A workers compensation lump sum claim (also known as a Section 66 permanent impairment claim) is compensation you may be entitled to if you have suffered a permanent impairment due to your workplace injury. To be eligible for this compensation:

• You must have reached “maximum medical improvement”
• Your injury must be assessed as being permanent
• Your level of permanent impairment must meet the minimum threshold requirements

For physical injuries, the minimum threshold is 11% whole person impairment (WPI), while psychological injuries require a minimum of 15% WPI.

Different rules apply for emergency workers, like Police, Paramedics and Fire Fighters.

Your permanent impairment percentage is calculated through a detailed medical assessment process:

• You must be examined by an independent medical specialist who is trained in permanent impairment assessment.
• The assessment follows strict guidelines set out in the NSW Workers Compensation Guidelines and the American Medical Association Guides (the AMA).
• The doctor will assess your injury according to specific criteria for different body
• Multiple injuries from the same workplace incident can be combined (although, psychological injuries and physical injuries cannot be combined).
• The assessment can only be conducted once you have reached maximum medical

You can claim lump sum compensation for various types of permanent impairments, including:

• Physical injuries to any part of the body
• Psychological or psychiatric injuries
• Hearing loss
• Vision impairment
• Scarring and disfigurement
• Loss of efficient use of any body part
• Pain and reduced movement

Please note that each type of injury has specific assessment criteria and thresholds that must be met to qualify for compensation.

The timeframe for a lump sum claim typically depends on several factors:

• You must first reach “maximum medical improvement” – this means your condition has stabilized and is unlikely to change for a year.
• An independent medical assessment must be arranged and
• The insurer requires time to review the medical evidence and make a
• If the insurer disputes the assessment, further medical examinations may be
• Negotiations may be required to reach a

Generally, most lump sum claims are resolved within 3-6 months after reaching maximum medical improvement, however, this can vary depending on the complexity of your case.

Under the Workers Compensation Scheme, there are specific rules about making multiple claims:

• You can only make one claim for permanent impairment for the same
• If your condition deteriorates, you cannot make a second claim for the same
• You can make separate claims for different injuries that occurred at different
• For disease-related conditions (like hearing loss), you may claim as the condition

It is important to ensure your permanent impairment has stabilised before proceeding with a lump sum claim, as you cannot make another claim if your condition worsens later.

Different rules apply for emergency workers, like Police, Paramedics and Fire Fighters, who are entitled to make multiple claims for lump sum compensation, if there is a deterioration of the injury.

Receiving a lump sum payment for permanent impairment does not affect your other workers compensation entitlements. This means:

• Your weekly payments will continue if you are entitled to
• Your medical expenses coverage remains
• Your workplace rehabilitation services
• Any future work injury damages claim is not

However, if you proceed with a work injury damages claim (common law claim), different rules apply, and this may affect your ongoing entitlements.

If you disagree with the permanent impairment assessment, you have several options:

• You can request a review of the
• Sometimes you can negotiate the assessment with the insurer.
• You may have the right to be examined by another approved medical
• You can dispute the matter through the Personal Injury
• Evidence from your treating specialists can be
• Your lawyer can help challenge the assessment if it appears

It is important to act promptly if you disagree with an assessment, as there are strict time limits for lodging disputes.

To support your lump sum claim, you will need comprehensive medical evidence, including:

• Reports from your treating doctors and specialists
• Results of any diagnostic tests (X-rays, MRIs, CT scans)
• Treatment records from physiotherapists or other healthcare providers
• An assessment from an approved medical specialist
• Documentation showing you have reached maximum medical improvement
• Evidence of any permanent restrictions or limitations

Your lawyer will help gather and organise all necessary medical evidence to support your claim.

The amount of lump sum compensation is calculated according to a specific formula:

• The percentage of whole person impairment is determined by medical assessment
• This percentage is matched to a corresponding amount in the compensation table
• The amounts are set by legislation and updated periodically
• Different injuries may be combined to reach a total impairment percentage
• Additional amounts may be available for pain and suffering in some cases
• The higher the assessed percentage of permanent impairment, the greater the compensation amount will be.

Different rules apply for emergency workers, like Police, Paramedics and Fire Fighters.

While you are not legally required to have a lawyer, it is strongly recommended because:

• The assessment process is complex and technical
• There are strict time limits and procedures to follow
• Your lawyer can ensure you receive the maximum compensation
• The Independent Review Office (IRO) covers legal costs
• You will not be out of pocket for legal expenses
• We can help gather all necessary medical evidence
• We can challenge incorrect assessments
• We can negotiate with insurers on your behalf

At Stacks Goudkamp, we can guide you through the entire lump sum claims process at no cost to you, as our fees are covered by IRO.