CTP Insurance & Green Slips: How Compulsory Third Party Works in Every State
Compulsory Third Party (CTP) insurance — the green slip in NSW — is the one form of car insurance every Australian driver must have. It's also the most misunderstood: CTP covers people, not property. This page explains exactly what it does, and how the scheme works in each of the eight states and territories, with links to every regulator.
What is CTP insurance?
CTP is mandatory injury insurance attached to your vehicle's registration. If you're at fault in an accident, it pays medical, rehabilitation and (in defined cases) lost-income costs for people injured — other drivers, passengers, pedestrians, cyclists. Without valid CTP you cannot legally drive on public roads.
What CTP does not do is just as important:
- It does not cover damage to your own vehicle.
- It does not cover damage to other people's vehicles or property.
- It generally does not cover your own injuries as the at-fault driver (some no-fault schemes provide defined benefits regardless of fault — see the state notes below).
For property damage you need at least third party property damage cover on top of CTP. The SIRA NSW green slip FAQ spells out this distinction clearly.
How does CTP work in each state and territory?
In Victoria, WA, Tasmania and the NT, CTP is included in your rego fee under a single scheme. In NSW you buy a green slip separately before registering. In Queensland, SA and the ACT, it's paid with rego but you can choose which approved insurer provides it.
| State | How you buy it | Choice of insurer? | Scheme / regulator |
|---|---|---|---|
| NSW | Separate "green slip" before rego | Yes | SIRA NSW |
| VIC | Included in rego | No | Transport Accident Commission (TAC) |
| QLD | With rego | Yes | Motor Accident Insurance Commission (MAIC) |
| SA | With rego | Yes | CTP Regulator SA |
| WA | Included in rego | No | Insurance Commission of WA (ICWA) |
| TAS | Included in rego | No | Motor Accidents Insurance Board (MAIB) |
| ACT | With rego | Yes | ACT Motor Accident Injuries Commission |
| NT | Included in rego | No | Motor Accidents Compensation Commission (MACC) |
New South Wales — the green slip
NSW is the only state where CTP is bought as a separate product before you can register the vehicle. Prices differ between the approved insurers, so it's worth comparing — the regulator's official Green Slip Price Check compares every insurer's price for your vehicle. The scheme is overseen by the State Insurance Regulatory Authority (SIRA).
Victoria
CTP is built into your rego fee and managed by the Transport Accident Commission (TAC). Victoria runs a no-fault scheme: defined benefits for treatment and support are available to people injured in transport accidents regardless of who caused them.
Queensland
CTP is paid with rego, but you choose which licensed insurer provides it when you register or renew. The scheme is overseen by the Motor Accident Insurance Commission (MAIC), whose explainer on what CTP covers sets out the basics. Queensland runs a fault-based scheme, so entitlement generally depends on another driver being at fault.
South Australia
Like Queensland, you pick your CTP insurer at registration — every insurer offers identical policy cover, so service is the differentiator. The CTP Regulator SA publishes a premium calculator and claimant service ratings; SA.GOV.AU has the registration detail.
Western Australia
CTP is included in rego and administered by the Insurance Commission of Western Australia (ICWA), which also runs a Catastrophic Injuries Support Scheme covering catastrophically injured people regardless of fault.
Tasmania
CTP is part of the rego fee, managed by the Motor Accidents Insurance Board (MAIB) — a no-fault scheme paying defined medical and income benefits. The Department of State Growth lists the current premiums.
Australian Capital Territory
The ACT replaced CTP with a Motor Accident Injuries (MAI) scheme in February 2020, purchased with rego from a choice of licensed insurers. It pays treatment, care and lost-income benefits for up to five years regardless of who was at fault — the MAI Commission explains how your cover works, and Access Canberra handles registration.
Northern Territory
CTP is included in rego under the Motor Accidents Compensation Scheme — see the NT Government overview and the Motor Accidents Compensation Commission.
Is CTP enough on its own?
Legally, yes. Financially, rarely. CTP leaves you personally liable for every dollar of property damage you cause — and repair bills for a modern car, let alone a truck or a building, can be crippling. Most drivers should carry at least third party property damage cover on top.
