How to get the best Green Slip in NSW
Compulsory third party insurance (CTP), known as a Green Slip in New South Wales, is mandatory car insurance that you must take out when registering a vehicle. If you injure someone else while driving anywhere in Australia, it will cover the costs of the medical and legal fees associated. However, if you were at fault for the accident, it will only cover you partially or potentially not at all. Read on to find out how to get the cheapest possible CTP insurance in NSW, or find out how it works in your state if you live elsewhere.
Only six insurers in NSW offer Green Slips, and with a few exceptions all are exactly the same, although the prices will vary. This means you can often get the best possible CTP insurance simply by comparing six options and picking the cheapest.
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How do I get the cheapest NSW CTP insurance?
Comparing NSW CTP Green Slips is easy for three reasons:
- There are only six companies in NSW that offer Green Slips.
- All CTP insurance policies are exactly the same, unless you get the extra at-fault cover, which is available from three of the companies.
- Green slip prices are regulated, and will always be affordable.
|Company||Offers at-fault cover?|
All standard Green Slips without at-fault cover will always be exactly the same, with the only difference being the price. Each company has different ways of calculating premiums, so what’s cheapest for one person might not be the cheapest for someone else.
To get the cheapest possible NSW CTP insurance, compare quotes from all six providers and choose the most cost-effective.
What is at-fault cover?
At-fault cover is an optional extra available from Allianz, GIO and NRMA. It’s different from standard CTP insurance because it also covers your own medical expenses if you are found to be responsible for the accident. Certain exclusions apply to purchasing at-fault cover.
|Allianz||Motorbikes, drivers under the age of 25, goods-carrying vehicles with a gross vehicle mass greater than 4.5 tonnes, vehicles that are ten or more years old at the time you get the Green Slip.|
|GIO||Motorbikes, drivers under 25 (unless they have comprehensive car insurance with GIO), goods-carrying vehicles with a gross vehicle mass greater than 4.5 tonnes.|
|NRMA||Motorbikes, drivers under 25, goods-carrying vehicles with a gross vehicle mass greater than 4.5 tonnes, Green Slips issued on a quarterly or six month basis.|
To get the most comprehensive NSW CTP insurance, compare the at-fault driver policies of Allianz, GIO and NRMA.
How to buy a green slip?
In NSW, you can purchase CTP insurance, or a Green Slip, from licensed insurance companies. Some of these companies will permit certain insurance agents to sell Green Slips in their name.
To buy a Green Slip, you will have to provide the insurer or the agent with the following information:
- Your vehicle's make, model and manufacturing year
- The postcode of where you garage your vehicle
- Whether you use your vehicle for personal reasons or for business
- How old you are and the age of anyone else who may drive your vehicle
- Details of any accidents you have been involved in as well as your insurance and claims history
- Details pertaining to your driving record, including information on your driver's licence
Ensure that all the details you provide are correct. If your Green Slip premium is calculated to be lower than it should because of false information, the insurance company will demand that you pay the difference. If you don't, you could lose your vehicle registration.
What does NSW CTP insurance cover?
If you cause a vehicle accident that injures or kills someone else, CTP insurance will ensure that they receive compensation. If another driver causes an accident that injures you, you’ll receive compensation from their insurance. This covers passengers, cyclists, motorcyclists, pedestrians and other motorists. Trailers are also covered by the Green Slip of the vehicle that is towing it.
The guilty party in the accident will generally not have their injuries paid for unless they have the optional extra at-fault cover. A standard Green Slip does not cover:
- Any damage incurred by your vehicle
- Any damage incurred by the vehicles of other people
- A stolen vehicle
- The guilty driver, unless they’ve suffered a catastrophic injury in accordance with the definition laid out in the Lifetime Care & Support Scheme below
CTP insurance benefits for at-fault drivers
The Lifetime Care and Support Scheme offers compensation to people who suffer catastrophic injuries in a motor vehicle accident regardless of who was at fault. The scheme clearly defines what represents a catastrophic injury and includes things like spinal cord damage, brain injury, serious burns, complete loss of vision, multiple amputations and more.
The Lifetime Care and Support Scheme was created because people who suffer devastating injuries in car accidents can sometimes need treatment, help and attendant care for their whole life.
Funding for The Lifetime Care and Support Scheme comes from Insurance and Care NSW (iCare), which also funds hospital and ambulance expenses for car accident victims. This appears as a separate entry on your Green Slip payments. It’s called the MCIS Levy, and the amount it costs you is based on a percentage of your Green Slip payments, modified by factors like where you live and what kind of vehicle you drive.
Here’s how the MCIS Levy is calculated in NSW by location and vehicle type:
|Vehicle Type||Sydney Metropolitan||Outer Metropolitan||Newcastle/Central Coast||Wollongong||Country|
|Light-goods transport vehicle (up to 4.5t GVM)||34.44%||34.46%||33.58%||32.04%||36.24%|
Changes to CTP insurance in NSW
The CTP insurance scheme ensures that people who are injured or killed in a motor vehicle accident can receive compensation irrespective of the financial situation of the owner of the vehicle or the person driving it.
The compensation offered covers both economic and non-economic loss, meaning that hospital, medical and rehabilitation expenses as well as loss of income will be covered, as well as any pain, suffering and loss of quality of life. The level of compensation available is limited and there are a lot of factors that will determine exactly how much someone will be awarded.
Originally CTP insurance was created in such a way that the guilty driver was not entitled to receive any form of compensation, but fortunately there have been some changes since then.
Regardless of who the guilty party is, or whether there was no one at fault, all drivers are entitled to certain protections under CTP insurance.
