The ACT is the only state or territory in Australia where CTP insurance premiums have gone down. In fact, the cost of living in Canberra may be very favourable. Last year, Canberra ranked first in the world for the quality of its standard of living.
The international database generated by numbeo.com ranked it first for the fifth time, followed by Raleigh in North Carolina and Wellington in NZ.
CTP in Canberra may be more competitive. In 2013, three new entrants began to compete with NRMA in the CTP insurance market – AAMI, APIA and GIO. Between July 2013 until 30 June 2016, average private passenger vehicle premiums fell by nearly $30, or 5%.
Affordability improved in 2014-15 and again in 2015-16, because of these welcome reductions in premiums.
ACT CTP insurers
Since July 2016, not all premiums have gone down:
- APIA stayed at $575
- AAMI remained at $555
- NRMA rose and fell to $550
- GIO fell to $545.
GIO has been the cheapest since September 2015. It is now far below the average passenger vehicle premium in NSW of $700 in Sydney and not far above $480 paid in country NSW.
Perhaps some NSW motorists may be tempted to move to Canberra.