This lecture covers some subjects of direct concern to the medical profession contained within the Pearson Report. Each injury group was examined by the Royal Commission, both here and abroad, particular attention being paid to the relationship between tort and social security. By consensus it was proposed that in the majority of fields no-fault compensations should be extended but that the tort system should continue to have a role. Recommendations were also put forward that no damages should be permitted for non-pecuniary loss during the first 3 months and that the full value of the social security benefits should be deductible from all tort damages. Damages for permanent injury or death should be index-linked periodic payments. A new no-fault compensation scheme for road accidents was described as well as a new disabled children's allowance of 4 pounds per week with a mobility allowance at the lower age of 2 years. Medical injury was examined carefully, but it was decided that negligence liability should continue unchanged, with the proviso that the no-fault compensation schemes in New Zealand and in Sweden should be followed. These two schemes have therefore been described in some detail.