Victoria is to tighten its rules on compensation payments for long-term, serious mental injury following traffic accidents.

Under new Transport Accident Commission (TAC) criteria, an injury must be a recognised mental illness or behavioural disorder that has continued for at least three years.

The sufferer must show symptoms and disability that have not responded to treatment and cause clinically significant distress and “severe impairment in relationships and social and vocational functioning”.

The changes, outlined in Parliament last week, also limit a person’s ability to access damages if they were not directly involved and did not witness the accident.

Opposition road safety and TAC spokesman Luke Donnellan says no justification has been given for the changes.

“Our assessment to date from talking to plaintiff lawyers and the like is that it would cut out many people,” he told insuranceNEWS.com.au.

Treasurer Michael O’Brien says the criteria have been developed with the Department of Health, including the Chief Psychiatrist, and will improve the TAC’s efficiency.

The changes will encourage people directly exposed to accidents, and who suffer recognised mental illnesses or disorders, to seek treatment as soon as possible, he says.

“As a community we know much more about mental illness than we did when the TAC scheme was established in 1986,” Mr O’Brien said.

Current TAC legislation says serious injury includes severe long-term mental or behavioural disturbance, without giving details.