More than one prescribed dependant

Where more than one prescribed dependant is involved, liability to pay Comcare from any damages awarded equates to:

  • the prescribed amount (as defined by the section 49 formula); or

  • the amount of damages recovered;

whichever is less.

Having regard to the formula, it ensures that the amount payable to Comcare from damages awarded is in direct proportion to the distribution of damages paid among the two or more prescribed dependants.

Example

An employee was killed in an industrial accident at his workplace.

His de facto wife claimed compensation and was awarded a lump sum payment under section 17 or $139,320.72.

However, prior to the employee's death, he had also been financially supporting his separated wife and their two children.

The employee's widow did not claim compensation, but was awarded a damages payment of $250,000.  Both children were concurrently awarded $125,000 each, with the damages bill totalling $500,000.

The widow and two children are all 'prescribed dependants'.

Calculation for the widow

Formula

Prescribed amount:

AC  =  $139,320.72 (amount of compensation paid to the de facto wife)

D1  =  $250,000.00 (component awarded solely to the widow)

D2  =  $500,000.00 (total amount awarded to all damages recipients)

Lesser of the prescribed amount and compensation paid payable to Comcare.  Prescribed amount of $69,660.36 recoverable.

Calculation for each of the two children

Formula

Prescribed amount:

AC  =  $139,320.72 (amount of compensation paid to the de facto wife)

D1  =  $125,000.00 (component awarded solely to each child)

D2  =  $500,000.00 (total amount awarded to all damages recipients)

Lesser of the prescribed amount and compensation paid payable to Comcare.  Prescribed amount of $34,830.18 recoverable from each child.

In total, the amount payable from the damages awarded of $500,000 is:

$139,320.72, equating with the exact amount paid in compensation to the de facto wife.

Source URL: https://clik.dva.gov.au/military-compensation-reference-library/historical-information/comcare-operations-manual/volume-six-death-claims/part-three-death-claims-and-damages/damages-and-act/recouping-compensation-payments-under-section-49/more-one-prescribed-dependant