Nervous Shock Claim – Car Accident Injury
Written by
Principal Lawyer and Director · Last updated 31 August 2026
4.9 from 265+ verified Google reviews Read all reviews
Key Takeaway: If you witnessed a motor vehicle accident in NSW or lost a close relative in one, you may claim nervous shock compensation. You can claim treatment, care and lost income, plus pain and suffering if your injury is assessed above 10% whole person impairment, on a no win, no fee basis.
Nervous Shock Claim: Quick Answers
A guide for people who have witnessed someone die, or lost a relative in a motor vehicle accident in NSW
Unfortunately, accidents happen. With accidents, sometimes there is trauma. Being involved in a traumatic event, witnessing a traumatic event or being a close family member of a person involved in an accident or other persons with parental responsibility for the victim even if you did not witness it, can be extremely distressing and have long lasting emotional or psychological consequences. Those affected may also wish to explore suing for emotional distress as an avenue for obtaining additional compensation.
If you have witnessed a serious accident or are a family member of a victim who has been injured, put in peril or died in an accident), you may be eligible to make a “nervous shock” compensation claim. This is similar to any other personal injury claim in that you can claim compensation for the injury, losses or damage that you have suffered. Separately you could make a compensation to relatives claim if you were dependant on a loved one who died because of an accident, and they were not at fault.
Regardless of whether the accident is a car accident, workplace accident or another traumatic accident, if your close relative has died as a result of a traumatic accident, you may be entitled to make a claim for compensation.
- No Upfront Costs
- 99% Success Rate
- Maximum Lump Sum Payout
To be eligible however, there are some requirements that must be met. This guide specifically outlines the eligibility requirements, your entitlements and how to make a claim for nervous shock as a result of witnessing a traumatic motor vehicle accident or being a close family member of a person who died in a motor vehicle accident.
Who can make a nervous shock compensation claim?
To be eligible to make a nervous shock compensation claim you must:
- Have witnessed a traumatic accident , a passenger, cyclist, driver, pedestrian or bystander etc – including a car accident, workplace accident or other (such as recreational accident) — noting that if the trauma originates from a work incident, separate claims for work-related stress may also be available; and/or
- Be a ‘close relative’- the husband or wife, de facto partner, brother, sister, half-brother, half-sister, parent or child of the victim unless you had parental responsibility, as a result of an accident, including a car accident, workplace accident or other accident.
- The victim not be mostly at fault.
What compensation can I claim?
If the victim was injured, put in peril or killed due to a motor vehicle accident that was not mostly their fault, you can claim reasonable medical and treatment expenses, loss of income to take into account your future earning capacity, in light of the psychological injury compensation suffered. You can also claim pain and suffering, as part of your payout, if your injury is assessed as being greater than 10% whole person impairment.
If the person who died was a child under the age of 16 years old and living in NSW at the time, you may be able to additionally claim for reasonable funeral or cremation expenses associated with their death.
How can I make a claim for nervous shock?
When you make a nervous shock claim for compensation, you will claim against the Compulsory Third Party (CTP) Insurer of the owner or driver of the vehicle that caused the accident.
Firstly, you need to ensure that the accident is reported to the police in writing and an event number is obtained within 28 days, if possible. You then need to obtain the registration number of the at fault vehicle and use that to identify the CTP insurer, via the Services NSW App, of the vehicle that caused the accident, complete a Personal Injury Benefits Form and Certificate of Capacity that needs to be completed by your GP and you.
If you have the registration of the vehicle that caused the accident, you can also obtain the name of their CTP insurer by calling CTP Assist on 1300 656 919. On the other hand, if you do not have the registration details, you will need to enquire with the Police and/or place an advertisement in newspapers asking that witnesses get in contact with you. If you are unable to obtain the details, despite your attempts, you can still make a claim however, you will need to show your attempts to obtain the registration details.
During challenging times, it can be difficult to find the energy to get up in the morning, let alone do paperwork to make a compensation claim. That’s why we’re here to help. We can take the guess work out of making a claim, and we will advise you in simple terms to understand, in relation to your entitlements to ensure that we get you the maximum compensation that you deserve. All while being no win no fee compensation lawyers. Contact our CTP Lawyers for a free claim check to find out more.
How long do I have to make a nervous shock claim?
It is also important to understand that time limits apply for making a claim. You need to submit your claim form to the Compulsory Third Party (CTP) insurer of the vehicle who caused the accident within three (3) months of the accident. If more than 3 months has passed you can still, make the claim however will need to provide a reasonable explanation for the delay. Our CTP lawyers take pride in preparing the reasonable explanations on our clients’ behalf so get in contact with us today and we will tell you what we think in a straightforward approach.
You also have 3 years to ensure your claim is lodged with the Personal Injury Commission unless it resolves with the insurer, beforehand, which may very well happen! If it is not lodged with the Personal Injury Commission within 3 years you will require the insurers consent and the Commission’s permission.
