CTP Insurance in Queensland

What is CTP insurance?

CTP refers to Compulsory Third Party Insurance. As the name suggests, you have to have it—there’s no getting out of it if you’re registering a vehicle in Queensland.

There’s a good reason for this, too. CTP protects you for the legal costs if your vehicle injures anyone else while driving. CTP can protect you from having to pay thousands in medical and legal costs. It also ensures that everyone can get proper compensation if they’re ever injured as the result of a vehicle accident. In short, it’s a handy, little safety net for us all to have in place! 

What does CTP insurance cover in Queensland? 

CTP is the only type of Car Insurance that covers your financial liability for injury to others. This is what you would have to pay if you (or someone else driving your car) injured someone while driving. This can include:

• Passengers in your car 
• Other drivers and their passengers 
• Motorcyclists and their passengers 
• Pedestrians 
• Cyclists 
• Public transport passengers 

CTP goes a long way here. Depending on the circumstances, it can cover a range of costs: medical treatment, rehabilitation, loss of income, cost of care and support services and general damages (pain and suffering), depending on the injury and whether it is serious enough.

In the tragic event of someone dying as a result of a car accident, CTP can also cover funeral expenses and any financial loss that their spouse, de facto partner or dependents suffered due to their death. Each claim gets assessed on a case-by-case basis.

Keep in mind that people won’t be able to make a CTP claim if the accident wasn’t their fault. For instance, if the accident was the injured person’s fault (or nobody’s fault), then they won’t be eligible for a claim.

Three myths about CTP Insurance

Only unsafe drivers need CTP 

Every vehicle on public roads is required to hold CTP. In Queensland, vehicles won’t even be registered without CTP.

CTP covers damage to my car 

Nope! CTP only covers you if you injure someone while driving your car. To cover the repair costs to your car, you’ll need additional Car Insurance.

CTP only applies to cars 

In Queensland, CTP also covers any trailers or caravans attached to your car. So if they accidentally detach and hurt someone, you’ll be covered for their compensation.

How is Queensland different when it comes to CTP?

Queenslanders might consider themselves lucky—and not just because they get to enjoy warmer weather than the rest of Australia. See, every state and territory treats CTP a little differently.  Some states automatically include CTP cover as part of your car’s registration fee. But Queensland drivers are free to choose their own CTP insurance provider at registration time. 

Queensland’s Motor Accident Insurance Commission (MAIC) also sets the range for CTP Insurance prices. Licensed CTP insurers are then allowed to determine their premium rates every quarter within this range.⁸ To take out CTP cover, you simply need to compare your options when renewing your registration, nominate your preferred CTP provider on your registration form or renewal notice and pay your fees. 

Alternatively, you can choose to nominate your preferred CTP provider and pay for this separately before renewing your registration.

Helpful Tip:

It may be beautiful one day and (nearly) perfect the next, but Queensland is also known for its fair share of wild weather. Remember that CTP cover protects people but it won’t look after your car if it’s damaged in a storm or flood, which is why Comprehensive Cover could be worth considering – especially if you’ve got a four-wheel drive with lots of accessories or modifications.

Toby Hagon

Motoring Journalist

Is CTP insurance all you need to be covered in Queensland? 

CTP is the only type of Car Insurance that’s legally required, but it won’t protect you from certain risks. CTP won’t cover the costs if you get into an accident and damage someone else’s car. And it won’t cover your car against fire, theft or vandalism. For this kind of protection, you might want to check out the following policies: 

• Third Party Property: If you have a car accident and crash into someone else’s car or damage their property, then this type of insurance will help cover the costs. It’s a good way to save yourself from having to pay for all the expenses out-of-pocket.
• Third Party Property, Fire and Theft: This gives you the same cover as Third Party Property Insurance. However, your car will also be insured for repairs (or replacement!) if it catches fire or if it gets stolen.  
• Comprehensive: You’ll be covered for everything that comes with Third Party Property, Fire and Theft Cover. Plus, your car will also be covered for repairs if you get into a car accident, or if it’s damaged by hail, storms or floods.

These policies are generally more expensive than CTP Insurance. However, they might also spare your budget from some serious pain later down the track. Just be sure to read the Product Disclosure Statement (PDS) on your policy for a run-down of what kind of exclusions and limits might apply.

Is CTP cheaper than other Car Insurance? 

In short, yes – CTP Insurance will cost you less than other forms of Car Insurance.  But while a third party or comprehensive policy will cost you more, they could potentially save you a lot of money should you need to make a claim.

How can I change my CTP insurer? 

You’ll need to get in touch with one of the four insurers in Queensland that offer CTP and nominate them as your new insurer. This can be done through MAIC’s website.

When can I change my CTP insurer? 

You can also do this at any time, but the switch won’t actually happen until your car registration renews.

What happens to my CTP if I sell my car? 

You will need to transfer your registration when you sell your car. Because the CTP is attached to your registration, it will also be transferred to the new owner. 

How do I make a claim for CTP? 

The injured party will need to lodge a claim through the MAIC’s website or with a paper claim form. The relatives or dependants of someone who suffered a fatal injury can also submit a paper claim form. In both cases, supporting documents—as well as the registration number of the vehicle that caused the crash—will be required.

What documents will I need for a CTP claim? 

Among other documents, you’ll need to provide your proof of identity and a medical certificate. If the crash was not reported to the police, you’ll also need to fill out a Report of Traffic Incident to Police Form and hand it in to the police station.

Can I get any tax credits for CTP in Queensland? 

Some people may be eligible to pay less in tax through a GST tax credit. This won’t be the case if you only use your vehicle for private purposes. However, if you drive a car for business purposes, you might be able to claim the GST you pay on your CTP Insurance as a tax credit. You will also need to complete a Business Activity Statement or be a GST registered entity to be eligible.

Where can I compare Car Insurance policies? 

If you’re looking for a bit of extra protection on top of your CTP Insurance, then iSelect can definitely help you out. With us, you can compare Car Insurance from a range of providers* online. So get started today—a great deal could be waiting for you!