If, as a result of your injuries from a motorcycle accident, you have needed or do need to claim benefits, then the amount of damages (compensation) you receive will be reduced by the amount of benefit you have already received.
Personal Injury Damages and Your Benefits
This can have a substantial effect on the damages which you receive at the end of your case, so it is important to bear this in mind.
- Recoverable benefit
- Benefits paid already
- Benefits and compensation FAQ
- Offsetting your damages
Since 1997 there has been a scheme in place to enable the government to recover the value of benefits paid to people as a result of personal injury, who are also pursuing a claim for compensation against a third party in a motorcycle accident.
There is a principle in English Law that you cannot “double recover”, or “have your money twice”, and the scheme claims to avoid people being paid “twice over” for the same loss.
If you are being compensated for a loss for which you have already received benefits, then the third party is entitled to reduce the award for damages by the amount equivalent to the benefits you have received. They must then pay this back to the DWP.
Not all benefits are recoverable, and there are limits on which damages your benefits can be recovered from.
Benefits cannot be recovered from your award for Pain, Suffering and Loss of Amenity, but they can be recovered from items of your Special Damages.