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MOTOR ACCIDENTS ACT 1988 - SECT 79 Determination of non-economic loss--accidents occurring before midnight on 26.9.95

MOTOR ACCIDENTS ACT 1988 - SECT 79

Determination of non-economic loss--accidents occurring before midnight on 26.9.95

79 Determination of non-economic loss--accidents occurring before midnight on 26.9.95

(1) This section applies only to motor accidents that occurred before midnight on 26 September 1995.
(1A) The object of this section is to limit the amount of damages for non-economic loss in cases of claims relating to relatively minor injuries, in order to achieve the object of the Act of more fully compensating those with more severe injuries at a cost the community can afford to meet.
(1B) No damages shall be awarded for the non-economic loss of an injured person as a consequence of a motor accident unless the injured person's ability to lead a normal life has been, or in the near future is likely to be, significantly impaired for a continuous period of not less than 6 months by the injury suffered in the accident.
(2) The amount of damages to be awarded for non-economic loss shall be a proportion, determined according to the severity of the non-economic loss, of the maximum amount which may be awarded.
(3) The maximum amount which may be awarded for non-economic loss is $180,000, but the maximum amount shall be awarded only in a most extreme case.
(4) If the amount of non-economic loss is assessed to be $15,000 or less, no damages for non-economic loss shall be awarded.
(5) If the amount of damages to be awarded for non-economic loss in accordance with this section is more than $15,000 but less than $55,000, the following deductions shall be made from that amount:
(a) if the amount of damages is less than $40,000--the amount to be deducted is $15,000,
(b) if the amount of damages is not less than $40,000--the amount to be deducted is $15,000, or $15,000 reduced by $1,000 for every $1,000 by which the amount of damages exceeds $40,000.