This annual report will be presented to Parliament to meet the statutory reporting requirements of the Compulsory Third Party Insurance Regulation Act 2016.

This report is verified to be accurate for the purposes of annual reporting to the Parliament of South Australia.

Kim Birch
Chief Executive & CTP Regulator

From the Chief Executive

This past year we have continued our focus on increasing scheme transparency and delivering improvements to the usability, experience, and efficiency of the scheme for injured road users and motorists.

As the scheme matures, we have conducted the first review of scheme efficiency, evaluating the proportion of CTP premiums returned to injured people through claimant benefits. The findings, published in August 2022, provide information on the scheme’s performance

We implemented new injury and fatality claim forms following a comprehensive consultative review including co-design of the forms. The review was principles based with the forms designed to simplify the claims process, reduce barriers to lodgement, and provide appropriate information to expedite claim processing and treatment funding. Since implementation, there have been notable improvements in lodgement and treatment timeframes.

In preparation for further scheme improvements, we have conducted in depth surveys with injured people to understand their experience at claim milestones. These surveys provide insights into key areas for the Regulator, CTP Insurers, and other stakeholders to focus their attention for improvement and provide benchmarks to measure the impact of the new claim forms at the point of lodgement.

We have enhanced our data collection systems to improve our ability to benchmark insurers and help to identify scheme efficiency opportunities. Much of the data collected is collated and published in the Scheme Data Dashboard which is updated annually. The dashboard is one of the ways information is provided to the public about the scheme.

We are continuing to develop our regulatory mechanisms to adapt to changes in the market. We have amended the Regulator Rules to reflect changes in the claim forms, maintain alignment with national regulatory standards and reduce unnecessary costs on the scheme. Additionally, as insurers have demonstrated satisfactory obligation compliance and performance, the audit program is now biennial to reflect the reduced risk profile and improved control environment.

In 2021-22 the Regulator team also prepared for the entry of Youi, a new CTP Insurer from 1 July 2022. The addition of a new insurer provides further choice for motorists.

Over the coming year we will complete a review of elements of the competition model implemented in 2019 and continue our customer-centric focus on improvements to the scheme for injured people and motorists.

Finally, I thank the CTP Regulator team for their ongoing commitment to improve the Scheme through our values: outcomes driven, fair, collaborative, accountable and supportive.

Kim Birch, Chief Executive and CTP Regulator

Overview: about the CTP Regulator

The CTP insurance scheme is governed by South Australian legislation in the following Acts of State Parliament: Motor Vehicles Act 1959 (MV Act), Civil Liability Act 1936 and Compulsory Third Party Insurance Regulation Act 2016 in addition to contracts between the State and CTP Insurers

The CTP Regulator oversees the scheme and regulates the government approved insurers (CTP Insurers), AAMI, Allianz, QBE, SGIC (NRMA Insurance as of 1 July 2022), and Youi (from 1 July 2022). Fundamental aspects of the scheme are to support the recovery of people injured in motor vehicle accidents and provide a compulsory Policy of Insurance (policy) to protect motor vehicle owners against the financial impact of causing personal injury or death to other road users through the use of their vehicle anywhere in Australia.

CTP insurance premiums provide cover under the policy. The policy is attached to the vehicle, not an individual. The minimum terms and conditions of the policy, set by the Regulator are available on the Regulator’s website www.ctp.sa.gov.au.

Motorists actively choose their CTP Insurer based on a number of factors including brand, service, price, and approved incentives. The CTP Insurers underwrite the South Australian scheme and manage the claims against the policy.

In South Australia, claims for compensation under the scheme are fault-based common law claims modified by statute, primarily the Civil Liability Act 1936. This means injured road users may be eligible for injury recovery support, payment of reasonable and necessary treatment, and compensation when another party is at fault or partially at fault. Access to compensation requires the injured person to meet thresholds depending on the seriousness of the injury.

Nominal Defendant claims arise when the vehicle responsible for a motor vehicle accident in South Australia that results in injuries or death to other road users is either uninsured or unidentified. The Regulator is appointed as the Nominal Defendant under Part 4 of the MV Act. The Regulator assigns management of Nominal Defendant claims to the CTP Insurers in line with their market shares.

The scheme also provides reasonable and necessary treatment, care, and support for children under the age of 16 years injured in an accident on South Australian roads, regardless of whether the child or a South Australian registered motor vehicle was at fault.

