and loss of earning capacity has reached $149,030 or,
- If the person was a minor when injured, until the age of 21.
