A green slip is a Compulsory Third Party (CTP) insurance policy linked to a determined vehicle. The personal injury insurance will cover you or the person driving your vehicle if you or they are the driver at fault in an accident. Under certain circumstances a green slip will provide coverage regardless of which driver is at fault.
The Term “green slip” is a commonly used personal injury insurance, which is also sometimes referred to as a green slip, CTP slips, green slip insurance, CTP and CTP insurance.
Who needs a it?
CTP slips are a legal requirement to drive a vehicle in Australia, they cover persons that are injured or killed in a motor vehicle accident.
A green slip must be provided when registering any motor vehicle in your state. Each state in Australia implements different rules and regulations when it comes to vehicle registration which is also known as REGO.
A CTP slip will only provide insurance coverage if your vehicle is registered. If your vehicle is not registered you may be personally liable for any damages or injuries that you cause in a motor vehicle accident.
What does it cover?
Throughout Australia a green CTP slip provides personal injury insurance for the following:
-your passengers
-other users of the roads, including drivers, passengers, pillion passengers, cyclists, motor cyclists and pedestrians
-injuries or death caused by the use of a trailer
What a green slip does NOT cover?
-damage to other vehicles
-damage to property
-theft of a vehicle
-a driver that is 16 or older and is not seriously injured
When you purchase a CTP slip for your motor vehicle you are participating in two different programs or schemes; the Lifetime Care and Support scheme and the Third-party Insurance scheme. The Lifetime Care and Support scheme is regulated by the Motor Accidents Act 2006 and the Third-party Insurance scheme is regulated by the Motor Accidents Compensation Act 1999.
Who provides green slips?
There are several insurance companies within Australia that are licensed to provide CTP slips. The insurance companies are regulated by the Motor Accidents Authority of each state and must comply with the Motor Accidents Compensation Act 1999.
Rates for green slips are determined by a number of different factors and can vary in price and amount of coverage from one insurance company to another. It is suggested that you request quotes from several different insurance companies to determine which policy is best for you.
Ted Brumby wrote this article to explain in depth the importance of obtaining green slip CTP car insurance in Australia before driving on the highway.
Article Source: http://EzineArticles.com/?expert=Ted_Brumby
Source by Ted Brumby
