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6.5 Interim Payment of Compensation


An interim payment of compensation for permanent impairment can be made where the impairment is 10% or more but a final assessment of the degree of impairment has not been made (e.g. because the degree of impairment is not yet stable). See Chapter 4 for more detail.


When a further assessment is made (whether a reassessment or a final assessment), the amount already paid on an interim basis is deducted from the new total compensation entitlement.


A deduction for an interim payment should be distinguished from a deduction for:

  • a correction
  • an overpayment, or
  • DVA clearance.

Payment of interim lump sum payments under S25(1) requires a specific written request from the injured employee. An interim lump sum payment could only be paid in such circumstances were the client has had the opportunity to complete and return the Section 45 election form.  This is usually 21 days from when the client is sent the interim lump sum determination letter and allows time for the client to consider the Section 45 election.  the letter should indicate that the PI interim lump sum will be paid by default between 21 - 30 days unless the client advises otherwise.  See Chapter 6.7.1 "DVA Clearance" for more information.