If a person has received, or will receive, a compensation payout for an accident or injury (such as compensation payable pursuant to a work-related injury, or motor vehicle injury) then their NDIS entitlement may be reduced [see National Disability Insurance Scheme Act 2013 (Cth) Chapter 5]. Under the NDIS Act and the National Disability Insurance Scheme (Support For Participants – Accounting for Compensation) Rules, the NDIA may calculate a Compensation Reduction Amount, which is an amount by which the NDIA will reduce a person’s NDIS funding entitlement, in account of the compensation payment.
A person entitled to the NDIS who has received or will receive a compensation payout should notify the NDIA as soon as possible.
The overlap between compensation payments and the NDIS can be complex, and specialist advice should be sought.
For more information see the NDIS – Compensation website.