Compulsory Third Party (CTP) Insurance – known as a CTP Green Slip in NSW – helps protect drivers from liability if they cause injury or death to others in a motor vehicle accident. This policy covers the necessary medical treatment and rehabilitation expenses, and a percentage of pre-injury income if those injured need time off work.

CTP Insurance is required by law to register your vehicle. All NSW CTP Green Slip premium bands are regulated and reviewed by the State Insurance Regulatory Authority (SIRA). This means we must submit our prices to SIRA for approval.

SIRA’s regulation ensures premiums are:

• fair and reasonable for motorists,
• sufficient to cover expected claim costs, and
• supportive of the scheme’s long term financial sustainability.

To register your vehicle, you’ll need a CTP Green Slip. Your total premium also includes GST and the Fund Levy.

Your CTP Green Slip price depends on several factors, including but not limited to:

• vehicle details – such as the make, model, vehicle age, and insurance history of the vehicle,
• driver history – including the youngest driver’s age, driving record, previous claims and any demerit points,
• region – the area in which the vehicle is primarily garaged and used,
• the length of cover (6 or 12 months), and
• if the vehicle is registered for private or business use.

As these factors change, your premium may also change.

In setting premiums, insurers also charge sufficient premiums to cover the costs of potential claims and operational costs.

An insurance premium is the amount you pay for your policy. It’s calculated using a range of factors, and it can be different for each person. The list includes:

• Vehicle details, including the make, model, age and insurance history of the vehicle.
• Driver history, including the youngest driver’s age, drivers’ driving record, previous claims and demerit points.
• The area in which the vehicle is garaged and used most of the time.
• The length of cover (6 or 12 months).
• If the vehicle is registered for private or business use.

This isn’t a full list, and the factors we use may change over time. Each factor can affect your premium differently, which is why your premium might change when you renew your policy.

Other factors that can influence your premium

On top of the reasons above, some additional factors include, but aren’t limited to:

• the cost of claims (for example, medical and health care services) and what we expect to pay in the future
• our business costs
• conditions in the insurance market, and
• inclusion of GST and the Fund Levy that make up your total premium.

The amount you pay for your CTP Green Slip includes your Premium, GST and Fund Levy.

The Fund Levy covers initial ambulance and hospital fees, along with longer term treatment and care for people with severe injuries resulting from motor vehicle crashes.

To learn more about CTP Green Slip premiums visit the SIRA website.