Where to next: compare the optional levels in comprehensive vs third party, or see what drives the price of the optional covers.
How do you claim on CTP?
CTP claims are injury claims, and they run on a different track from vehicle damage claims. Report the crash to police, see a doctor and get the injury documented early, then lodge with the relevant scheme authority or insurer within your state's time limit — commonly within months, not years, for the initial notification.
The mechanics differ by state, but the sequence is broadly consistent:
- Police report. Required in most schemes, and always useful. Get the event number.
- Medical attention promptly. Contemporaneous medical records are the backbone of an injury claim. A gap between the crash and the first consultation is the single most common reason a claim is contested.
- Lodge the notification form with the CTP insurer of the at-fault vehicle, or with the scheme authority where the state runs a central scheme.
- Early treatment and income support. Several schemes pay reasonable treatment costs and some income loss before liability is finally determined — that's the point of the no-fault elements added to most schemes over the past decade.
- Assessment of ongoing entitlement, which may involve independent medical examination and, in the larger schemes, an impairment assessment that determines access to lump-sum damages.
Time limits are strict and vary by jurisdiction. If you are injured, get the notification in early even if you're unsure of fault — lodging preserves your position.
Fault, no-fault and what each scheme actually pays
Australian CTP schemes fall into two broad families, and which one you're in changes what an injured person receives:
| Scheme type | How it works | Typical jurisdictions |
|---|---|---|
| Common law / fault-based (with no-fault elements) | Full damages available where another party was at fault; defined benefits paid regardless of fault for a limited period | QLD, NSW, SA, ACT, WA, TAS (varies in detail) |
| No-fault / defined benefit | Treatment, care and income support paid regardless of who caused the crash; access to common law damages restricted or removed | VIC and NT operate strong no-fault models; NSW and ACT include substantial no-fault components |
The practical consequence: in a strongly no-fault scheme, an at-fault driver who is injured still receives treatment and income support. In a predominantly fault-based scheme, an at-fault driver may receive much less, or only a limited period of statutory benefits. Because the detail changes with legislative reform, always confirm current entitlements with your state's scheme regulator — each is linked in the state sections above.
Hit by an unregistered or unidentified vehicle
Every Australian jurisdiction has a fund of last resort — generally called the Nominal Defendant — that stands in the place of the CTP insurer when the at-fault vehicle was unregistered, or cannot be identified (a hit-and-run). Injury claims can still proceed against it.
Two conditions matter. First, the time limits are typically tighter than ordinary CTP claims for unidentified-vehicle claims. Second, you're expected to have made proper enquiry to identify the vehicle — which in practice means reporting to police promptly, canvassing witnesses and seeking any available footage. Note this covers injury only; damage to your car from an unidentified driver is a matter for your own comprehensive policy, as explained in our claims guide.
CTP, registration and the gap people miss
Because CTP is attached to registration, letting registration lapse removes the compulsory injury cover with it — and driving unregistered is both an offence and, in most policies, an exclusion that voids your other motor cover at the same time. An expired rego can therefore convert a minor collision into an uninsured catastrophe on three fronts simultaneously: no CTP, no comprehensive, and personal liability for the other party's damage. Diarise the renewal.
Frequently asked questions
What is CTP insurance?
Compulsory Third Party (CTP) insurance is the legally required minimum car insurance for every registered vehicle in Australia. It covers personal injuries to other people — other drivers, passengers, pedestrians and cyclists — if you cause an accident. It does not cover damage to any vehicle or property.
Is a green slip the same as CTP?
Yes. 'Green slip' is simply the New South Wales name for CTP insurance, because of the colour of the original form. In NSW you buy it separately before you can register the vehicle; most other states include CTP in the registration fee.
Does CTP cover damage to my car or the other driver's car?
No. CTP covers injuries to people only. Damage to vehicles or property — yours or anyone else's — needs third party property damage, third party fire and theft, or comprehensive car insurance on top of CTP.
Do I choose my own CTP insurer?
Only in some states. NSW, Queensland, South Australia and the ACT let you choose between approved CTP insurers. In Victoria, Western Australia, Tasmania and the Northern Territory, CTP is built into your registration with a single government-run scheme.