6.2.1 Overview of impairment benefits
6.2.1.1 Stabilisation of injuries | 6.2.1.2 Collection of treating practitioner reports | 6.2.1.3 No disadvantage compensation | 6.2.1.4 IB Claims lodged after employer exits Victorian scheme | 6.2.1.5 Request to withdraw, cancel or hold in abeyance | 6.2.1.6 Interest on IB & maims claims | 6.2.1.7 Inactive claim | 6.2.1.8 Compensation after the death of a worker
Impairment benefit claims can be made for injuries sustained on or after 12 November 1997.
Impairment benefits are lump sum compensation for non-economic loss that is the result of permanent impairment.
The Worker’s Claim for Impairment Benefits form is the only form approved by WorkSafe for IB claims.
An IB Specialist manages IB claims lodged with the Agent.
WorkSafe impairment protocols
Protocols have been established to assist in the collection of treating medical evidence from a worker’s medical practitioner/s.
See: Collection of treating practitioner reports | Impairment Benefit Protocols | Impairment Benefit Protocols - indexed fee schedule
Total loss
If the worker suffers a ‘total loss’ injury and the amount of compensation for non-economic is less than the amount under the no disadvantage compensation table, the worker is entitled to compensation under the no disadvantage compensation table.
See: No disadvantage compensation
Determine liability & entitlement
Within 120 days of receiving the claim Agents must:
- accept or reject liability for each injury included in the claim
- obtain an assessment or assessments in line with the legislation as to the degree of permanent impairment (if any) of any accepted injury
- determine the degree of permanent impairment (if any) for:
- impairment lump sum (WPI Whole person impairment)
- Common law (combined WPI and psychiatric)
- voluntary settlements
- determine whether a worker has an injury which is a total loss mentioned in the no disadvantage compensation table
- calculate entitlement to compensation for impairment.
Legal representation
If a worker has legal representation, the Agent must only communicate with the worker’s authorised legal practitioner Legal practitioner means an Australian legal practitioner within the meaning of the Legal Profession Act 2004, and the worker should be advised of any communications.
The Agent must document communication on its claim file.
The cost of this legal representation is to be borne by the worker. Exceptions are legal costs incurred by the worker in successfully litigating a liability dispute.
See also: Collection of treating practitioner reports.
Direct payment to worker
The payment of compensation should be made directly to the worker.
Where an authority has been provided signed by the worker, the entitlement may be paid to the trust account of the authorised legal practitioner.
If a worker has authorised a Power of Attorney, the Agent should contact the representative body and seek a copy of the legal document before processing the payment of compensation.
Agents to report issues to WorkSafe
Agents must contact the Impairment Benefit Team at WorkSafe if they become aware of issues affecting the management of IB claims.
Lodge an impairment claim
A claim for impairment benefits cannot be made before the expiry of the period of 12 months after the date of the worker’s injury.
Exceptions
Agents may receive claims for impairment benefits before the expiry of the period of 12 months after the date of the worker’s injury, but only if the claimed injuries has stabilised.
Common law (claims lodged on or after 18/11/04)
A worker is able to pursue common law entitlements before lodging an impairment claim. However, workers are unable to have concurrent common law claims and IB claims.
An IB claim must not be processed if the worker has an active serious injury application or common law claim. The IB claim must be registered as defective and the claim form returned to the worker within 14 days of receipt.
Worker under 18 years of age
If the worker is not 18 years of age at the time of the claimed injury, the assessment of the IB claim cannot be made until the worker attains the age of 18 years (lodge as defective and return within 14 days).
Death of a worker
Compensation for impairment benefits is not payable after the death of a worker except in limited circumstances.