Determination of damages for non-economic loss
16 Determination of damages for non-economic loss
No damages may be awarded for non-economic loss unless the severity of the non-economic loss is at least 15% of a most extreme case.
The maximum amount of damages that may be awarded for non-economic loss is $350,000, but the maximum amount is to be awarded only in a most extreme case.
If the severity of the non-economic loss is equal to or greater than 15% of a most extreme case, the damages for non-economic loss are to be determined in accordance with the following Table—
Table
Severity of the non-economic loss (as a proportion of a most extreme case)
Damages for non-economic loss (as a proportion of the maximum amount that may be awarded for non-economic loss)
15%
1%
16%
1.5%
17%
2%
18%
2.5%
19%
3%
20%
3.5%
21%
4%
22%
4.5%
23%
5%
24%
5.5%
25%
6.5%
26%
8%
27%
10%
28%
14%
29%
18%
30%
23%
31%
26%
32%
30%
33%
33%
34%–100%
34%–100% respectively
An amount determined in accordance with subsection (3) is to be rounded to the nearest $500 (with the amounts of $250 and $750 being rounded up).
Note.
The following are the steps required in the assessment of non-economic loss in accordance with this section—
Step 1: Determine the severity of the claimant’s non-economic loss as a proportion of a most extreme case. The proportion should be expressed as a percentage.
Step 2: Confirm the maximum amount that may be awarded under this section for non-economic loss in a most extreme case. This amount is indexed each year under section 17.
Step 3: Use the Table to determine the percentage of the maximum amount payable in respect of the claim. The amount payable under this section for non-economic loss is then determined by multiplying the maximum amount that may be awarded in a most extreme case by the percentage set out in the Table.
Where the proportion of a most extreme case is greater than 33%, the amount payable will be the same proportion of the maximum amount.
This Act’s bill:Explanatory memorandumSecond reading speech
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