Community News

Community invited to have a say on review of CTP Green Slips

The announcement by the NSW Government of a major review of the NSW Compulsory Third Party (CTP) Green Slip Scheme to drive down costs for motorists and better protect those seriously injured in a road accident has been welcomed by Clarence MP, Chris Gulaptis.
Mr Gulaptis said the current scheme is in urgent need of reform to ensure it remains affordable for vehicle owners and delivers the appropriate benefits to injured people in a timely manner.
“Green Slip prices in NSW have skyrocketed and are now the highest in the country with an average of $630 for a standard passenger vehicle. We have seen a 70% rise in premiums since 2008 and without reform, we are likely to see further significant price rises in coming years,” he said.
“This impacts heavily on the family budget each year, especially if a household has two or more vehicles.
“Apart from being expensive, the scheme is also very inefficient with only 45 per cent of the premiums collected being paid to injured people as benefits and some claims taking over five years to resolve.
“We need to ensure more of the money collected through Green Slip premiums ends up where it was intended – in the hands of the most seriously injured road users.
“Currently, only 45% of the premiums collected by the private Compulsory Third Party (CTP) insurers has been paid as benefits to injured people – a staggering figure that shows the urgent need for reform,” Mr Gulaptis said.
The NSW Government has released a CTP Options paper and is seeking public comment. The Options Paper is available at www.sira.nsw.gov.au.
The review focuses on achieving four key objectives:
1 – Increasing the proportion of benefits to seriously injured road users.
2 – Reducing the time it takes to resolve a claim.
3 – Reducing opportunities for claims fraud.
4 – Lowering Green Slip prices.
“I invite residents to visit www.sira.nsw.gov.au to have their say on how we can create a CTP scheme that is more efficient, fairer and sustainable,” Mr Gulaptis said.
The CTP Options Paper is open for feedback until 22 April.

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