52—Damages for non-economic loss
(1) Damages may only
be awarded for non-economic loss if—
(a) the
injured person's ability to lead a normal life was significantly impaired by
the injury for a period of at least 7 days; or
(b)
medical expenses of at least the prescribed minimum have been reasonably
incurred in connection with the injury.
(2) If damages are to
be awarded for non-economic loss, other than in relation to personal injury
arising from an MVA motor accident, they must be assessed as follows:
(a) the
injured person's total non-economic loss is to be assigned a
numerical value (the "scale value") on a scale running from 0 to 60 (the scale
reflecting 60 equal gradations of non-economic loss, from a case in which
the non-economic loss is not severe enough to justify any award of damages to
a case in which the injured person suffers non-economic loss of the gravest
conceivable kind);
(b) the
damages for non-economic loss are to be calculated in relation to an injury
arising from an accident that occurred during 2002 by multiplying the
scale value by $1 710;
(c) the
damages for non-economic loss are to be calculated in relation to an injury
arising from an accident that occurred during 2003 as follows:
(i)
if the scale value is 10 or less—by multiplying the
scale value by $1 150;
(ii)
if the scale value is 20 or less but more than
10—by adding to $11 500 an amount calculated by multiplying the
number by which the scale value exceeds 10 by $2 300;
(iii)
if the scale value is 30 or less but more than
20—by adding to $34 500 an amount calculated by multiplying the
number by which the scale value exceeds 20 by $3 450;
(iv)
if the scale value is 40 or less but more than
30—by adding to $69 000 an amount calculated by multiplying the
number by which the scale value exceeds 30 by $4 600;
(v)
if the scale value is 50 or less but more than
40—by adding to $115 000 an amount calculated by multiplying the
number by which the scale value exceeds 40 by $5 750;
(vi)
if the scale value is 60 or less but more than
50—by adding to $172 500 an amount calculated by multiplying the
number by which the scale value exceeds 50 by $6 900;
(d) the
damages for non-economic loss in relation to an injury arising from an
accident that occurred in a subsequent calendar year are to be calculated in
accordance with paragraph (c) but the amount arrived at is to be adjusted
(to the nearest multiple of $10) by multiplying it by a proportion obtained by
dividing the Consumer Price Index for the September quarter of the previous
calendar year by the Consumer Price Index for the September quarter 2002.
Example—
Suppose that A is injured in an accident that occurred in 2003 and claims
damages for personal injury. The case is one in which the criteria under which
damages for non-economic loss may be awarded are satisfied. In assessing those
damages, A's total non-economic loss is assigned by the court a scale value of
23. The damages for non-economic loss will, therefore, be $44 850,
calculated as follows:
(3) Subject to
subsection (4), if damages are to be awarded for non-economic loss in
relation to personal injury arising from an MVA motor accident, they must be
assessed as follows:
(a) the
injured person's total non-economic loss is to be assigned a numerical value
(an
"injury scale value") on a scale running from 0 to 100;
(b) in
assessing the injury scale value, the court must apply any rules prescribed by
the regulations;
(c) the
damages for non-economic loss are to be calculated as follows:
(i)
if the injury scale value is assessed as 31 or less but
more than 10 (see subsection (4))—by adding to $2 000
(indexed) an amount calculated by multiplying the number by which the
injury scale value exceeds 10 by $1 000 (indexed);
(ii)
if the injury scale value is assessed as 45 or less but
more than 31—by adding to $23 000 (indexed) an amount calculated by
multiplying the number by which the injury scale value exceeds 31 by
$3 000 (indexed);
(iii)
if the injury scale value is assessed as 66 or less but
more than 45—by adding to $65 000 (indexed) an amount calculated by
multiplying the number by which the injury scale value exceeds 45 by
$5 000 (indexed);
(iv)
if the injury scale value is assessed as 78 or less but
more than 66—by adding to $170 000 (indexed) an amount calculated
by multiplying the number by which the injury scale value exceeds 66 by
$10 000 (indexed);
(v)
if the injury scale value is assessed as 79 or
more—$300 000 (indexed).
(4) A person who
suffers personal injury arising from an MVA motor accident may only be awarded
damages for non-economic loss if the injury scale value that applies under
subsection (3)(a) in relation to the injury exceeds 10.
(5) However, a court
may award damages for non-economic loss in a case that would otherwise be
excluded by operation of subsection (4) if satisfied—
(a) that
the consequences of the personal injury with respect to non-economic loss are
exceptional when judged by comparison with other cases involving the same
injury; and
(b) that
the application of the threshold set by that subsection would, in the
circumstances of the particular case, be harsh and unjust.
(6) An assessment of
damages for non-economic loss under subsection (5) must be based on an
injury scale value that should rarely be more than 25% higher than the injury
scale value that applies under subsection (3)(a) in relation to the
injury.
(7) An amount applying
under subsection (3) (and followed by the word "(indexed)") is to be
adjusted on 1 July of each year, beginning on 1 July 2014, by
multiplying the stated amount by a proportion obtained by dividing the
Consumer Price Index for the March quarter of that year by the
Consumer Price Index for the March quarter 2013 (with the amount so
adjusted being calculated to the nearest multiple of $10).
(8) In connection with
the operation of subsection (7), the amount to be applied with respect to
a particular injury is the amount applying under subsection (3) at the
time of occurrence of that injury.