Thanks to reforms to the NSW green slip scheme, most vehicle owners can look forward to a green slip refund from January 2018.
Reform from 1 December 2017
The NSW government has passed legislation to reform the NSW CTP scheme starting on 1 December 2017. The reforms will reduce green slip prices for all vehicle classes except motorcycles.
As some vehicle owners have already paid higher prices under the old scheme, they will get a refund. This will be a percentage of what they overpaid as at midnight 30 November 2017. As a result, the closer to 1 December you bought your green slip, the higher your refund.
Your rego was due 1 June 2017 – you bought your 12-month green slip 6 months before the reforms on 1 December 2017. You will get a refund of 50% of the difference between the old and new scheme prices.
Your rego was due 1 September 2017 – you bought your 12-month green slip 3 months before the reforms on 1 December 2017. You will get a refund of 25% of the difference between the old and new scheme prices.
What about motorcycles?
Under the old scheme, 90% of motorcycle accidents were deemed to be the rider’s fault so they received limited benefits. Under the new scheme, injured motorcycle riders will be entitled to a higher level of benefits, whether at fault or not.
Because of these higher benefits, green slip prices for motorcycles will not reduce and motorcycle owners will not get green slip refunds.
What if I just bought a car?
When you buy a car, the price already includes registration and green slip. However, the owner of the vehicle at midnight 30 November 2017 will receive the refund. If you buy a vehicle but do not transfer ownership by that date, the refund will go to the previous owner.
How and when will I get refund?
The NSW government will claim overpayments from the CTP insurers and then refund you directly from January 2018. People who are owed the most will be refunded first, for example, owners of taxis and fleets. Premiums for taxis are going to fall dramatically under the new scheme.
There is no need to contact your CTP insurer. The NSW government will contact you with details on receiving your refund.
Buy your green slip
If you need a green slip, it will be cheaper in the long run to buy a 12-month green slip and wait for the refund. A 6-month green slip is more expensive under the old scheme. Use the greenslips.com.au calculator to find the cheapest green slip for your vehicle and details.