Motorists are set to reap the benefits of the NSW Government’s CTP reform ahead of time, with a number of insurers dropping their ‘best market price’ for Sydney passenger vehicles below $600 from 1 July.
Minister for Finance, Services and Property Victor Dominello today said the latest premium filings confirmed that the Government’s recent crackdown on fraudulent and exaggerated claims was having a noticeable effect.
“Apart from a brief reprieve in 2007, average Green Slip prices have gone up year on year since 1999. Since 2008 they have risen by 80 per cent.” Mr Dominello said.
“However, since the CTP fraud crackdown commenced in February, we’ve seen a noticeable decline in claims for soft tissue and minor injury and an increase in the number of claims being withdrawn. This behavioural change is already starting to have a positive impact on premiums.”
QBE is now offering the best price in the market at $588 - a $25 reduction on the current price. NRMA’s best price is $597, a $43 reduction on their current price. The table below lists all price changes.
“Half a million motorists buying their Green Slips after 1 July will see a five per cent reduction on their premium,” Mr Dominello said.
Once the new scheme commences Sydney passenger vehicle owners will see reductions of $180 on the average premium and country drivers will see a decrease of around $50. Taxis owners will also see a 40 per cent decrease on the average premium.
“When the new scheme starts at the end of the year, the NSW Government will deliver on the elusive trifecta of improving benefits to those injured on our roads, significantly reducing premiums for motorists and taxis alike and putting an end to insurer super profits.”
Motorists are encouraged to compare Green Slip prices prior to renewing their policy, because competition is critical to bringing down prices. More information is available on siras website.