The CTP scheme is complemented by the Lifetime Support Scheme which operates separate to the CTP scheme. The Lifetime Support Scheme is a no-fault scheme which provides treatment, care and support for people who have sustained very serious lifelong injuries in motor vehicle accidents in South Australia.

The Regulator is established as an independent statutory authority under the Compulsory Third Party Insurance Regulation Act 2016 (the Act). The Regulator’s functions are set out in section 5(1) of the Act.

The Regulator is responsible for:

  • monitoring and reviewing the operations and efficiency of the CTP scheme
  • oversight, monitoring and reporting of CTP Insurer activities
  • ensuring a fair and affordable scheme is maintained
  • continuing to improve scheme outcomes for injured people
  • determining the minimum terms and conditions of the CTP insurance policy
  • determining CTP premiums
  • providing information to consumers about the scheme and CTP insurers.

Deliver a high performing competitive CTP scheme that offers choice, ease, and confidence to the South Australian community.

To provide community confidence in the scheme by regulating CTP Insurers and monitoring the performance of the CTP Scheme.

Our valuesWhat this means for us
Outcomes driven

  • We look for practical solutions
  • We are decisive in our approach
Accountable

  • We do what we say we will do
  • We act in the best interests of the scheme
Collaborative
  • We listen to, and inform our community
  • We work together to bring positive change
Fair

  • Our practices reflect and uphold our independence
  • We make evidence based decisions
Supportive
  • We provide quality customer service
  • We respect the diversity of the people we serve

The Regulator is appointed as the Motor Accident Injury Accreditation Scheme (MAIAS) Administrator by the designated Minister under section 76 of the Civil Liability Act 1936. The MAIAS Administrator has administrative and financial responsibility of the MAIAS which was established to accredit health professionals to undertake Injury Scale Value (ISV) medical assessments.

An ISV medical assessment is used to assist in determining an injured road user’s entitlement to compensation by assigning referred injuries to ISV item numbers listed in Schedule 1 of the Civil Liability Regulations 2013. The ISV is a number between 0 and 100 that reflects the level of adverse impact of the injury on the person, based on medical evidence.

The MAIAS Administrator uses the MAIAS Rules to oversee the performance of the medical practitioners. The Rules prescribe the regulatory and service standards required for medical practitioners to achieve and maintain accreditation

The key objective of MAIAS is to create an independent system that provides consistent, objective, and reliable ISV medical assessments. As administrator of MAIAS, the Regulator’s responsibilities include but are not limited to:

  • prescribing the processes and documentation of the MAIAS including accreditation training courses and overseeing their implementation
  • supporting Accredited Medical Practitioners (AMPs) and monitoring their performance to verify conformity with accreditation obligations
  • making recommendations to the Minister for approval of applicants who meet the accreditation criteria
  • maintaining and keeping an up-to-date register of all AMPs
  • continuing oversight of the MAIAS

During 2021-22 the following changes were made to the Regulator's structure.

  • The Executive General Manager has been replaced by the Director, Strategy and Governance with the functions of scheme performance (claims performance) and risk and compliance transferring to the portfolio of the Director, Analytics and Performance.
  • The Director Analytics and Finance has been replaced by the Director, Analytics and Performance with the function of premiums and finance transferring to the portfolio of the Director, Strategy and Governance.

Kim Birch is the CTP Regulator (Regulator) and Chief Executive (CE), responsible for carrying out the functions of the Regulator and the CE as determined by the Compulsory Third Party Insurance Regulation Act 2016. The Regulator is also the Motor Accident Injury Accreditation Scheme (MAIAS) Administrator under the Civil Liability Act 1936.

Ivan Lebedev is the Director, Analytics and Performance, responsible for information systems, data analytics, monitoring the scheme, CTP Insurer performance and risk and compliance.

David Price is the Director, Strategy and Governance, responsible for scheme research and policy, providing information to motorists, overseeing corporate functions including finance, and the process of determining premium ranges for premium classes

  • Compulsory Third Party Insurance Regulation Act 2016
  • Part 4, Motor vehicles Act 1959

The Regulator has a service level agreement with the Department of Treasury and Finance (DTF) for the provision of corporate services to keep administration costs down and support the effective functioning of the Regulator’s office.

Our significant relationships to support scheme efficiency and administration are with:

  • Departments for Infrastructure and Transport to the collection and disbursement of CTP premiums
  • Lifetime Support Authority and ReturntoWorkSA to improve recovery outcomes for injured people
  • Australian Prudential Regulation Authority to monitor the financial stability and solvency of the CTP Insurers.

