Motor Accident Injuries (Premiums and Administration) Regulation 2019

The AWE adjustment factor for an amount of pre-injury income to be adjusted on an adjustment day is the factor worked out using the following formula and applying subsections (3) and (4):

AWE¹ means the AWE published for the period ending immediately before the adjustment day.

AWE² means the AWE published for the period ending 6 months before the adjustment day.

However, if, on an adjustment day for an amount of pre-injury income to be adjusted, the effect of a negative adjustment is to be offset against an increase in line with an adjustment in the AWE, the AWE adjustment factor is the factor worked out using the following formula and applying subsections (3) and (4):

AWE¹ means the AWE published for the period ending immediately before the adjustment day.

AWE³ means the AWE published for the period ending 6 months before an adjustment day when a negative adjustment that has not been offset first occurred.

Note The Act, s 94 sets out what happens if an amount to be AWE adjusted would, if adjusted in line with a negative adjustment to the AWE, become smaller.

The AWE adjustment factor for the amount must be—

worked out to 3 decimal places; and

if the 4th decimal place is 5 or more—rounded up.

If the AWE adjustment factor worked out under subsection (1) or (2) would be less than 1, the AWE adjustment factor is 1.

Part 3 Income replacement benefits