- Special children's benefit. Children younger than 16 can apply for this benefit and be compensated for injuries, even if they were the cause of the accident as a passenger or unlicensed driver.
- Blameless accidents. These include accidents caused by drivers who suffered the sudden onset of an illness or medical issue such as a heart attack, collisions with animals that could not be avoided and inexplicable mechanical problems. This lets people injured or killed by such accidents claim compensation.
- Bulk billing arrangements. Hospital care, ambulance transport and any other treatments needed for the guilty driver are funded by the insurance policy, just like for any other person that was injured in the accident.
- Accident notification provisions. The guilty party can now receive up to $5,000 to cover treatment and loss of income by lodging an Accident Notification Form.
Despite the changes that were made to the scheme, the person to blame is still not entitled to receive all the benefits that the other parties have access to. The guilty party cannot file a claim for:
- Any expenses over $5,000 incurred in a medical facility that is not a public hospital, connected to medical treatment, pharmaceuticals and rehabilitation
- Attendant or respite care
- Changes to their residence
- Benefits to cover loss of quality of life, pain and suffering
- Past loss of income that is over the $5,000 ANF limit
- Future loss of income
How are CTP insurance prices determined?
The six licensed CTP insurance companies choose their own premiums, but are required to keep prices within a certain range. To determine how much you will be charged they consider the following factors:
- Your accident history
- How old the all the regular drivers of your vehicle are
- How old your vehicle is
- Whether you have comprehensive insurance or third party property insurance
- Whether your vehicle is being used for personal or business purposes
- Whether you are renewing your Green Slip or purchasing a new one
The insurers are permitted to offer discounts or to impose loadings if they feel it is necessary, however, they must stick within certain limits determined by the government. These discount and loading levels differ from one insurer to the next, which is why NSW Green Slip providers have different prices even though their policies are the same.
Green Slip price guide according to postcode
Depending on where your car is garaged on a regular basis, you’ll fall into a different category determined by your area’s postcode.
|Green Slip price guide zone||Postcodes|
|Metropolitan||1001 to 2082, 2084 to 22342555 to 2559, 2561 to 25672745 to 2749, 2751, 2759 to 2770|
|Outer Metropolitan||2568 to 2574, 2752, 2754 to 27552757 to 2758, 2773 to 2786|
|Wollongong||2500 to 2526, 2530|
|Newcastle/Central Coast||2250 to 2309, 2314 to 2327|
|Country||2311 to 2312, 2328 to 24902527 to 2529, 2532 to 25512575 to 2739, 2787 to 2899|
|Postcode and zone||Suburbs excluded|
|2083, Metropolitan||Mooney Mooney, Cheero Point, Bar Point, Milsons Passage and Cogra Bay are classified as Newcastle/Central Coast|
|2560, Metropolitan||Appin is classified as Outer Metropolitan|
|2750, Metropolitan||Emu Plains and Leonay are classified as Outer Metropolitan|
|2753, Metropolitan||Bowen Mountain, Grose Vale, Grose Wold, Yarramundi and Yarramundi Falls are classified as Outer Metropolitan|
|2756, Metropolitan||Colo, Ebenezer, Freemans Reach, Glossodia, Lower Portland, Wilberforce and Sackville are classified as Outer Metropolitan|
Green Slips for motorbikes
Motorcycles are divided into one of five classes based on their engine capacity ranges:
- Up to and including 225cc
- 226cc to 725cc
- 726cc to 1,125cc
- 1,126cc to 1,325cc
- 1,325cc and greater
More powerful engines carry higher insurance premiums, while your geographic region, personal circumstances and driving history are also factored in.
None of the six Green Slip providers offer at-fault cover for motorcycles, so all your CTP options are exactly the same. This means you should compare them by price alone to find the best deal.
Green slips for trucks
Trucks and buses are also required to have CTP insurance. The NSW Green Slip calculator can provide easy quotes for trucks with a gross vehicle mass of up to 4.5 tonnes. If your truck is heavier than this, or you drive a passenger-carrying bus, you will need to get quotes directly from each of the six Green Slip providers to find the best policy for you.
Green slips for taxi and Uber drivers
Because taxis carry a lot of passengers they have much higher CTP insurance costs than personal vehicles, costing roughly ten times as much. Drivers for Uber and other rideshare services, meanwhile, do not currently have any inflated or additional CTP insurance costs.
However, this is likely to change as legislation is considered to ensure drivers who work for rideshare services like Uber disclose this job to their insurer. In the near future, you should expect Green Slip costs to decrease for taxis and increase for Uber drivers.
Green Slips for pensioners
In NSW there are no pensioner concessions for Green Slips, but there are sharp discounts on the cost of vehicle registration. To get the best value pensioner Green Slip you will need to compare quotes from all six NSW CTP insurance companies.
To get free vehicle registration you must have valid NSW pensioner identification and a Green Slip. Simply apply with these as usual for no registration fees. This is only available for one vehicle at a time per person.
Green Slips for younger drivers
Young drivers have some of the highest Green Slip costs. Being less experienced and, statistically, more prone to risk-taking, they have higher accident rates than most other drivers and therefore also get higher premiums.
Fortunately, the costs will never be unaffordably high. Australia’s six CTP insurance companies are not allowed to set Green Slip premiums above a certain level. Because it’s mandatory, it must always be affordable.
To find the best and the cheapest NSW Green Slips for younger drivers, get quotes from all six Australian CTP insurance companies, then simply pick out the cheapest for you.
How are CTP prices regulated in NSW?