Put young drivers on your green slip
Driver age is a factor insurers use to assess risk and set the price they will charge for CTP green slips.
When you buy your greenslip, you need to state the age of the youngest driver of your vehicle.
- If you are the only driver, you are the youngest driver.
- If the youngest driver is a learner driver, you must tell the insurer.
What happens if I do not inform the insurer?
If you do not inform the insurer about the youngest driver, then:
- The fact the correct premium has not been paid on a green slip does not affect the coverage of your green slip.
- Insurers are entitled to claim the difference between what you paid and what should have been paid.
- If you avoided paying the correct premium by making a statement you knew was false and then made a claim on that green slip, the insurer may claim up to $5,000 from you.
Why are green slips more expensive for younger drivers?
Green slips are more expensive for younger drivers because they are more likely to be involved in a road accident. Young people tend to take more risks, such as speeding or driving too close to the vehicle in front.
- Young drivers aged under 26 years are 14% of all licence holders, but were in a quarter of road deaths in 2021.
- The first month of driving with P-plates is the riskiest time.
- L-plate drivers are among the safest because they are under supervision.
Young drivers are covered by the green slip of the vehicle they are driving, provided the vehicle registration is up to date. Younger drivers who are involved in a road accident will see the price of their green slip increase.
How can I reduce younger driver premiums?
You can reduce younger driver premiums by affecting the primary factors used by insurers to set prices.
Primary factors used by insurers are:
- Geographic region
- Type and age of vehicle
- Age and gender of vehicle owner and driver
- Driving history – traffic offences, demerit points, years licensed
- Claims history – other motor insurance held, at-fault claims.
Younger people can be encouraged to drive a safer vehicle and work towards a safe driving record. This means no demerit points, no traffic offences and no insurance claims.
What is the Safer Drivers Course?
The Safer Drivers Course equips learners with the skills and knowledge to prepare them for P-Plates. They will understand how to manage speed, select gaps, notice and deal with hazards, follow at safe distances, and drive safely when distracted.
The course has 2 modules to complete within one month:
- A 3-hour group discussion with other learners about managing risks on the road.
- A 2-hour in-vehicle session with a coach and another learner to learn practical, safe driving.
It is designed for learner drivers under 25 who have completed 50 logbook hours, including night driving. Learners will receive a bonus of 20 hours of logbook credit. This means they need only 100 more hours of supervised driving to progress to P1 plates.
Call 13 2213 or find the closest course provider.
FAQs
1. Do young drivers need to be listed on my green slip?
Yes, you must tell insurers the age and experience of the youngest driver of your vehicle. Insurers use driver age as an important risk factor and it will affect the price of your green slip. If you do not tell the insurer and a young driver has a road accident, the green slip is still valid but you may have to pay a penalty.
2. Does CTP insurance cover learner drivers?
Yes, CTP insurance covers learner drivers as long as they drive a registered vehicle. Some insurers ask whether there is a learner driving your vehicle. Usually, learners are considered to be safer than those on P plates because they are still under supervision.
3. Does age affect my green slip?
Yes, age affects your green slip. A younger driver pays more for a green slip because they are higher risk than a more experienced driver. While P1 drivers are only 3% of all drivers, they make up 20% of all deaths in road accidents. The first month of driving with P plates is the riskiest time.
4. Do younger drivers affect my comprehensive insurance?
Yes, comprehensive insurance can be affected by having a younger driver:
- Younger drivers may not be included in comprehensive insurance of the vehicle they drive.
- If they are covered by comprehensive insurance, a higher age-based excess may apply.
- Other terms and restrictions may apply to younger drivers.