Seven insurers are licensed to issue greenslips in NSW.
Currently, the seven insurance licenses are controlled by five companies.
An overview of the insurers is set out below.
AAMI
AAMI is owned by Suncorp. As at June 2012, AAMI had a market share of 8.8%. AAMI provide an online quote and purchase facility, and you are able to deal with a consultant over the phone. AAMI does not offer discounts on other products for purchasing a ctp green slip, and do not offer additional at- fault driver cover.
Allianz
Allianz had a market share of 12.6% as at June 2012. Allianz Group also operates the CIC Allianz licence. As at June 2013, the combined market share for the Allianz group was16.7%. Allianz offers the added feature of At-Fault Driver Protection, however there are exclusions, including motorbikes, drivers aged under 25, and vehicles more than 10 old
CIC Allianz
CIC Allianz is the second licence operated by the Allianz Group. As at June 2012 CIC Allianz had a market share of 4.2%.
GIO
GIO is owned by the Suncorp Group, which also owns AAMI. As at June 2012 GIO had a market share of 12.7% and as at June 2013 GIO and AAMI had a combined market share of 21.8%. GIO offers Driver Cover Plus with some green slips as their form of at- fault driver cover. This excludes motorbikes, drivers aged under 25 (unless also comprehensively insured with GIO) and vehicles with a GVM exceeding 4.5 tonnes. You can obtain a quote and purchase green slips online, and the website provides information on branch locations. GIO also offers some discounts on comprehensive insurance.
NRMA Insurance
NRMA has the largest market share, with a market share of 35.3% as at June 2013. NRMA offers at-fault driver cover, except for motorbike riders. Phone and online quotes and purchase are available. NRMA operates the most extensive branch network of all the insurers. You can visit their website to find your nearest branch. NRMA also offers mutli-policy discounts on other products.
QBE
As at June 2013, QBE had a market share of 19.9%. QBE do not offer any form of additional at fault driver cover. Quotes and purchase are available online,and brokers and agents are used to distribute products – QBE will help you find your nearest. No discounts are offered on other products or services with the purchase of a green slip.
Zurich
The final insurer is Zurich, with a market share of 6.2% as at June 2013. Zurich offer CTP At-Fault Driver Insurance with some green slips, with some exclusions, including for green slips issued quarterly or every six months. No online purchase is available, but Zurich will help you find your nearest broker or agent.
A full comparison of at-fault driver cover, discounts and ease of access for purchase for each of the insurers is available on this site. A green slip price comparison is also available.
We know that those of us who take the time to shop around, we can find cheap green slips in NSW, but what about the rest of the country? People who are planning to make an interstate move to, or from, New South Wales, will be interested to know that the process for purchasing CTP insurance in NSW does not always work in exactly the same way across Australia.
When registering a motor vehicle in NSW several steps are involved once you receive your renewal notice from the State Government’s Roads & Maritime Services (RMS) Department (formerly Roads and Traffic Authority – RTA).
Firstly, you will need to get a Green Slip – your Compulsory Third Party Insurance. NSW registrations are unique in that you are able to compare prices in order to get the cheapest Green Slip NSW has on offer. Your previous insurer will send you a renewal notice well in advance, but you are under no obligation to renew with them.
Use our NSW Green Slip Calculator to find the cheapest Greenslips in NSW.
Once you have paid for your green slip, its details will be sent electronically to RMS.
The second step is to have your vehicle inspected for roadworthiness at an Authorised Safety Check Inspection Station (ASCIS) for light vehicles. (Heavy vehicles inspections are conducted though an HVAIS, and cranes are inspected by an ACIS.)
Your e-Safety check will be transmitted electronically to RMS.
You can then either complete your registration online, paying the required registration fee electronically, send your registration renewal with payment to the RMS, or present at an RMS location and pay in person.
From January 1, 2013, there is no longer a requirement for registration stickers to be displayed on NSW registered vehicles.
The NSW CTP Insurance scheme is explained in full on this website, including everything you need to know to compare and purchase your greenslip.
So that’s the story for CTP insurance in NSW, what about the other States and Territories?
When you register, or renew registration, on a motor vehicle in Queensland, there is no real need to shop around for the best Greenslip price. You simply nominate on your registration documents which insurer you choose to use, and the insurance is actioned at the same time as your registration.
There are six companies who provide CTP insurance in Queensland:
AAMI
ALLIANZ
NRMA Insurance
QBE
RACQ Insurance
SUNCORP
Their prices are all the same, which in February 2012, was $328.80 for 12 months, for a Vehicle Class 1, without Input Tax Credit Entitlement (ITCE).
However, as is the case with a CTP NSW insurer, if you have other policies with one of these providers, e.g. home contents insurance, then by electing them as your CTP insurance provider as well, you may be offered a multi-policy discount on those other products.
In Victoria, when you register your car, a component of your registration is a TAC charge or TAC premium. ‘TAC’ stands for Transport Accident Charge, which is Victoria’s Compulsory Third Party insurance, its Greenslip.
Managed by the Victorian Government’s Transport Accident Commission (TAC) rather than individual insurers, so there is no need to go through the process of searching for the cheapest Greenslip NSW-style.
