Fakhouri v Insurance Australia Limited ACN 000 016 722 Trading as NRMA Insurance (Motor Accident Injuries)

The case of Fakhouri v Insurance Australia Limited ACN 000 016 722 Trading as NRMA Insurance involves a dispute between the applicant, Mr Fakhouri, and the respondent, NRMA Insurance, regarding the calculation of Mr Fakhouri's pre-injury weekly income for the purposes of determining his income replacement benefits under the Motor Accident Injuries Act 2019. The matter was heard by the Motor Accident Authority Disputes Tribunal.

The primary legal issue the Tribunal had to address was whether the respondent had correctly calculated Mr Fakhouri's pre-injury weekly income. Specifically, the Tribunal had to determine whether the respondent's decision to set Mr Fakhouri's pre-injury weekly income at $352.13 was correct, or if it should be adjusted to the higher figure of $1,316.93 as claimed by Mr Fakhouri. The Tribunal needed to examine the evidence and arguments presented by both parties to ascertain the correct pre-injury income figure and whether the respondent's decision was legally sound.

In its reasoning, the Tribunal found that the respondent had not properly considered the evidence and had thereby erred in calculating Mr Fakhouri's pre-injury weekly income. The Tribunal found that the evidence provided by Mr Fakhouri regarding his income was more reliable and comprehensive than the figures used by the respondent. Consequently, the Tribunal set aside the respondent's decision and substituted it with a new decision that Mr Fakhouri's pre-injury weekly income was $1,316.93. This new figure was to be used by the respondent for calculating Mr Fakhouri's income replacement benefits.

The Tribunal ordered that the respondent's decision dated 15 July 2021, which calculated Mr Fakhouri's pre-injury weekly income at $352.13, be set aside and replaced with a decision that his pre-injury weekly income was $1,316.93. This amount was to be used by the respondent for the calculation of Mr Fakhouri's income replacement benefits. The Tribunal’s decision highlighted the importance of accurate and thorough consideration of all relevant evidence in the determination of pre-injury income.