In 2021-22 the Regulator had Memorandums of Administrative Arrangement (MoAAs) with government agencies to provide the following services to the scheme:

  • Road safety: Department for Infrastructure and Transport and South Australia Police
  • Health and Emergency Services: Department for Health and Wellbeing;  SA Ambulance Service; State Rescue Helicopter Service; Forensic Science SA (on behalf of the Attorney-General’s Department)
  • Customer support and transaction processing: Department for Infrastructure and Transport

Continuing the cooperation between the Regulator and other government agencies, the MoAAs were renegotiated and renewed in June 2022 to maintain scheme services beyond June 2022.

MoAAs are funded from the administrative component of CTP premiums, collectively known as the CTP Scheme Services fee. The CTP Scheme Services fees are detailed on page 25.

The Regulator's performance

In 2021-22 the Regulator continued to deliver on its strategic objectives to support the efficiency of the CTP scheme. Highlights include:

  • Conducted insurer audits to monitor compliance of CTP Insurers with contractual and legislative obligations using the compliance framework. The framework is risk based, targeting areas of highest priority for the scheme. See page 17 for more detail.
  • Analysed the efficiency of the scheme, looking at the proportion of CTP premiums that is returned to injured people. See page 19 for more detail.
  • Implemented new injury and fatality claim forms including an online format with electronic lodgement. The new claim forms were the result of a substantial review process which involved user experience testing with injured people with CTP claims and road users, and extensive consultation including with CTP Insurers, medical and legal stakeholders. See page 19 for more detail.
  • Enhanced data collection systems to improve the Regulator’s ability to benchmark insurers with the rest of industry and help to identify scheme efficiency opportunities. See page 22 for more detail.
  • Conducted surveys with injured people to gain insight into the claim experience at key milestones through the life of a claim. See page 20 for more detail.
  • Prepared for a new CTP Insurer to enter the scheme from 1 July 2022. Following a rigorous application and approval process Youi was found to meet legislative and contractual requirements needed of CTP Insurers. The Regulator is satisfied they have the systems, processes, and people to manage CTP insurance policies and claims of eligible, injured road users. The addition of a new insurer means increased choice for motorists.
  • Developed a protocol which establishes a process for communication interactions between CTP Insurers and the Lifetime Support Authority to support a smooth transition for people who have been seriously injured in motor vehicle accidents in South Australia moving between the CTP scheme and the Lifetime Support Scheme.

The Regulator’s strategic objectives support delivery of statutory functions under section 5 of the Compulsory Third Party Insurance Regulation Act 2016.

The Regulator’s performance against strategic objectives is summarised below.

Performance indicator Target dateOutcome
Objective 1: Oversee a financially sustainable, efficient and effective scheme
Premium bands set for each premium class May 2022 Achieved
Negotiate Memorandums of Administrative Arrangement with SA Police and Dept. for Infrastructure and Transport, the Attorney-General's Department, SA Ambulance Service, and various Local Health Networks June 2022 Achieved
Plan and prepare the scheme for automated vehicles and participate in the ‘Across Government Automated Vehicle Reform Working Group’ June 2022 National timeline extended to June 2026
Plan for scheme competition model review in 2022 (see page 19) June 2022 Achieved
Objective 2: Promote an outcome driven, early recovery and service focused approach to claims management
Implement revised claim forms (see page 19) November 2021 Achieved
Introduce a prescribed medical certificate (see page 19) November 2021 Achieved
Introduce a survey process to measure claimants' experiences (see page 20) August 2023 On track
Objective 3: Meet our regulatory and statutory obligations
Enhance website content and experience for stakeholders (see page 17) June 2021 Achieved
Plan for Accredited Medical Practitioner (AMP) accreditation in 2022 (see page 23) September 2022On track
Develop new CTP Claims Register (see page 22) June 2022Achieved
Enhance scheme data collectionJune 2023 On track
Maintain a sustainable MAIAS quality assurance (QA) program (see page 23)June 2022 Achieved
Enhance MAIAS accredited medical practitioners’ training and accreditation materials and delivery (see page 23)August 2022On track
Embed MAIAS Quality Assurance program review recommendations March 2023 On track
Maintain Regulator Rules that are current and appropriate for the scheme June 2022 Achieved

Objective 4: Enhance the capability of our team to lead the delivery of our vision and mission

Capacity building placement for people with disability (see page 13)February 2022Achieved

The Regulator successfully completed the pilot work placement program to build capacity of people with disability which began in 2021. The program aims to support strengthening capability and confidence to enable the participant to compete in the jobs market. The pilot was a success for the Regulator team and the participant who secured employment in the private sector at the end of the program. The program will resume with a new participant joining the Regulator team. The learnings from the pilot provided a blueprint to share with government agencies for similar programs in the future.

