More and more Queenslanders are missing out on a fair outcome in Compulsory Third Party (CTP) claims (claims for injuries sustained in car accidents, either as a driver, a passenger, or a pedestrian). According to a recent report from the Motor Accident Insurance Commission (MAIC), there is an increasing number of self-represented CTP claimants. So, is there ever a good time to represent yourself when it comes to CTP claims? Let’s look at the key factors to consider if you’re deciding whether to lodge directly or get legal representation.
Why are direct CTP claims increasing?
As the number of people making claims directly with insurers has risen steadily, you might be wondering why. While there are a few factors at play, it only takes a quick look at major CTP insurer websites to see that they are actively promoting lodging a direct claim without a lawyer.
Source: MAIC Quarterly CTP Scheme Insights: Oct-Dec 2024
Some of the direct claim benefits insurers cite include quicker access, specialist assistance, and allowing you to keep all of your compensation (paying no legal fees). These points leave out the very important fact that, on average, self-represented claimants don’t get anywhere near the maximum compensation they are entitled to.
Data from MAIC Queensland shows that on average legally represented claimants receive 7.5 times more compensation than those who choose to lodge a direct claim with an insurer. By choosing a lawyer with a competitive fee cap, claimants with legal representation end up with a lot more money to assist with recovery, time off work, and other expenses than claimants who lodge their claim directly.
When should I seek legal representation for a CTP claim?
If you have been injured due to someone else’s negligent driving, you can bring a claim against the CTP insurer as a pedestrian, cyclist, passenger or driver. To learn more about this type of claim, read our CTP Claims Explained article.
If you’re not 100% sure what your legal rights are, talk to a lawyer as soon as possible. Sometimes for less complex cases, making a direct claim is the right path to take and in other cases you will need legal representation to achieve your maximum entitlement to compensation. Our lawyers can help you determine whether you are eligible and if you should lodge your claim directly or through a lawyer.
If you’ve started a claims process already and it is more complex than you thought, don’t worry. You can seek legal advice at any stage during your claims process, so don’t hesitate to contact us and ask the question.
How long does a CTP claim take?
Due to the fact that people usually seek legal assistance for more complex CTP claims, they have a longer claim duration. Other factors that impact the duration of a claim include injury severity, circumstances around liability, evidence gathering and the claims management approach.
If you’re not sure whether your claim is complex or straightforward, book a free consultation with one of our lawyers with no obligation. It can cost you a significant amount of money to choose the wrong path at this stage of your journey.
Legally-represented claimants
Direct claimants – average claim duration (months)
Will the insurer cover my legal fees?
If your claim exceeds a certain damages threshold, you will be able to claim some of your legal costs from the insurer. Your lawyer can advise you on what fees you will be able to recover from the insurer and the latest damages threshold your claim will need to exceed (which is updated each July). Before engaging a lawyer, it’s important to have this discussion with them so that you’re clear on your legal rights.
The trouble with lodging directly with an insurer is that it’s an uphill battle from the very start and you’re at a disadvantage if you don’t have a compensation law background. There are a lot of factors at play and if something is overlooked it can greatly affect the amount of compensation you’re entitled to. At the end of the day, it’s hard to ignore the fact that legally represented claimants usually receive a much better outcome than those who do not.