Do Queenslanders understand CTP?

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Just because you register your vehicle every year does not mean you know all about compulsory third party (CTP) insurance. This is why Motor Accident Insurance Commission (MAIC) regularly surveys Qld motorists and new car buyers to find out how much they understand CTP insurance.

In Qld, CTP is included in the registration fee. Two thirds of motorists pay their fees annually and a quarter pay every six months. Under the Qld scheme, motorists can choose to switch providers when they renew registration.

Intention to switch insurers

A solid 86% of respondents to the MAIC survey knew they had the right to switch insurers. About a third of surveyed motorists have some intention to switch providers in the next 12 months:

  • 17% say they intend to switch
  • 4% say they are very likely to do so
  • 13% are quite likely to switch in the next 12 months.

More than a third of new car buyers say they will consider switching insurers when their renewal becomes due. In fact, 13% of new car buyers say they have already changed their CTP provider since purchasing the car.

What does CTP cover?

Fortunately, 79% of vehicle owners correctly understand CTP insurance covers personal injury for third parties.

Many motorists think comprehensive insurance covers everything, including injuries to everyone involved in an accident. Only a third of respondents knew comprehensive does not include personal injury to the driver or passenger and 11% were unsure about this.

When asked about what matters most to them in CTP, respondents said:

  • An affordable premium
  • All drivers who cause accidents be covered for claims against them
  • Easy dealing with insurer.

What to do next

Check the name of your current CTP provider on your vehicle registration notice. If you want to switch to a new CTP insurer, do this before renewing your registration. If not, your previous insurer will provide CTP cover until the next renewal.

Read more about Qld insurers, or go online to change insurer.