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Green Slips - CTP


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Green Slip NSW
Green slip is the term used for compulsory third party insurance in NSW.

Your green slip provides compensation for injured people when your vehicle is involved in an accident. Legislation provides for the amount of compensation and the injuries and losses for which it is payable.

Your greenslip does not cover you for damage to your vehicle or other vehicles, or for damage to property. Your green slip does not cover you for theft of your vehicle.

Green slips are compulsory. You cannot register your vehicle in NSW without first purchasing a green slip. The period of the greenslip must match the period of registration. Subject to requirements, registration may be renewed for passenger vehicles and motorbikes for 6 or 12 months.

Green slip prices vary from insurer to insurer. Many factors affect your green slip price. Factors which affect green slip prices include the type of vehicle, location, current registration status, owner and driver age, driving history and claims history.

What is a Green Slip?
In NSW you must buy a green slip before you can register your vehicle. Green slip is the common name given to compulsory third party (CTP) insurance in NSW. If your vehicle is involved in an accident, the green slip protects you against personal injury claims from third parties.

All greenslips are the same. The law provides for the level of compensation payable for certain injuries and losses. Two insurers offer At-Fault Driver Cover as a free added benefit on top of their greenslips.

Greenslips are different from other types of motor vehicle insurance. A CTP green slip covers only injuries to people, not property. It does not include damage to your car or other cars, damage to any kind of property, or theft of your vehicle.

Motorists can buy further insurance coverage on top of a green slip:  fully comprehensive insurance, fire or theft only, or third party property only.

A green slip covers you for exactly the same period as registration, whether it runs for 6 or 12 months. This means renewals for greenslips and registration are due at the same time.

CTP Insurers
Six green slip providers NSW are licensed to sell CTP insurance: AAMI, Allianz, GIO, NRMA Insurance, QBE and Youi. These six CTP insurers are owned by five financial services companies.

CTP is regulated because it is a compulsory public requirement provided by private companies. State Insurance Regulatory Authority (SIRA) is the government body responsible for statutory oversight of green slip providers. Insurers set their own prices but must submit them to SIRA at least once a year. SIRA rejects prices if they are excessive, do not fund the insurer’s liability or fail to meet insurer guidelines.

By law all green slips must offer exactly the same cover. Consider four main factors when choosing a CTP insurer:

Price
Ability to pay in person
An existing relationship with a provider offering discounts on other insurance products held with them
Allianz and NRMA offer a free extra benefit for at-fault drivers, on top of their green slips.

CTP Insurance
Vehicles registered in all states and territories of Australia must be covered by compulsory third party (CTP) insurance. Broadly, CTP insurance covers the cost of treatment and compensation for people injured in road accidents.

CTP insurance schemes vary across Australia because they are legislated on a state basis. Insurance in some states is provided by private insurers and in others by government bodies. CTP insurance is highly regulated because it is compulsory. Private insurers are licensed to offer CTP only under strict guidelines in state and territory Acts and Regulations.

In most states and territories, CTP is automatically included with the registration fee. NSW is the exception: you must purchase CTP separately before registration and it is commonly called a green slip. In NSW there are six providers of CTP insurance: AAMI, Allianz, GIO, NRMA Insurance, QBE and Youi. They are licensed by the State Insurance Regulatory Authority (SIRA).

NSW, ACT, Qld and SA offer a choice of CTP provider.

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