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July 14th, 2018 by admin

CTP costs called unfair

Memebr for Northern Tablelands Adam Marshall.NORTHERN Tablelands MP Adam Marshall has fired a broadside at the state’s CTP Green Slip insurers during a recent speech in Parliament and called on the state government to reform the sector to provide better value for money to country motorists.
Nanjing Night Net

Mr Marshall told Parliament an overhaul of the Compulsory Third Party Motor Accident Insurance scheme was required to make it fairer and more affordable for country motorists.

“The CTP scheme as it currently stands is the least affordable insurance scheme in our country and we can expect premiums to rise by up to 20 per cent in a few years,” Mr Marshall said.

“Some passenger vehicle owners are paying up to $886 for their premiums now, that’s absolutely not on.

Mr Marshall told Parliament the CTP pricing structure, which returned only 45 cents in the dollar to ordinary motorists when injuredwas unjust, and hitting country taxi drivershardest.

“I have met with taxi drivers and co-operatives in Armidale, Glen Innes, Guyra, Inverell and Moree and their anger and frustration over the current Green Slip scheme has reached boiling point,” he said.

“One of those meetings was with a group of taxi drivers in Moree, led by Carl Brumfield, who has been in the taxi industry for more than 20 years, and Grant Custance and Phil Hardman.

“They told me that in December 2015 the CTP green slip insurance premium on a new vehicle was $3065.76.

“In June this year, just six months later, that had jumped to $3688, and in July,the very next month,that had suddenly risen to $4600.”

Mr Marshall said insurance companies would argue premiums were so high because taxi drivers are approximately 12 times more likely to make a motor accident claim than ordinary drivers.

“But the three taxi drivers I met at that meeting in Moree had collectively been driving cabs for nearly 50 years and not one of them had ever made a claim,” he said.

“Their claim histories don’t bear any resemblance to the risk factor of driving a taxi around those country communities where, on average, they are charging less than $10 a fare.

“Proper reform of the CTP green slip sector will see those taxi drivers, and indeed all country motorists, pay a premium that properly reflects their claim history, their risk factor and the nature of the business, and that they are not judged against accident history or risks in Sydney, Newcastle or Wollongong.

This story Administrator ready to work first appeared on Nanjing Night Net.