Successful Car Accident Injury Claim story
A father of a young child received $1 million in compensation following his son’s injury as a result of a motor vehicle accident.
Max, a young child, unfortunately suffered injuries as a result of a negligent driver. Max was only a pedestrian walking on a footpath, minding his own business, when the negligent driver struck him. . Maxs father was not present with him, nor did he witness the accident, he is his father who, normally, had a good relationship with his young son. As a result of the injuries sustained to Max, his father was diagnosed with Post Traumatic Stress Disorder, a recognised psychiatric illness. A family member from their family contacted Withstand Lawyers to assist the family during their terrible ordeal. Thankfully, our CTP Lawyers were able to take the burden of making a claim away from the father and collated the information and evidence required to make a successful claim on their behalf. Max’s father’s juries were assessed as being over 10% and he made a claim for pain and suffering in addition to receiving income support payments until his car accident compensation payout was received. Looking back, it was a good result not only in that in our view the compensation was within the range of his entitlement, but also as a closure in that the father no longer had to recount the events that took place prior and after the accident.
CTP Lawyers
, We’ll explain your entitlements simply and help you claim those entitlements
During these difficult times, we believe that your priorities should be your wellbeing and your recovery, and we are here to help take the burden of making a claim away from you. If you’ve been affected due to a car accident, whether you witnessed a traumatic accident, were involved in an accident or are a close family member of someone who died in a motor vehicle accident, contact our experienced CTP Lawyers for a free claim check. We are no win no fee lawyers, so we’ll deduct our costs upon successful completion of your claim.
Nervous Shock Claim FAQ
Who is eligible to make a nervous shock compensation claim in NSW?
You may be eligible if you witnessed a traumatic motor vehicle accident, or are a close family member of, or a person with parental responsibility for, someone injured, put in peril or killed in one. If a child under 16 living in NSW died, you may also claim reasonable funeral or cremation expenses.
What compensation can I claim for nervous shock?
A nervous shock claim works like any other personal injury claim. You can claim compensation for your injury, treatment, care and financial losses. You can also claim pain and suffering as part of your payout if your injury is assessed as being greater than 10% whole person impairment following the motor vehicle accident.
How do I start a nervous shock claim after a car accident?
First, make sure the accident is reported to police in writing and an event number is obtained within 28 days if possible. If you have the at-fault vehicle’s registration, you can obtain their CTP insurer by calling CTP Assist on 1300 656 919, then submit your claim form to that insurer.
How long do I have to make a nervous shock claim in NSW?
Time limits apply. You need to submit your claim form to the at-fault vehicle’s Compulsory Third Party insurer within 3 months of the accident. You then have 3 years to lodge your claim with the Personal Injury Commission unless it resolves with the insurer beforehand, which may well happen.
What if more than three months has passed since the accident?
If more than 3 months has passed you can still make the claim, however you will need to provide a reasonable explanation for the delay. Similarly, if your claim is not lodged with the Personal Injury Commission within 3 years, you will require the insurer’s consent and the Commission’s permission to proceed.
Can I claim if I do not have the other driver’s registration details?
Yes. If you do not have the registration details you will need to enquire with the police, or place an advertisement in newspapers asking witnesses to contact you. If you are unable to obtain the details despite genuine attempts, you can still make a claim, provided you show the attempts you made to obtain them.
Is a nervous shock claim made on a no win, no fee basis?
Yes. Withstand Lawyers act as no win, no fee compensation lawyers, so there are no upfront costs to begin your claim. We take the guess work out of making a claim and advise you in simple terms about your entitlements, so we can work to get you the maximum compensation you deserve during a difficult time.
Has anyone won a nervous shock or car accident injury claim?
Yes. In one successful car accident injury claim, a father of a young child received $1 million in compensation following his son’s injury in a motor vehicle accident. His injuries were assessed as being over 10%, so he claimed pain and suffering in addition to receiving income support payments until his payout was received.
About the author
Issa Rabaya · Principal Lawyer and Director
✓ Admitted to the Supreme Court of NSW and High Court of Australia ✓ LLB ✓ IRO-approved ✓ Law Society of NSW
Acts for injured people in CTP, workers compensation, TPD and public liability claims.
Why Choose Withstand Lawyers for Your Nervous Shock Claim?
Losing a loved one or witnessing a traumatic motor vehicle accident is devastating, and Withstand Lawyers understands how hard it is to even face paperwork at such a time. That is why we take the guess work out of your nervous shock claim, explaining your entitlements in simple terms and handling the process for you. Withstand Lawyers focuses on people living with serious injury and trauma, and our decades of combined experience in NSW CTP and personal injury claims means we know how to build these cases properly. We act as no win, no fee compensation lawyers, so you can start with no upfront costs. Over $60 million recovered, 99% success rate, no win, no fee.
Call Withstand Lawyers on 1800 952 898 for your free claim check today.
