CTP Insurance Northern Territory

In this guide to CTP Insurance in the NT, we’ll go through how it protects you, and explain why it can be well worth the extra cost  to take out additional cover through either a Comprehensive or Third Party Insurance policy. 

What is CTP Insurance? 

In the Northern Territory, CTP Insurance is better known as the Motor Accidents Compensation Scheme,¹ or the MAC Scheme for short. Easy to remember! 

The MAC Scheme is a no-fault scheme, as it provides personal injury cover should you either cause or be involved in a motor vehicle accident that results in injury or death of others.² 

Do I need CTP insurance in NT? 

Yes. As the name suggests, CTP is compulsory and all NT motorists are legally required to have CTP Insurance.  This is the case all over Australia and in most states drivers  are required to pay as part of their vehicle registration costs.³ Rules are rules! 

CTP Insurance plays an important role in ensuring road safety and preventing financial hardship in the event that drivers or passengers are involved in a motor accident. 

NT Motor Vehicle Facts & Figures In March 2023, there were 160,582 active driver’s licences in the NT4  200,462 vehicles were registered in the NT in April 20235  In 2021, the estimated average age of a motor vehicle in the NT was 10 years old6

How does CTP Insurance work in NT? 

The Territory Insurance Office (TIO), which is a division of Allianz Australia Insurance Limited,⁷ manages the MAC Scheme privately on behalf of the Northern Territory Government.⁸ 

Unlike some other states, the MAC Scheme offers 'no-fault' motor accident insurance.⁹ This means that anyone involved in a motor accident can file an accident-related injury claim in NT regardless of who is at fault. 

However, there can be exceptions to this rule, including drivers using a vehicle unlawfully (for example, while drunk-driving) or drivers who were involved in criminal activity.¹⁰ 

What does CTP Insurance cover in the NT? 

The MAC Scheme provides financial compensation for any third parties injured in a motor vehicle accident in the NT, regardless of where their vehicle is registered.¹¹ 

Specifically, the MAC Scheme provides personal injury cover for:¹² 

• Passengers in your vehicle. 
• Other drivers or motorcyclists and their passengers. 
• Pedestrians and cyclists. 

The MAC Scheme provides a range of benefits for injury victims, including covering 'reasonable' expenses for hospital care, medical and dental treatment, rehabilitation services, disability payments and allowance for loss of income.¹³  

TIO handles all claims-related services, from filing the initial claim to organising care with medical providers.¹⁴ 

Who isn’t covered under CTP Insurance in the NT? 

While the ‘Big-MAC’ Scheme offers ‘no-fault’ motor accident insurance, there are still a few exceptions to the rule. These include:¹⁵ 

• Drivers of unregistered vehicles (although passengers are covered by CTP in this instance) 
• Drivers who move to the NT and don’t update their registration within 3 months. 
• Drivers of vehicles including dune buggies, motocross bikes, quad bikes and go-karts. 
• Motor sports and/or high speed test drivers. 
• Drivers who are injured in a motor accident while at work (in this case, drivers could be eligible for Workers Compensation). 

Is basic CTP Insurance all I need in the NT? 

Fair warning: while the MAC Scheme can pay for injury and death claims as a result of a motor accident, it doesn't cover the cost of  car repairs or property damage. Ouch! 

To make sure you don't get hit with a massive repair bill, it could be a good idea to take out additional Car Insurance in the form of Comprehensive or Third Party Property cover. 

While some drivers may try to cut costs by skipping Car Insurance altogether, there are smarter ways to save money. The value of having adequate cover may only become apparent when you're faced with the unexpected and need it most. 

Knowing you’re protected with an appropriate insurance policy could help give you greater peace of mind behind the wheel. 

What's the difference between Comprehensive and Third Party? 

Comprehensive Car Insurance covers your vehicle for collisions, as well as theft, fire, vandalism, weather damage and more.  

In addition to providing the highest level of cover for your vehicle, Comprehensive policies also feature a range of optional benefits. These may include: 

• Hire car reimbursement when yours is being repaired. 
• Towing and roadside assistance for emergencies. 
• Windscreen cover, key replacement and more. 

Third Party Property Insurance is a more basic option, which only reimburses you for damage to other vehicles in the event of an accident.  

You might consider this type of policy if your car is worth very little, but you might want to make sure that you're not stuck paying the repair bill for someone else's vehicle. Especially if that other vehicle happens to be a Tesla!  

Whichever option you choose, taking out cover in addition to your CTP Insurance can definitely be well worth your while (and extra cash). Without it, you could be taking a big financial risk every time you get behind the wheel! 

Looking for car insurance options? 

Start comparing a range of Comprehensive Car Insurance policies online, or call 1800 784 772 and let us try and help you find Car Insurance with the features you want at a price that fits your budget. 

^{Sources:
1 NT Motor Accidents Compensation Commission - About MAC 
2 As above. 
3 Moneysmart - Choosing car insurance 
4 Northern Territory Government Department of Infrastructure, Planning and Logistics - Road Safety NT, Driver licensing and registration statistics 
5 As above.
6 Australian Bureau of Statistics - Motor Vehicle Census Australia 2021, data downloads, table 3.
7 TIO - About TIO
8 TIO - Motor Accidents Compensation Scheme
9 As above. 
10 NT Motor Accidents Compensation Commission - Who is covered? 
11 As above. 
12 TIO - Motor Accidents Compensation Commission 
13 NT Motor Accident Compensation Commission - MAC Scheme Benefits 
14 TIO - Motor Accidents Compensation Scheme 
15 NT Motor Accidents Compensation Commission - Who is not covered?}