Written answers

Thursday, 26 January 2012

Department of Social Protection

Social Welfare Code

5:00 pm

Photo of Luke FlanaganLuke Flanagan (Roscommon-South Leitrim, Independent)
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Question 43: To ask the Minister for Social Protection if she will consider removing compensation awarded for damages from means assessment; if she will look into the case of a person (details supplied) who has been severely disabled from birth and who had damages awarded to them, for their future medical care and special needs care, assessed as means thus depriving them of their disability benefit, and so leaving their carer to provide for both their everyday expenses and their special medical expenses to be met from the compensation awarded for their disability; and if she will make a statement on the matter. [4326/12]

Photo of Joan BurtonJoan Burton (Dublin West, Labour)
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The person concerned was awarded disability allowance with effect from 14/07/1993. Following a review of his claim he was disallowed disability allowance with effect from 21/07/2011 as his means, derived from compensation he received, exceeded the limit for receipt of the allowance. The person appealed this decision and I understand from the Social Welfare Appeals Office that his case has been put down for oral hearing and will be heard within the next month.

In relation to the underlying policy issue, removing compensation awarded for damages from means assessment could give rise to anomalies. If, as is the case in most instances, compensation is awarded at least in part to replace lost income, it raises the question as to why the social welfare system would also provide income maintenance. Furthermore, it would be problematic to treat two otherwise similar individuals or families differently from one another simply because of the source of their capital or income. In any event, such a policy change would have to be considered in a budgetary context, given the additional costs that would arise.

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