Regulator staff access Department of Treasury and Finance’s (DTF) performance discussion and development systems. All staff have performance discussion plans in place that are reviewed every six months.

Regulator staff are employed by Department of Treasury and Finance (DTF) and seconded to the Regulator. Regulator staff access DTF’s work health, safety and return to work programs.

Regulator staff’s work health and safety breaches, workplace injury claims, notifiable incidents or improvement and prohibition notices are recorded and reported in the DTF annual report.

Executive classificationNumber of Executives
SAES Level 1
2
SAES Level 2
1

The Office of the Commissioner for Public Sector Employment has a workforce information page that provides further information on the breakdown of executive gender, salary and tenure by agency.

Financial performance

The following is a brief summary of the overall financial position of the agency. The information is unaudited. Full audited financial statements for 2021-2022 are attached to this report.

Statement of Comprehensive Income
2021-22 Budget
$000s
2021-22 Actual
$000s
Variation
$000s

Past year
2020-21 Actual
$000s
Total Income
63,855
65,638
1,783
80,786
Total Expenses
64,212
65,979
1,767
63,327
Net Result
(357)
(341)
16
17,459
Total Comprehensive Result
(357)
(341)
16
17,459
Statement of Financial Position2021-22 Budget
$000s
2021-22 Actual
$000s
Variation
$000s

Past year
2020-21 Actual
$000s
Current assets42,009
41,829
(180)
42,366
Non-current assets18
134
116
19
Total assets
42,027
41,963
(64)
42,385
Current liabilities
8,010
7,895
(1115)
8,011
Non-current liabilities
448
483
35
448
Total liabilities
8,458
8,378
(80)
8,459
Net assets
33,569
33,585
16
33,926
Equity
33,569
33,585
16
33,926

The following is a summary of external consultants that have been engaged by the agency, the nature of work undertaken, and the actual payments made for the work undertaken during the financial year.

Consultancies Purpose$ Actual payment
All consultancies below $10,000 each - combinedVarious
$5,034

Consultancies
Purpose
$ Actual payment
Taylor Fry Pty LtdScheme actuarial services$387,805
PriceWaterhouseCoopersInternal audit$44,340
Total$432,145

See also the Consolidated Financial Report of the Department of Treasury and Finance for total value of consultancy contracts across the South Australian Public Sector.

The following is a summary of external contractors that have been engaged by the agency, the nature of work undertaken, and the actual payments made for work undertaken during the financial year.

Contractors
Purpose
$ Actual payment
All contractors below $10,000 each - combined
Various
$12,437

Contractors Purpose $ Actual payment
Alemba Pty LtdvFire upgrade$10,440
Biz Hub Australia Pty LtdPersonal Injury Register annual support$17,476
Dr Beata M Byok

MAIAS compliance

$11,841

Haymakr

Injury claim form project user experience testing $110,400

Haymakr

Claimant service rating$49,011

Lauren Jones Consulting

Injury coding review $16,560

PriceWaterhouse Consulting

Business Continuity Plan $32,000

GPEX Limited

MAIAS training and accreditation $12,960

Pinpoint

MAIAS training and accreditation $17,078

Total

$296,397

The details of South Australian Government-awarded contracts for goods, services, and works are displayed on the SA Tenders and Contracts website. View the agency list of contracts.

The website also provides details of across government contracts.

Risk management

The Risk and Audit Committee meets quarterly to provide assistance to the Governance Committee on the operation and effectiveness of the risk management framework and internal and external audit activities.

The Regulator also reports annually to the DTF risk and audit committee.

In the past year, the Regulator’s Risk and Audit Committee fulfilled its responsibilities according to its terms of reference, including:

  • Overseeing the 2021-22 Independent internal audit plan (outsourced)
  • Reviewing and updating the risk appetite statement
  • Maintaining the Risk Management Framework and risk management systems and processes
  • Monitoring the process of implementing internal audit recommendations
  • Reviewing the Regulator's Business Continuity Plan.

No fraud was detected.

