Payments begin under Australia's compensation scheme

Australia has begun paying compensation for adverse reactions to Covid-19 vaccines — but a lower-than-expected uptake shows that the scheme is deliberately “complex” and narrowly targeted, says a legal expert.
Figures from the Department of Health show that less than one-tenth of the more than 10,000 people who registered interest in the federal government’s no-fault compensation scheme before its launch in December have so far submitted claims.
The Covid-19 vaccine claims scheme allows people to claim a one-off payment of $1,000 to $20,000 for lost wages or other expenses if they suffer a bad reaction to a vaccine, provided they meet certain conditions, including having spent at least one night in hospital.
As of 9 February, Services Australia has received 861 claims — including death claims — under the scheme, and “one claim has been paid”, but 11 have already been withdrawn, a spokesperson for the Department of Health told news.com.au.
Of the 849 claims that “remain under consideration”, 225 are awaiting further information from applicants.
The Department of Health declined to provide a more detailed breakdown of the types of claims received, including the number of death claims and the dollar amounts.
The figures given suggest total possible payouts from claims to date ranging from $850,000 up to $17 million.
“As the compensation scheme has only been open for a short period, information about eligible claims and payment amounts is still being assessed,” the spokesperson said.
“The assessment process can be complex, and claims may also be reviewed independently by medical and other appropriately qualified experts. In many cases, Services Australia has had to seek additional information from applicants to continue processing their application. In other cases, applications have also been withdrawn.”
He added: “If applicants are found to be eligible, applicants will have up to six months to accept an offer of compensation, therefore the finalisation of claims may also take some time.”
Under the scheme, applicants must meet three criteria to be eligible for compensation.
First, they must have suffered a recognised clinical condition or administration-related injury “most likely as a result of having received the Covid-19 vaccine”.
Second, they must have received treatment in hospital.
And third, they must meet the threshold of at least $1,000 in losses, such as medical expenses or lost income.
The threshold was lowered from $5,000 to $1,000 in November after pressure from vaccine sceptic, Liberal Senator Gerard Rennick.
The scheme covers clinical conditions diagnosed by a treating doctor and included in the product information document for the specific vaccine.
These include anaphylactic reaction, thrombosis with thrombocytopenia syndrome (TTS), myocarditis, pericarditis, capillary leak syndrome, demyelinating disorders including Guillain-Barré syndrome (GBS), and thrombocytopenia, including immune thrombocytopenia.
Administration-related injuries covered by the scheme include shoulder injury or other moderate to significant administration injury — not including psychological conditions such as shock — that give rise to permanent impairment or the need for prolonged medical treatment.
Shine Lawyers head of medical negligence Clare Eves said it was “disappointing” but not surprising that only 861 people out of the 10,000 had so far made a claim.
The law firm says it has received 347 inquiries regarding vaccine-related complications.
Ms Eves said the system the government had set up was “very complicated and very difficult to navigate, especially if you are suffering from a negative health effect”.
“I can understand that people will not be able to navigate the scheme, it is not particularly easy for a layperson to understand, and the burden of proof is on them to gather all the evidence,” she said.
“When you look at the criteria involved in making a claim and the process someone has to follow, it is not easy, and it is quite a niche situation that someone has to be in to be able to make a claim. We have had many people inquire who may not have received a clinical diagnosis but who have some of the symptoms or criteria and who have had a lot of ongoing health problems.”
Instead of setting up an easily accessible system as a “good faith gesture” to encourage widespread vaccination by saying “we will look after you”, Ms Eves said the government had instead “made it a bit like the burden of running a civil claim for medical negligence”.
“But these people do not have the benefit of legal experts, they are reliant on medical providers to fill out the forms,” she said.
Ms Eves said she had heard from clients that there was often resistance from doctors to linking their symptoms to the vaccine.
“It is quite difficult to say that there is that causal link — they know how they felt before (the vaccine) and their health history, but you need the doctor to support you,” she said.
As of 6 February, Australia’s medicines regulator has received more than 108,000 total reports of adverse reactions to Covid-19 vaccines from nearly 51.2 million total doses administered.
The Therapeutic Goods Administration has confirmed 11 deaths associated with vaccination — all after AstraZeneca — from 762 reports “received and reviewed”.
No deaths are officially linked to Pfizer or Moderna in Australia, but health authorities in New Zealand have so far confirmed two deaths after Pfizer.
In total, there have been 172 cases of TTS, also known as blood clots with low platelets, linked to AstraZeneca in Australia.
Myocarditis and pericarditis, inflammatory heart conditions associated with the Pfizer and Moderna mRNA vaccines, are reported in approximately 1–2 and 2–3 per 100,000 people respectively, but are more common in young men and boys.
There have been 496 probable cases of myocarditis and 863 probable cases of pericarditis, according to the TGA’s latest safety report.
Some have previously expressed concern that the eligibility requirements for the vaccine claims scheme are too strict, as many adverse reactions can cause disruption to everyday life without rising to the level of overnight hospitalisation.
Under the guidelines, the hospitalisation requirement can be waived in certain circumstances.
Matty John spoke to 7 News Sydney in December and said he had been off work for 10 weeks after being diagnosed with severe pericarditis from the Pfizer vaccine.
He was admitted to hospital twice, but because he never stayed overnight he is not eligible for the scheme.
“It’s a little bit frustrating, (I’m) a bit out of pocket,” he said. “But when you also say that, it is what it is, and that’s life.”
Others have suffered reactions they believe are linked to the vaccine but which are not officially recognised by either the pharmaceutical companies, doctors or health authorities.
Last year, Melbourne mechanic Peter Lee suffered a stroke two days after his second Pfizer shot.
At the time, the Department of Health said it was “aware” of a large study from the United Kingdom in August that found an increased risk of stroke associated with Pfizer — but to date the TGA has not recognised stroke as a potential adverse reaction.