Auto Insurance Coverage Known As CTP Explained
Compulsory Third Party (CTP) car insurance is a mandatory requirement in all states and territories of Australia, but its coverage scope and costs vary significantly across the country. Here's a comprehensive look at the key differences in CTP insurance across Australia.
Coverage Scope
CTP insurance primarily covers compensation for injuries or deaths caused to people, including pedestrians, passengers, cyclists, and other drivers, in road accidents involving your vehicle. It does not cover damage to vehicles or property, theft, or damage to the at-fault driver beyond statutory benefits for up to 12 months, unless a catastrophic injury occurs.
Inclusion in Registration
In many states, CTP is bundled with vehicle registration, while in others, it is purchased separately.
Additional Benefits
Some states or insurers may offer additional optional benefits, such as Driver Protection Cover via NRMA Insurance, but the base statutory cover is consistent as mandated by state legislation.
Cost Factors
CTP costs are influenced by state regulation and legislation, urban vs. rural location, insurer competition, and vehicle use, driver history, and other risk factors.
State-specific Notes
- South Australia: The CTP Insurance Regulator can be contacted at 1300 303 558 or [email protected]. In South Australia, the CTP insurance premium is the same for all insurers, but they can offer incentives such as multipolicy discounts. AAMI, Allianz, NRMA, QBE, and YOUI are the insurers in South Australia. You are covered for medical costs, lost income, and non-economic loss such as pain and suffering. If you have a catastrophic injury, you may be covered under the Lifetime Support Scheme.
- Tasmania: The Motor Accidents Insurance Board (MAIB) is the insurer, and the CTP scheme is no-fault, meaning the driver who is at fault is also protected. The cost of CTP depends on your type of car and where you live, with the 12-month TAC charge for a sedan, station wagon (including 4WD) or related car in 2025 being $587 for high risk, $528 for medium risk, and $458 for low risk. You are covered for medical and disability benefits, income compensation, and fatal injury expenses. The MAIB can be contacted at 1800 006 224 or [email protected].
- Victoria: The Transport Accident Commission (TAC) is the insurer, and the CTP scheme is no-fault. In Victoria, you are covered for medical treatment, travel and accommodation, income support, compensation, and funeral expenses. The cost of CTP depends on your type of car and where you live.
- Western Australia: CTP insurance is called Motor Injury Insurance and is operated by the Insurance Commission of Western Australia. CTP insurance is fault based. You are covered for compensation for pain and suffering, loss of wages, claims management expenses, and care and support such as medical treatment and rehabilitation. If you have a catastrophic injury such as a traumatic brain injury, multiple amputations, severe burns, or a spinal cord injury, you are covered regardless of fault under the Catastrophic Injury Support scheme. The Insurance Commission of Western Australia can be contacted at (08) 9264 3333 or 1800 643 338 (outside Perth metropolitan area) or via online webform.
- New South Wales: The average CTP premium is about $156 per month (varies by insurer and driver profile).
- Queensland: CTP insurance in Queensland is offered by Allianz, QBE, and Suncorp.
- Australian Capital Territory: CTP insurance details can be found on the ACT Government's website.
- Northern Territory: CTP insurance details can be found on the NT Government's website.
For precise premium comparisons or insurer options, users should refer to state-based green slip comparison sites or their relevant state insurance regulatory authority.
- In South Australia, personal-finance matters such as CTP insurance premiums are the same for all insurers, but they offer incentives like multipolicy discounts to help manage costs.
- When it comes to personal-finance considerations for CTP insurance in Tasmania, the cost for a sedan, station wagon, or related car in 2025 varies based on car type and location, with the 12-month TAC charge ranging from $458 for low-risk drivers to $587 for high-risk drivers.
