Understand and compare At-Fault Driver Cover
All greenslip insurers provide the statutory cover required under the Acts. Since 1 December 2017 insurers provide statutory cover under Motor Accident Injuries Act 2017 (2017 Act) and Motor Accidents (Lifetime Care and Support) Act 2006. Before 1 December 2017 Motor Accidents Compensation Act 1999 and Motor Accidents (Lifetime Care and Support) Act 2006 applied.
Under the new scheme introduced by the 2017 Act, drivers at fault can receive up to 6 months of fixed benefits for all types of injury.
Before the 2009 amendments to the Motor Accidents Compensation Act 1999, the driver at fault in an accident was not covered by the CTP greenslip scheme unless the driver was catastrophically injured.
Because the driver at fault was in most cases not covered by the scheme, green slip insurers introduced a benefit in addition to the statutory cover. That additional benefit is generally referred to as At-Fault Driver Cover.
Through At-Fault Driver Cover, insurers provide specified lump sum benefits for prescribed injuries which the driver may sustain and, in some cases, the insurers provide a death benefit for the at-fault driver.
Two of the five insurers, Allianz and NRMA, continue to offer At-Fault Driver Cover.
- QBE ceased offering At-Fault Driver Cover on greenslips commencing on or after 1 April 2012
- GIO ceased offering At-Fault Driver Cover on greenslips commencing on or after 1 December 2017
- Zurich ceased offering CTP greenslips from 1 March 2016
- CIC Allianz ceased offering CTP green slips from 15 January 2019.
A full insurer by insurer comparison of At-Fault Driver Cover is on this site, including injuries, benefits and exclusions. The schedule of benefits, injuries and exclusions varies from insurer to insurer.
Each insurer provides a policy document setting out the benefits, injuries, exclusions, terms and conditions for their At-Fault Driver Cover.
While At-Fault Driver Cover is a worthwhile additional feature, it was introduced by the insurers primarily as a marketing tool. A green slip is a generic product. The only real differentiating features are price, ease of access for purchase and At-Fault Driver Cover. The introduction of At-Fault Driver Cover provided the opportunity for insurers to differentiate their green slip offering on a basis other than price.
Before purchasing a greenslip you should refer to the insurer’s policy document to understand the full terms applying to the insurer’s At-Fault Driver Cover.
Amendments to the Motor Accidents Compensation Act 1999
In May 2009 the Motor Accidents Compensation Act 1999 was amended. The amendments gave rise to two key reforms to the operation of the CTP greenslip scheme in respect of at-fault drivers. Those reforms had an impact on At-Fault Driver Cover.
More detail on amendments to the Scheme is on this site.
The first reform, effective for accidents occurring from 1 July 2009, provided that hospital treatment, transport by ambulance and other treatments for at-fault drivers were funded by the scheme, as they were for other injured persons.
Under the second reform, entitlement to early payment of $5,000 for treatment and lost earnings through lodgment of an Accident Notification Form (ANF) was extended to include at-fault drivers injured in accidents occurring on and after 1 April 2010.
greenslips.com.au identified a major issue that arose from 1 April 2010. The terms of the insurer policy documents for At-Fault Driver Cover at that time had provided that no At-Fault Driver Cover benefits would be paid if the at-fault driver was entitled to or received compensation under the Motor Accidents Compensation Act 1999.
As a result of amendments to the Act, at-fault drivers became entitled to compensation from 1 April 2010. Therefore, no benefits were payable under the terms of the At-Fault Driver Cover policies then in use (despite the fact insurers were still advertising those benefits). The insurers were required to change their policy terms to pay At-Fault Driver Cover benefits in addition to benefits which became available under that CTP greenslip scheme from 1 April 2010.