Maurice blackburn john_cain_ndis_and_niis_presentation_to_ala_18_may_2012

N a t io n a l D is a b ilit y
In s u r a n c e S c h e m e ( N D IS ) &
N a t io n a l In ju r y In s u r a n c e
S c h e m e ( N IIS )

Presented by John Cain
18 May 2012

National Disability Insurance Scheme and National
Injury Insurance Scheme Explained

The Productivity Commission commenced its work on 17
February 2010. Its report was published on 31 July 2011.
“The current disability support system is under funded,
unfair, fragmented and insufficient. It gives people with a
disability little choice, no certainty of access to appropriate
support and little scope to participate in the community.
People with disabilities, their carers, service providers,
workers in the industry and government all want change.”
The Productivity Commission Executive Summary page 3 .

Page N D IS a n d N IIS
2

What the Productivity Commission proposed

Two separate insurance schemes:

- T h e N a t io n a l D is a b ilit y In s u r a n c e
S c he me
All Australians with a significant and ongoing disability
would get long term care and support;
and
- T h e N a t io n a l In ju r y In s u r a n c e
S c he me
NIIS would cover the lifetime care and support needs
of people who acquire a catastrophic injury from an
accident.
3

National Disability Insurance Scheme
W h o w o u ld b e c o v e r e d ?
All Australians would be eligible for coverage. Support packages
would be targeted at all people with significant and permanent
disability whose assistance needs could not be met without tax payer
funding.
W h a t w o u ld it c o v e r ?
The NDIS would provide reasonable and necessary support across
the full range of long term disability support currently provided by
specialist providers.
H o w w o u ld it b e f u n d e d ?
The Australian Government would fund the NDIS from consolidated
revenue - $6.5 billion.

NDIS Advisory Group advising on implementation
4

Implementation NDIS
C O A G J o i n t C o m m u n i q u e 13 A p r i l 2 0 12
•Commonwealth and States reaffirmed their commitment to NDIS
•Transition to NDIS will take a number of years
•Early work to concentrate on achieving clarify and considering in eligibility
criteria, portability of benefit entitlement and funding of NDIS
P r i m e M i n i s t e r – 3 0 A p r i l 2 0 12
•NDIS roll out will commence July 2013
•10,000 with significant disability will start to receive support and this will rise to
20,000 by mid 2014
•New National Disability Launch Transition Agency will be established to ensure
its delivery of care and support. CEO position advertised 4 May.
•Initial pilot location will be determined in consultation with the State (up to 4).

5

What do the Opposition and States say
T o n y A b b o t t – 3 0 A p r i l 2 0 12
“I offer the Government bipartisan support for a responsible and timely NDIS.”

J o e H o c k e y – 3 0 A p r i l 2 0 12
“The NDIS is a very worthy scheme but it sounds to me like the dying days of
a Government where they make big heroic announcements about massive
programs and they won’t tell you how they pay for it.”

T e d B a i l l i e u – 10 M a y 2 0 12
“While he remains committed to doing his bit for the NDIS he was
disappointed the Commonwealth had broken a commitment to discuss with
the States how the funding mode would work.”

6

Budget 8 May 2012

• $1 billion to support first phase at NDIS
$342.5 million over three years from July 2013 for
individually funded packages
• NDIS start mid 2013 for around 10,000 with significant and
permanent disability in select locations.
• Initial locations will be worked out with States and
Territories
• Eligibility criteria to be determined over the coming year

7

National Injury Insurance Scheme
W h o w o u ld b e c o v e r e d ?
All causes of catastrophic injury including motor vehicle accidents, medical
accidents, criminal injury and general accidents occurring within the
community or at home. This is a no fault scheme and would only apply to new
catastrophic cases.
W h a t w o u ld it p r o v id e ?
The NIIS would provide lifetime care and support services broadly equivalent
to those offered by the Victorian TAC and the New South Wales Lifetime Care
and Support Scheme. This includes attendant care, medical and hospital
treatment and rehabilitation services, home and vehicle modifications, aids
and appliances, educational support and vocational and social rehabilitation
and domestic assistance.
H o w w o u ld it b e f u n d e d ?
The funding required for NIIS would come from existing insurance
arrangements. A Federation of State and Territory based schemes is
proposed.

NIIS Advisory Group advising on implementation
8

CEREBRAL PALSY CASES – Anomaly

Although generally medical indemnity injuries would be
dealt with by the NIIS the Productivity Commission
recommended that cerebral palsy cases by carved out of
the NIIS and covered under the NDIS.

This is a troubling feature of the NDIS proposal.

Medical indemnity insurers and AMA worked very hard to
achieve this outcome and continue to push for
implementation.

9

Other Considerations

• Care and support will vary depending on coverage by in
NDIS or NIIS
• Disputes will arise and no clear guidance as to how they
should be resolved. Productivity Commission favour
medical experts not courts
• The two authorities National Disability Transition Authority
and NIIS federation will create duplication and overlap

10

Our Position
• Strongly support improved care, support and funding for those with
disabilities;
• The introduction of NDIS or NIIS should not remove or diminish
existing common law rights;
• Existing schemes for motor vehicle and work place accidents should
not be dismantled but through agreement with respective States
provision made for life time care and support for catastrophically
injured people without reduction of existing rights, benefits and
entitlements;
• People injured in other circumstances ie as a result of medical
accidents, assaults, public liability claims should access the NDIS
immediately after the accident but retain their common law right to
pursue the negligent party with appropriate refunds/preclusions
operating.
11

What is happening State by State
S o u t h A u s t r a lia
• Green paper option for MVA claims
• Invitation to comment closed 27 April
V ic t o r ia
• WorkCover surplus transferred to General Revenue
• rewrite of Accident Compensation Act
• Essential Services Commissioner review of TAC and WorkCover reporting to Treasury
• 3% reduction in WorkCover premium
N e w S o u t h W a le s
• WorkCover $4 billion in red
• Premier foreshadowed changes
• Issue Paper released 23 April 2012
Q u e e n s la n d
• New Government
• Will be pressured to introduce life time care and support for MVA victims
• Outcome uncertain
W e s t e r n A u s t r a lia
• Unclear how they will respond
12

Questions

13

Maurice blackburn john_cain_ndis_and_niis_presentation_to_ala_18_may_2012

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