TAC Payouts Guide.

14 July 2023

Injury and Rehabilitation, Motor Vehicle Accident

If you’ve been injured in a motor vehicle accident in Victoria, you may be wondering what the average TAC payout is, to get an indication of how much you can claim.

The short answer is – the overall average is just under $36k. However, the average TAC payout for some claims can be significantly different from the overall average, ranging from a few thousand to well over one million dollars.

In this TAC payouts guide we explain in simple terms what benefits and lump sums may be available to you, to give you a better indication of the average TAC payout that applies to your situation. We’ve also included an example of a TAC claim payout and information on how to get help with your claim.

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What is the average TAC payout?

The average TAC payout across all claims was $35,814* in the 2021/22 financial year. However, payouts for some injuries can be much higher. In fact, according to the TAC, the average TAC payout for serious injuries such as serious traumatic brain and spinal injuries is $2.25 million*.

To get a better understanding of the average payout that applies to your situation, here’s a list of the three main injury categories – you can click on a heading to jump straight to that section of the article.

Note: WPI stands for whole person impairment, a scale used to measure the severity of your injuries.

Minor injuries with less than 11% WPI – these are injuries that are relatively minor – such as whiplash.

Injuries with 11% or more WPI – in this category there’s an additional impairment benefit you can claim.

Serious injuries (30% or more WPI) where you can prove someone was at fault – if you have a serious injury and you can prove someone else was at fault, you can make a common law lump sum claim. These claims and be substantial.

* https://www.tac.vic.gov.au/about-the-tac/our-organisation/what-we-do July 2023

TAC payouts for minor injuries (less than 11% WPI).

The average TAC payout for minor injuries is likely to be less than the overall average, with many claims falling into the $5k to $30k range.

Some examples of injuries that typically fall into this category include:

A broken leg that fully heals after treatment
Whiplash
A muscle strain that gets better

Regardless of whether you were at fault, you’re eligible for weekly benefits that will cover:

Your medical treatment
Services to help you while you recover
Replacement or repair of broken medical devices, e.g. glasses or hearing aids
Income support if you’re unable to return to work
Return to work support for you and your employer

TAC payouts for injuries with 11% or more WPI.

If you have a permanent physical or psychological injury assessed at 11% or more WPI, you can claim an additional impairment benefit on top of your weekly benefits. This is a lump sum amount that ranges from $9,010 to $411,470* depending on the severity of your injuries. So the average TAC payout for these claims is more than the overall average.

Some examples of injuries that typically fall into this category include:

A brain injury
A fused joint
A spinal cord injury
Restricted shoulder movement
A psychological condition that is permanent

*As at July 2023

TAC payouts for serious injuries.

Average payouts for serious injuries are significantly higher than the overall average of $36k. For example, the average TAC payout for a serious injury such as a traumatic brain or spinal injury is $2.25 million*.

A serious injury is defined by the TAC as a single significant motor accident injury or a combination of injuries that contribute to an impairment of 30% or more. The assessment takes into account both your injuries and the overall impact of the accident on your life.

If you have a serious injury and someone else was at fault in your accident, you may be able to make a common law compensation claim for a lump sum. Read on to learn more about common law claims.

* https://www.tac.vic.gov.au/about-the-tac/our-organisation/what-we-do July 2023.

TAC common law claims.

To make any common law lump sum claim, you’ll need to either:

Have your level of impairment assessed as 30% or more; or
Obtain a Serious Injury Certificate (SIC) from the TAC

If the TAC doesn’t grant you with a SIC then you can apply to the County Court for permission to bring a common law claim anyway. If you’ve suffered a serious injury due to someone else’s negligence then you can make a claim for a lump sum immediately.

There are two lump sums you can claim, described below:

Common law claim for future economic loss.

Sometimes known as ‘pecuniary loss’, future economic loss claims are for a lump sum payout to cover you for the future financial impact of your injuries. This includes things like:

How your injuries will affect your ability to earn an income
Your ongoing medical costs
Adjustments or upgrades you have to make to your home for accessibility

Common law claim for pain and suffering.

Pain and suffering claims provide a lump sum for the emotional impact of your injuries. These TAC lump sum payouts can be substantial, ranging from tens to hundreds of thousands of dollars.

But it’s easy to miss out on this lump sum if your claim is not handled properly. Having a specialist TAC lawyer on your side will give you the best chance of claiming everything you’re entitled to.

If you’d like to find out what you may be entitled to, you can call 13 15 15 and get free legal advice from one of our specialist TAC lawyers. Or for more information, take a look at our guide to TAC serious injury payouts and common law claims.

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TAC claim example – Grace’s $230K TAC payout.

Grace was a passenger in her friend’s car on their way to a soccer game when they were t-boned at an intersection. The driver who hit them had been looking at his phone and hadn’t noticed the oncoming car. While Grace’s friend was luckily uninjured, the other car hit the passenger door, which crumpled, and crushed Grace’s left arm.

Grace is left-handed, and the injury damaged her elbow and shoulder, making it difficult to write, pick up her toddler, or even carry things at the grocery store. She was initially assessed as only having 6% whole person impairment (WPI) which was far from the 30% required to receive a lump sum (common law claim) payout, so she didn’t think she was eligible. She also lives in Brisbane, so she wasn’t sure if she could make a claim with the TAC.

“Speaking to a lawyer was the best decision I ever made,” she says now. “Law Partners just made the whole process so easy, I don’t think anyone could have gotten me a better result.” Despite the initial assessment of her injuries being only 6% impairment, we successfully disputed the TAC’s decision to get the injury classified as ‘serious’. This meant that she was able to go on to make a claim for pain and suffering, and her economic losses while she couldn’t work, as well as having her treatment costs covered. Grace’s final settlement amounted to $230,000.

If you think your injuries have been incorrectly assessed, you can call 13 15 15 and get free advice from one of our specialist TAC lawyers.

Getting help with your TAC claim.

Financial compensation after an accident can be the difference between struggling to pay the bills and getting the treatment and support you need to recover. So it’s important to understand your entitlements, including what TAC lump sums you can claim. Our team of TAC specialists is here to help with free legal advice, and if you choose Law Partners to manage your claim, we’ll work for you on a no win no fee basis. We win over 99% of our cases.