Sunday 18 February 2018

Reforms for injury payments

At present, courts can only award lump-sum payments, leaving injured parties at risk of running out of money. (Stock picture)
At present, courts can only award lump-sum payments, leaving injured parties at risk of running out of money. (Stock picture)
Shane Phelan

Shane Phelan

New measures are expected to be unveiled today to reform how compensation is paid to people who sustain catastrophic injuries which leave them in need of long-term permanent care.

The move follows criticism by the judiciary of the current compensation system.

At present, courts can only award lump-sum payments, leaving injured parties at risk of running out of money.

Tánaiste Frances Fitzgerald plans to introduce a new system by the end of the year, allowing courts to make index-linked periodic payment orders.

The move, contained in the Civil Liability (Amendment) Bill, will require amendments to several different pieces of legislation.

"This new legislation will give much needed financial security to those persons who are catastrophically injured," Ms Fitzgerald said.

The measures stem from the recommendations of a report by a High Court working group on medical negligence and periodic payments.

Under the proposed legislation, payments will not be affected if someone is declared bankrupt. The sums will also be exempt from income tax.

Irish Independent

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