The Regulator has a robust suite of policies and work instructions to address key risks and establish controls to mitigate the risk of fraud. These controls include but are not limited to:

  • segregation of duties
  • delegations of authority
  • user restrictions to financial software
  • asset register
  • triennial employee criminal history screening
  • independent internal audit function
  • financial management and compliance program
  • staff training and education on policies and procedures
  • requirement of staff to adhere to the Public Sector Code of Ethics
  • annual Conflict of Interest Declaration process for all staff.

There were no occasions on which public interest information was disclosed to a responsible officer of the Regulator under the Public Interest Disclosure Act 2018.

Reporting required under the Compulsory Third Party Insurance Regulation Act 2016

This section of the report details the operational activities performed to meet the Regulator’s functions under the Act.

Key activities completed in 2021-22 include:

  • Determined new premium bands from 1 July 2022, resulting in sustained price competition across the majority of premium classes.
  • Updated the Regulator Rules to respond to changes where necessary. All current and past versions of the Regulator Rules are published on the CTP Regulator website. Updates were made to ensure consistency with the Australian Securities and Investments Commission’s Regulatory Guidelines, to reduce unnecessary costs on the scheme, and to make amendments as a result of the review of the claim forms (see page 19 for more detail).

  • Published updated data to the Scheme Data Dashboard. The dashboard provides an overview of the scheme, including CTP claims and insurer premiums from 1 July 2016 up to 31 December 2021. The dashboard is updated annually.
  • Published the annual SA CTP Market Briefing prepared by the scheme actuary, Taylor Fry, which informs the premium setting.
  • Published the Point-to-point Relativities Report prepared by the scheme actuary, Taylor Fry, which outlines the relativities advice that informs the premium setting for vehicles in the point-to-point industry.
  • Prepared the Scheme Efficiency Report for publication.
  • Connected with hospital stakeholders to provide scheme information to assist them in supporting injured road users.
  • Ongoing review and updates to the CTP Regulator and MAIAS websites to maintain currency and effectiveness of information for all scheme stakeholders.

The Regulator uses a suite of tools to oversee and identify areas for further investigation in scheme trends, CTP Insurer performance, and data quality.

The Regulator monitors the compliance of CTP Insurers with contractual and legislative obligations using the compliance framework. The framework is risk based, targeting areas of highest priority for the scheme. The framework prescribes compliance activities, including:

  • claims management reviews
  • data analytics
  • mandatory declarations.

In response to an improved control environment, the Regulator has moved from an annual to a biennial cycle for insurer audits, now auditing each insurer every second year. As the insurers are demonstrating satisfactory levels of compliance and performance against their obligations, the program has adapted to the current risk profile. By adopting this approach, the Regulator is demonstrating to the industry that the scale and scope of the compliance program is proportionate with performance and supports keeping downward pressure on insurer regulatory costs.

The CTP Insurer audits address performance across the insurers’ business operations, including:

  • service levels provided to injured people with CTP claims
  • compliance with legislative obligations
  • approval of treatment, care and support
  • complaints management and dispute resolution
  • payments and settlements
  • privacy breaches and management of confidential information
  • records management

The 2021-22 compliance program saw similar findings to the 2020-21 financial year.

Areas of good performance include general claim lodgement and management, liability determination and communication, particularly in providing good rationale and supporting evidence for determinations.

Identified areas of improvement include:

  • informing claimants before using the prescribed authority to obtain information on each occasion
  • meeting timeframes including the provision of information under the prescribed authority within 21 days response to funding requests and reimbursement of expenses within seven days
  • reducing unauthorised disclosures of personal information
  • explaining the complaints and disputes processes.

Where the compliance program identifies findings, CTP Insurers are required to submit remediation plans that are tracked monthly against agreed timeframes and outcomes. Any areas considered non-compliant can result in CTP Insurers being issued with breach notices. The most common areas of breaches this past year reflect areas for improvement and include:

  • privacy breaches
  • breaches of insurer obligations regarding the use of the statement authorising the CTP Insurer to access documentary information relevant to the claim (the prescribed authority)
  • inadequate records management.
CTP InsurerBreaches 2020-21Breaches 2021-22
AAMI21
Allianz190
QBE33
SGIC210
Total2614

In response to CTP Insurer breaches, CTP insurers paid three sanctions to the total of $40,000 to the State Government.

