The important difference between the National Redress Scheme & making a damages claim

What are the key differences between the National Redress Scheme and a civil damages claim?

Below is a summary of the key differences between making a claim through the National Redress Scheme and making a civil damages claim. 

Continue reading for more information about each option. 

What is the National Redress Scheme?

The National Redress Scheme was established from a key recommendation of the Royal Commission. Simply, it aims to acknowledge harm done to survivors of sexual abuse.

The Scheme helps survivors of institutional abuse to seek:

• a payment which is calculated according to the kind of the abuse, and the type of institution in which the abuse happened (capped at $150,000 maximum payment)
• a further small payment for psychological treatment
• a request for a personal response from the institution responsible for the abuse. This could include an apology from a senior member of the institution, or an explanation of what that institution does today to protect children.

How does the National Redress Scheme work?

The National Redress Scheme receives applications from survivors seeking compensation. An independent decision maker then considers the application, can ask for more information if needed and will decide if someone can access redress under the scheme, and what that redress should be. If this happens, an offer of redress will be made, and the applicant can accept or decline the offer, or ask for a review. 

What compensation can I get through the National Redress Scheme? 

The maximum payment you can receive from a National Redress Scheme claim is $150,000. However, many survivors won't qualify for the maximum amount, and the amount they do receive, in many cases, is less than that of a legal claim. 

Importantly, if you accept an offer from the National Redress Scheme, you can never make a civil damages claim. You will be required to sign a legally binding agreement, which means you cannot take any further legal action against the institution (or receive any additional compensation). 

Am I eligible to make a National Redress Scheme claim?

Not everyone is eligible for the National Redress Scheme. You are not eligible if: 

• the institution hasn’t signed up to the scheme voluntarily 
• you are not an Australian citizen or permanent resident
• the abuse isn’t sufficiently closely connected with the institution
• the scheme finds there is not a ‘reasonable likelihood’ the abuse occurred 
• you have ever been sentenced to a jail term of five years or more for one of the following offences:
  • unlawful killing
  • sexual offence
  • a terrorism offence

However, it's important to note that in March 2024, changes were introduced to the ‘protected information’ disclosure, allowing information about non-participating institutions to be shared with survivors who have named the same institution in their applications. This will enable better access to justice for a survivor who may not be able to access the scheme.

You can find the full list of institutions that have joined the scheme, those that are unable to participate and those that have not yet joined on the National Redress Scheme website.

What is a civil damages abuse claim?

A civil damages claim is a legal claim. How the claim is made can differ depending on the State you live in, but generally a civil damages claim entitles you to claim compensation for:

• the pain, suffering and psychological impact you've endured 
• the impact the abuse has had on your working life including loss of earnings, past and future
• reimbursed for treatment (e.g. medication and counselling) you have paid for and/or receive a sum to allow you to get treatment in the future 
• in some cases exemplary and/or aggravated damages  

How does a civil damages abuse claim work?

In almost every case, the institution is sued on the basis that it is legally responsible for the perpetrator's conduct. This means a lawyer will gather evidence to prove that the institution a survivor was abused in was negligent or, alternatively, the perpetrator is an employee or agent of the institution, in which case the institution may be held legally responsible for the perpetrator’s conduct.  

The outcome of a civil damages claim is a payment of monetary compensation (also known as 'damages') to you, the survivor of abuse.

What compensation can I get through a civil damages claim? 

One of the key benefits of a legal claim for damages is that they are not capped at $150,000 and, in most cases, will be worth considerably more. Your payments are calculated in accordance with how Judges have calculated other payments for survivors. Compensation amounts in successful civil damages claims are generally in the range of $200,000 to $2,000,000.

We have also helped clients with other non-financial outcomes like obtaining an apology from the institution, implementation of improved child safety policies and having perpetrators’ names removed from buildings, stadiums and awards. 

    > Read more about: Non-financial compensation: how abuse claims can drive change

If you're still unsure about which of these options is best for you, we do recommend seeking legal advice as soon as you feel able to so.

When you tell us your story, we will listen and believe you. Our job is to help you understand your legal rights about bringing a claim and what options for compensation are available to you.