A CTP insurance policy or Green Slip predominantly protects the driver of the motor vehicle from liability if they were to injure or cause the death of a person or people in a motor accident. You need a Green Slip to register a motor vehicle in NSW.
CTP insurance protects the third party, being pedestrians, passengers, cyclists, motorcyclists and drivers of other vehicles, by paying for their treatment and care, which may be for life, and also for loss of income if they are an earner, and any damages claim they may be entitled to lodge. It will also provide you with 26 weeks of benefits from the date of the accident if you are at-fault or mostly at-fault.
Types of Green Slips
For most people, you generally have a choice of either a 12 month policy or a 6 month policy. Other options are available to fleet owners and motor dealers.
Before your Green Slip expires, you must buy a new Green Slip to be able to register your motor vehicle. If you renew after the due date you must not drive your car until you’re covered. You could be fined $1,200.
Did you know? You need to renew your CTP policy within 21 days after the registration due date. If you don’t you can’t choose the 6 month renewal option – you have to renew your vehicle for 12 months.
For limited road access vehicles (eg all-terrain vehicles, historic vehicles, certain recreational and purpose built vehicles) you may be able to take out conditional registration or an unregistered vehicle permit.
Who it covers
The Green Slip scheme covers the cost of injuries caused by your vehicle to:
- You, if the accident occurred in NSW
- Anyone else, anywhere in Australia.
If the accident occurred outside NSW, cover for your injuries depends on the law of the place where the accident happened.
If a person dies as a result of the accident, close relatives may also be able to claim some expenses.
Drivers who are charged with a serious driving offence in relations to the accident will not be able to claim benefits.
What it doesn’t cover
Green Slips don’t cover the cost of damaged vehicles or property.
What it covers you for
The new CTP scheme is focused on early support and recovery and applies to injuries resulting from a motor vehicle accident on or after 1 December.
The Green Slip covers all injured people, regardless of fault (unless you are charged with a serious driving offence).
You will be able to claim up to 6 months (26 weeks) of:
- a percentage of your pre-injury weekly income if you need time off work
- reasonable and necessary treatment and rehabilitation expenses
- commercial attendant care if you need help around the home while you recover.
If you’re not at fault and your injuries are more serious, you may be able to claim benefits beyond 6 months.
Those who have been severely injured may also be eligible for the Lifetime Care & Support Scheme.
For more information on what you can claim and how, see motor accident injury claims.