In the 2021-22 financial year, the Regulator commissioned the independent scheme actuary, Taylor Fry, to examine the efficiency of the CTP scheme by evaluating the proportion of customer premiums returned to injured people with CTP claims; this proportion is called the scheme efficiency index. Trends in the scheme efficiency index indicate how efficiently the CTP scheme is operating in providing benefits to injured people. As part of calculating the scheme efficiency index, the review analyses the scheme average insurer profit margin which is a measure of scheme profitability for insurers. The analysis commences from the privately underwritten scheme on 1 July 2016 and estimates the ultimate claims costs by underwriting quarter up to 31 December 2021. The findings of this review were published in the CTP Scheme Efficiency Report, in August 2022, available on the Regulator’s website.

The Regulator also prepared for an independent review of elements of the competition model introduced in 2019 to take place in the 2022-23 financial year. The review will evaluate the current scheme model’s ability to deliver a high performing, competitive scheme that offers choice, ease, and confidence to the South Australian community. The findings of the review will inform scheme underwriting design.

As part of the Regulator’s focus on continuous improvement and reviewing the operation and efficiency of the scheme, the Regulator completed its review of the injury and fatality claim forms (claim forms). The new claim forms were launched in November 2021 and are available in paper and online format.

The review was underpinned by four key principles: identifying and removing barriers to early access to funding of treatment; enabling CTP Insurers to receive early and relevant claim information; determining the viability of end-to-end electronic lodgement; and enhancing data collection for scheme monitoring and future scheme design.

We sought the views of claimants, potential claimants (road users), CTP Insurers, general practitioners who treat injured people, the Law Society of South Australia and personal injury legal practitioners on the claim form process.

As a result of the review, amendments were made to the Motor Vehicles (Third Party Insurance) Regulations 2013 to remove the prescribed form for the statement of authority to obtain information (prescribed authority) from the Schedule of the Regulations, and to prescribe a medical certificate to accompany injury claims. Both forms are now determined by the Regulator.

Benefits of the claim form include:

  • Enhanced language and layout so an injured road user can easily understand what they need to do to complete the form.
  • Removal of the need to print and sign forms have them witnessed. this simplifies and accelerates the lodgement process, which means quicker decision-making about injury recovery, treatment and liability
  • Introduction of the medical certificate that assists a medical practitioner to provide consistent, relevant and timely medical information for an injured road user at claim lodgement.

To further optimise claimant experience, the Regulator amended Regulator Rule 7.1.1(d) to require that a CTP Insurer inform a claimant when their prescribed authority is being used and for what purposes, at least seven business days before use. This notice period provides claimants a meaningful opportunity to respond to the notification and contact the insurer before information is obtained.

A key benefit for the scheme and key stakeholders is the resulting enhancement of data collection which provides a way for insurers to improve data accuracy and allows opportunities for scheme improvements to be easily identified and addressed.

Since the implementation of the new claim forms, the Regulator has received positive feedback from stakeholders, including medical practitioners, hospital staff, and CTP Insurers. The Regulator has also seen a reduction in key timeframes*:

  • time between the accident date and claim lodgement reduced by 19%
  • time between claim lodgement and funding of first treatment reduced by 16%

Note: *These timeframes are based on medians calculated using claims notified between 2 January to 14 November 2021 (pre-implementation) and 15 November 2021 to 31 May 2022 (post-implementation) based on available data as of 30 June 2022.

Since 2019 the Regulator has conducted surveys with injured people approximately three months after they have made a CTP claim. These surveys determine an average Claimant Service Rating for each CTP Insurer which is published on registration renewal notices to assist vehicle owners to choose an insurer. The higher the number, the better the CTP Insurer’s service has been rated.

Understanding the claimant experience through conducting surveys supports the Regulator to monitor and measure the operation and efficiency of the CTP scheme. The survey results highlight areas for improvement to benefit claimants. Publication of survey results provides information to scheme stakeholders on CTP Insurer performance

The Regulator’s claimant survey was expanded in July 2021 to survey injured people after key milestones through the life of their claim to provide greater insight into any changes in experience. These milestones were:

  • claim lodgement
  • after the insurer makes a determination on liability
  • after an injury scale value (ISV) medical assessment
  • following closure of the claim.

The survey provided an opportunity for claimants to communicate areas for improvement to the Regulator and CTP Insurers at key stages of the claims process.

As a result of the survey, the Regulator identified areas of high importance to injured people and mapped those against levels of satisfaction to identify key areas for CTP Insurers to focus on to improve the claimant experience. These can be seen in the graphic below.

Mapping satisfaction against importance

This shows that the priority areas for CTP Insurers to address are:

  • providing claimants with all of the information they need
  • ensuring that the information provided to claimants is easy to understand.

This also shows that CTP Insurers are performing well in:

  • insurer staff being friendly and helpful
  • insurer staff having a good level of knowledge.