The Transport Accident Act 1986 is the legislation that guides the type of benefits the TAC can pay, but they are essentially the same as in other states, i.e. for the treatment and compensation for people injured in accidents caused by drivers of Victorian registered vehicles.
Compulsory Third Party Insurance in South Australia is referred to as Motor Injury Insurance, and is controlled by the Government’s Motor Accident Commission (MAC). As with Victoria and Queensland, CTP insurance is bundled with your vehicles registration fees.
In 2013 the MAC increased insurance rates by an average of 4.7%. This brought the Class 1 passenger vehicle premium to $512 (family car garaged near or in Adelaide).
All claims enquiries and claims processing are managed by MAC’s Claims Manager, Allianz Australia Limited, which is one of the providers we compare to get the cheapest Green Slip NSW rates.
As with elsewhere in Australia, it is compulsory for anyone registering a vehicle to have compulsory third party insurance in the Australian Capital Territory.
Unlike the New South Wales model where, when registration time comes, around you can shop around and compare green slip NSW prices, there is only one provider of CTPI for ACT motorists – NRMA Insurance.
As a rough guide to rates, as at 1 September 2012, the CTP rate for a passenger vehicle in the ACT was $578.70.
Compulsory Third Party Insurance in Western Australia is provided by the state government under the auspices of the Insurance Commission of WA. The Commission is subject to conditions of the insurance policy and the Motor Vehicle (Third Party Insurance) Act 1943.
The premium to cover this insurance is included with motor vehicle registration.
For a Class 1X Motor car used for private purposes, the premium, as at 1 July 2012, was $245.01. As with all other states, including NSW greenslips, prices vary depending on the type of motor vehicle being registered.
Tasmanian CTP insurance is governed by the Motor Accidents Insurance Board, but as in the ACT, the NRMA is the sole provider of green slips for Tasmania.
CTP insurance in the Northern Territory is paid as part of motor vehicle registration renewal, and is managed by the Territory Insurance Office (TIO). Currently the CTP component for a car of less than or equal to 4 cylinders is $227.90.
From July 1, 2013 the Northern Territory will abolish registration stickers.
New South Wales is unique in giving its motor vehicle owners the flexibility to seek out budget CTP green slip quotes, and using our free Greenslip Calculator allows you to do it all in one place.
The MAA has issued a warning about a greenslip scam.
The scam was uncovered after reports from two insurers and involves more than 1,000 ctp greenslip policies. It seems to be centered around the south western suburbs of Sydney.
Under the scam, purchasers are paying cash at inflated prices for greenslips obtained fraudulently. Victims loose their money and do not have a valid greenslip for their vehicle.
When purchasing a greenslip, it is critical to ensure you purchase the greenslip directly from one of the seven licensed insurers or from a reputable broker or agent. The price of the greenslip should be based on your vehicle and your details. If in doubt, contact the insurer to confirm the price and to confirm that the broker or agent is entitled to act for them. Contact details for the insurers are set out on this website.
QBE is no longer offering At-Fault Driver Cover on NSW greenslip policies commencing on or after 1 April 2012.
At-Fault Driver Cover is an additional feature offered now by four of the seven NSW greenslip insurers.
Through At-Fault Driver Cover, insurers offer to pay additional benefits to at fault drivers injured in a motor vehicle accident. The injuries for which a benefit is payable and the benefits vary from insurer to insurer.
A full explanation of At-Fault Driver Cover and an insurer by insurer analysis of the benefits are available on this website.
A review of the Motor Accidents Authority (MAA) was released this week and some parties are not happy with the findings.
The NSW Parliamentary Law and Justice Standing Committee released its eleventh review into the MAA and the Motor Accidents Council (MAC) on Tuesday. A copy of the report is available here.
Amongst other things, the report found that for the last five years there is a gap between the profit insurance companies project for the purpose of setting greenslip premiums and the profit they actually make.
The NSW Bar Association says that this represented a fundamental flaw in the greenslip scheme in NSW and, along with the NSW Greens, has called for an overhaul of the scheme.
The Insurance Council of Australia argues that the higher profits result from fewer claims on the scheme.
There is an interesting article in today’s The Daily Telegraph by Andrew Clennell, titled “Battle of $77 green slip lift”. The article says that the State Government, through the Motor Accidents Authority (MAA), is pushing back on requests by insurers for increased CTP greenslip premiums.
Under the current legislation, the MAA may reject a premium proposed by an insurer if, in its opinion, the premium will not fund liabilities under the scheme, the premium is excessive or the premium does not comply with guidelines issued by the MAA.
If the MAA and the insurer are not able to reach agreement on the premium, the matter may be resolved by an arbitrator agreed on by the parties, or in the absence of agreement on an arbitrator, by the Independent Pricing and Regulatory Tribunal (IPART).
As at June 1998, there were 13 insurers licensed to issue greenslips in NSW. Today there are 7 licensed insurers.
The licensed insurers are AAMI, Allianz, CIC Allianz, GIO, NRMA, QBE & Zurich.
The 7 insurers are controlled by 5 companies. Suncorp owns GIO and AAMI. Allianz also owns CIC Allianz.
In the current debate about insurer profitability we need to keep sight of the fact that the State Government can not afford for any of the current insurers to withdraw from the scheme.
A reduction in the number of insurers, or companies which own them, could reduce competition, placing even greater pressure on greenslip prices.