Where a worker makes a claim for compensation and is certified as incapacitated for work, their employer is required under the Workers Rehabilitation and Compensation Act 1988 (Tas) (‘the Act’) to make weekly payments of compensation (s 69(1)).

In the context of weekly payments, employers should be aware of the definition of ‘claim for compensation’ as stated in s 80A of the Act:

… a claim for compensation is a claim for compensation by a worker against an employer in respect of an injury for which the worker has not previously made a claim for compensation against that or any other employer.

The operation of s 80A means it is important for employers and insurers to identify whether a claim made by a worker is a stand-alone claim, or whether it actually falls within the scope of a claim that has already been made.

To determine this, the question is whether the claim as made is ‘based for its foundation’ on the subject injury and/or event of a prior claim. As a fairly clear-cut example, if a worker suffers a physical injury and later claims compensation for psychological symptoms arising from pain or loss of function, the subsequent claim is ‘based for its foundation’ on the physical injury claim. The circumstances are often much more ambiguous than this.

A key consequence of a claim not being a ‘claim for compensation’ under s 80A is that an employer cannot utilise s 81A(1) to dispute liability for that claim. In those circumstances, the subsequently claimed incapacity and medical expenses are managed as part of the prior claim.

We recommend obtaining legal advice if you have received a workers compensation claim in respect of a work-related injury for which you think a claim has already been made.

If you have any questions about this article or wish to make an enquiry, please contact our insurance litigation team.