This information was provided to CTP Insurers to enable them to focus on improving the claimant experience. The survey will resume in January 2023 to understand if and how the experience of injured people has changed over time and also to identify the impact of the new claim forms.

To enhance the data collected from insurers, the Regulator established the Data Driven Compliance Project. The two main areas of enhancements were:

  • data related to insurer compliance obligations which gives the Regulator broader and more timely monitoring of insurer performance against obligations while also reducing the resources required from the Regulator and the insurers to complete audits
  • new data collected by the updated injury claim form.

Concurrently with this project, a new platform (the claims register) was developed for managing the collected data. Sixty-eight new fields were added to the new claims register and others were modified to improve usability. The new data fields commenced from 1 July 2022.

The claims register is where the Regulator stores data on the CTP scheme which enables the monitoring and estimation of scheme risk relativities used to set premiums. It also enables the Regulator to monitor other aspects of the scheme to improve the Regulator’s ability to benchmark each CTP Insurer with the rest of industry and help to identify scheme efficiency opportunities.

Data stored in the claims register is collated and published in the Scheme Data Dashboard (updated annually) and is provided in the scheme statistics section of this report (starting on page 24). The dashboard provides information to the public about the scheme and CTP Insurers. Transparent information also promotes South Australian community confidence in the scheme.

In the CTP scheme, an injured road user may be entitled to compensation for their injuries. Some types of compensation, including non-economic loss, loss of consortium and compensation for gratuitous services, are subject to thresholds based on the Injury Scale Value (ISV) of the injuries.

The South Australian Motor Accident Injury Accreditation Scheme (MAIAS) accredits medical practitioners to undertake ISV medical assessments that assist in determining an injured person's entitlement to compensation.

The objective of MAIAS is to create an independent system that provides consistent, objective, and reliable ISV medical assessments. It accredits health practitioners to undertake ISV medical assessments which includes assigning injury Item Numbers based on the assessment of the injuries sustained in motor vehicle accidents. The assessment reports assist claimants and CTP Insurers in the claims settlement process.

Quality Assurance (QA) program

In 2021-22 MAIAS conducted QA reviews to assess the quality of ISV medical assessment reports (ISV reports) against the requirements of the Civil Liability Act 1936, Civil Liability Regulations 2013, and the accreditation criteria in the MAIAS Training Manual.

Throughout the year, 59 physical ISV reports produced by 32 Accredited Medical Practitioners (AMPs) and 15 GEPIC ISV reports produced by 9 AMPs were reviewed.

The QA results highlighted key areas of improvement including correct use of templates and providing medical opinion on injury stability. Focus areas are addressed individually with AMPs and used in designing future training and accreditation materials to better support all AMPs.

Throughout 2021-22, the key recommendations of the independent QA program review were implemented with a plan to embed the recommendations through the next financial year in time for the next AMP training and accreditation cycle.

Review of MAIAS training and accreditation materials

A key activity for the MAIAS in 2021-22 has been the review of MAIAS training and accreditation materials. The MAIAS Training Manual has been reviewed with a focus on making it easier to read and navigate. Minor amendments have been made to the first two chapters to update for currency and incorporate information from frequently asked questions.

A new online Learning Management System (LMS) has been built to hold the accreditation and training materials as well as online courses and assessment necessary for completion of accreditation. The LMS and updated Training Manual were released in August 2022 in time for the 2022-25 accreditation cycle.

Transfer of MAIAS

On 3 February 2022, the Treasurer was appointed as the designated Minister for the purposes of section 76 of the Civil Liability Act 1936. Prior to this date, the Attorney-General was the designated Minister.

Insured vehicles by type

(Registrations as at 30 June 2022)

Type of vehicleVehicles%

Private passenger

1,103,168

57.03%

Public passenger: no fare

624

0.03%

Taxis: metropolitan

853

0.04%

Taxis: country

259

0.01%

Hire cars

8,978

0.46%

Rideshare

4,656

0.24%

Public passenger: small

740

0.04%

Public passenger: medium

1,094

0.06%

Public passenger: heavy

654

0.03%

Public passenger: omnibus

1,083

0.06%

Goods carrying: light

230,121

11.90%

Goods carrying: medium

16,039

0.83%

Goods carrying: heavy

10,575

0.55%

Goods carrying: primary producers

30,579

1.58%

Motorcycles: ultra light

3,218

0.17%

Motorcycles: light

8,587

0.44%

Motorcycles: medium

13,457

0.70%

Motorcycles: heavy

20,745

1.07%

Tractors

53,666

2.77%

Historic and left hand drive vehicles

36,513

1.89%

Special purpose vehicles

16,440

0.85%

Car carriers: light

1

0.00%

Car carriers: medium

20

0.00%

Car carriers: heavy

1

0.00%

Car carrier trailers

120

0.01%

Trailers

369,941

19.13%

Unregistered vehicle permits

108

0.01%

Motor trade plate

2,015

0.10%

Total

1,934,255

100.00%

Source: Department for Infrastructure and Transport policy data.