“Working with Esther has been an absolute blessing during an incredibly difficult time. Anyone who has ever had to navigate an insurance claim knows just how difficult, overwhelming, and anxiety-inducing the entire process can be. Before reaching out to Withstand Lawyers, I was constantly stressed and deeply overwhelmed by the system. The firm made the initial intake process incredibly smooth, and they placed me in the hands of my lawyer, Esther. From that moment on, from the first conversation, I finally found my solid ground. Esther has completely transformed how I navigate this unfortunate situation. Because she handles my matter directly, I have a direct line of contact with her and never have to jump through hoops to get support. Esther’s presence alone has given me immense confidence in my claim. What sets her apart is her perfect balance of professional mastery and genuine empathy. As a client, having a lawyer who truly listens and supports you when your mind is filled with doubt is a massive relief. She doesn’t just manage a file — she consistently protects her client’s peace of mind. Her recommendations are always highly logical, realistic, and clear-cut. She cuts through the legal confusion and tells you exactly where you stand, which is exactly what you need during the hardest times of your life. I feel incredibly lucky to have Esther and her team at Withstand Lawyers by my side. For anyone out there facing a difficult time with an insurer and looking for a legal advocate who offers absolute clarity, strength, and compassion — I cannot recommend Esther highly enough. She is a truly admirable professional who genuinely cares about the people she protects. Truly grateful!” “I have searched top lawyers (personal injury) in Sydney. I found Withstand Lawyers so I rang them up and asked I need lawyers that are nicer and more understanding despite what I am going through. They exceeded my expectations especially Issa, he always remind everyone to be more cautious when speaking to me and I really appreciate that. I am satisfied that my case (MVA) turned out to be successful. Withstand lawyers is more than 5 stars. Can’t recommend highly enough.” “I would like to express my deepest appreciation for the incredible support I’ve received over the past 4.5 years. My case has been long, complicated, and filled with challenges, but Issa and his team stood by me through every step with genuine care, professionalism, and dedication. Their compassion has meant just as much to me as their legal expertise. They didn’t just handle my case, they helped me through some of the most difficult years of my life. I wholeheartedly recommend them to anyone who needs genuine support, honesty, and a team that truly cares about your wellbeing.” “Thank you Withstand Lawyer for your exceptional work, professionalism and easy process for successfully assisting me with my TPD claim. I am thankful for your support. I highly recommend Withstand Lawyers and the services they provide.” “Had a very positive experience with Withstand Lawyers. The team was professional, knowledgeable, and supportive throughout the entire process. They took the time to explain everything clearly, kept me informed at every stage, and responded promptly to my questions. Their attention to detail and commitment to achieving the best possible outcome gave me confidence from start to finish. I truly appreciate their dedication and excellent service, and I would highly recommend Withstand Lawyers to anyone looking for reliable and trustworthy service.” Issa Rabaya Director, Lawyer Founder and Director with 12 years' experience since his 2014 admission, previously at the largest litigation law firm in Australia. A personal injury lawyer for serious injuries, leading Withstand Lawyers' work across every claim type, with settlements reaching into the millions, including a $6.3 million motor vehicle accident result. Esther Ihn Senior Associate Senior Associate with over a decade of experience exclusively in personal injury claims since 2014, handling hundreds of matters across motor vehicle accidents, workers compensation, work injury damages and public liability. The team's go-to for serious-injury claims. Minaa Mohmand Special Counsel Special Counsel with over a decade of experience since 2016, handling complex, higher-value claims: serious injuries, disputed liability and matters heading to litigation, across motor vehicle accidents, work injury damages, public liability and TPD. Mihana Wen Associate Associate with 6 years' experience since 2020 and a recent $1.95 million motor vehicle accident settlement, known for not taking no for an answer and lodging appeal submissions for injuries insurers try to deem below the 11% whole person impairment threshold for pain and suffering. The go-to for car accident claims, guiding clients from the first CTP submission through to settlement with a compassionate, hands-on approach. Isabel Sarcia Senior Lawyer Lawyer with 6 years' experience since 2020, working exclusively in TPD and superannuation claims, necessary because these claims turn on strict super fund definitions and procedure that few generalist lawyers see day to day. Specialises in lodging TPD claims efficiently, cutting through fund delays so claims are accepted faster and in full. Maria Drosos Associate Lawyer with 6 years' experience since 2020, working exclusively in TPD and superannuation claims, necessary because these claims turn on precise policy wording and medical evidence that few generalist lawyers handle daily. Specialises in lodging TPD claims efficiently, managing the insurer requests and medical reports that decide the outcome. Chenoa Ingram Lawyer · 4+ yrs experience Lawyer with 4+ years' hands-on experience in personal injury claims, built inside the firm before her 2026 admission, known for being organised and efficient in progressing clients' workers compensation, work injury damages, public liability and TPD claims. Lauren Bergan Lawyer · 4+ yrs experience4.9 ★ — 265+ Reviews
Meet Your Lawyers
