Compulsory Third Party (CTP) insurance is paid at the same time as you pay your motor vehicle registration. Just as registration of your vehicle is compulsory, so is CTP insurance.
Importantly, CTP Insurance provides compensation in respect of death or bodily injury caused by or arising out of the use of a motor vehicle where the driver or owner of a South Australian registered vehicle is at fault.
By paying your CTP premium you are protecting yourself from potentially being liable for damages if you cause injury or death to other road users.
Serious injuries can cost many hundreds of thousands in rehabilitation and medical costs so it is important that you as a driver or owner are protected from having to personally cover these expenses.
The scheme does not:
- Provide full compensation to persons who contribute to their injuries, for example, by not wearing a seatbelt.
- Compensate the injured driver who is entirely at fault.
- Cover damage to vehicles.
Third Party means you are protecting yourself from potentially being sued for damages if you cause injury or death to others (third parties). It also means drivers or passengers that are entirely at fault (i.e. the first party) are not eligible for compensation unless they are children under the age of 16.What's the Difference between CTP Insurance and Third Party Property (TPP) Insurance?
CTP Insurance covers personal injury whereas TPP Insurance covers for property damage.