Content updated 29 November 2023
If you have an accident at work which leaves you with a physical injury to your knee(s), your back, shoulders or any other part of your body, you are probably entitled to some compensation under your state-based worker’s compensation scheme. In addition to workers compensation statutory benefits, if your injury means that you have to cease working, you may also be entitled to total and permanent disability (TPD) benefits held in your superannuation account.
Income protection benefits work differently. They are usually not payable in addition to WorkCover benefits but there are other income protection options we explore in this blog, if you’ve stopped work due to a workplace injury.
Compensation under worker's compensation schemes
Any worker’s compensation entitlements will vary from state to state and also depend on the circumstances of the injury. Compensation can usually be paid for injuries that are the result of a specific incident or accident or for injuries that relate to repetitive strain or overuse.
Also, you may be entitled to worker’s compensation statutory benefits for psychiatric injuries or illnesses that are related to your work. Again, each state-based system has different ways of working out if you are entitled to compensation (and how much) for psychiatric illnesses or injuries.
The benefits that you can claim in most states are:
- Weekly income payment benefits (sometimes called WorkCover weekly payments);
- Lump sum, no-fault benefits due to permanent impairment - a lump sum benefit payable to you if you are injured at work, regardless of who caused your injury; and
- Lump sum common law benefits - lump sum benefits payable to you if your injury was caused by your employer’s negligence.
TPD benefits payable after injury or illness
In most cases, TPD benefits can be paid in addition to any of the above worker’s compensation benefits.
Because the TPD insurance benefits are held in your super account, if your claim is accepted, the insurance benefit will be paid into that account. In most states, you are free to access the TPD insurance benefits (and your own super) out of your super without the withdrawal impacting on your ongoing worker's compensation entitlements.
However, there are instances where withdrawing the money from super early may impact your worker’s compensation benefits and you should always seek legal and financial advice. For example, in Victoria, accessing your own super contributions early will usually cause an offset of your WorkCover weekly payments and can lead to you not being paid benefits (although there are exceptions- please get advice).
Income protection claims after a workplace injury
Claims for income protection benefits are a little bit different because they are income-based benefits. Usually, income protection benefits are not payable on top of WorkCover weekly payments, and your income protection benefits will be completely offset by the WorkCover income payments. This means it’s usually not worth claiming both at the same time.
However, it is usually possible to claim income protection benefits from your super or insurance policy whilst also claiming lump sum WorkCover benefits due to a permanent impairment. If you are considering claiming income protection benefits and WorkCover benefits at the same time, you should get advice.
In summary
If you have ceased work due to a workplace injury, we recommend that you consider what insurance benefits are held in any super accounts you have (if you have multiple accounts, you may be able to make multiple claims) and if you are entitled to make a claim.
In most cases, if your workplace injury means that your ongoing and future work capacity is impacted, you will be entitled to claim a lump sum super-based TPD benefit. Successfully claiming a TPD insurance benefit, in addition to your worker’s compensation benefits, can provide a substantial source of additional income, which you can use to pay off debts or assist with day-to-day living. These benefits can change lives.
Get help from a TPD lawyer
At Berrill & Watson, we’re experts in TPD insurance claims and income protection claims. If you’re unsure about how to claim or whether you have a claim or you’re having problems with a claim you have lodged (for example, it’s taking a very long time), feel free to get in touch with today’s blog writer, Tom Cobban.
Or you can contact us directly by phone or email. It costs you nothing to find out what your rights and entitlements are.
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