Bill to allow periodic payments for catastrophic injury approved

Legislation allowing courts to award periodic payments in cases of catastrophic injury has been approved at all stages in the Oireachtas.

Justice Minister Charlie Flanagan said the Civil Liability (Amendment) Bill 2017 is “an extremely important new piece of legislation that will give much needed financial security to persons who have been catastrophically injured and who require lifelong care and assistance”.

Mr Flanagan added: “It addresses the concerns raised repeatedly by the courts that the absence of such legislation has meant that the best option for a catastrophically injured person in the form of a periodic payments order has not been available.

“It will ensure that people who have been catastrophically injured will receive the care and assistance they require for the rest of their lives.”

The bill seeks to address issues raised by the Working Group on Medical Negligence and Periodic Payments, principally to address “the deficiencies in the lump sum system by giving the courts discretion to impose, with or without the consent of parties, periodic payment orders in catastrophic injury cases”.

It also ensures periodic payment orders will not be subject to income tax and will not be taken into account in the event of bankruptcy.