Ratio of class 1 premium(1) to South Australian average weekly earnings (AWE)(2)

Annual premium(1)State AWE(2)Ratio
2021-22 $290.33 $1591 18%

2020-21

$295.40

$1,543

19%

2019-20

$296.77

$1,504

20%

2018-19

$411.25

$1,462

28%

2017-18

$400.75

$1,442

28%

2016-17

$389.00

$1,446

27%

(1) Note: Premium is the weighted average lowest priced Class 1 District 1 public passenger vehicle (private use, no input tax entitlement) on offer over the financial year.
(2) Source: Australian Bureau of Statistics, 6302.0 Average Weekly Earnings, Australia. Earnings; Persons; Full Time; Adult; Ordinary time earnings; South Australia; Series Id: A84989336X, November (in given financial year).

Premium and fee collection

(1 July 2021 to 30 June 2022)

Description$'000

Insurers' premiums*

321,324

Stamp duty

42,457

Road safety

14,050

Emergency transport, hospital and forensic services

32,852

Customer support and transaction processing

10,742

CTP Scheme regulation and administration

7,030

Total insurance premiums collected

428,456

Note: *Includes GST.

Market share of in-force premium

AAMIAllianz SGIC(1)QBE
30 June 2022 40% 9% 30% 21%

30 June 2021

20%

18%

41%

21%

30 June 2020

28%

27%

24%

21%

30 June 2019*

30%

15%

20%

35%

30 June 2018*

30%

15%

20%

35%

30 June 2017*

30%

15%

20%

35%

Note: *All insurers had contractually agreed market share for the first three years.

(1) Note: SGIC changed its trading name to NRMA as of 1 July 2022.

Number of changes to filed premiums

2019-20 premium changes2020-21 premium changes 2021-22 premium changes
Type of vehicleDistrict 1District 2District 1District 2 District 1 District 2

Private passenger

6

6

1

1

85

Public passenger: no fare

6

6

7

7

77

Taxis: metropolitan

6

 

5

 7 

Taxis: country

6

 

6

 8 

Hire cars

6

6

7

7

87

Rideshare

7

7

5

5

66

Public passenger: small

8

8

7

6

88

Public passenger: medium

6

8

7

7

1010

Public passenger: heavy

8

8

6

6

107

Public passenger: omnibus

6

 

7

 8 

Goods carrying: light

6

6

1

1

44

Goods carrying: medium

8

8

7

7

64

Goods carrying: heavy

6

6

6

7

98

Goods carrying: primary producers

7

7

4

7

63

Motorcycles: ultra light

7

8

6

6

44

Motorcycles: light

8

8

6

6

44

Motorcycles: medium

7

8

6

6

44

Motorcycles: heavy

8

7

6

6

44

Tractors

8

8

3

3

33

Historic and left hand drive vehicles

8

8

3

3

33

Special purpose vehicles

7

7

7

7

33

Car carriers: light

8

8

4

4

1010

Car carriers: medium

6

8

5

5

1010

Car carriers: heavy

8

8

5

4

86

Car carrier trailers

7

7

4

4

1010

Unregistered vehicle permits

1

1

1

1

  

This is an indicator of premium price competition in the CTP scheme. Premium classes for taxis and omnibuses do not depend on the district, but counted with district 1 in the table.

Claimant service rating results

Publication monthAAMIAllianzSGIC(1)QBE
June 2022 84 78 74 80

June 2021

77

78

79

75

June 2020

81

72

85

77

June 2019

69

72

70

71

Note: The score published each month is the average claimant service rating from claimants surveyed in the previous six months.

(1) Note: SGIC changed its trading name to NRMA as of 1 July 2022.

Number of accidents by region

(Accidents from 1 July 2020 to 30 June 2021)

Region
Accidents
%

Adelaide City / Suburbs

1,200

86.4%

Outer Adelaide

100

7.2%

Murraylands

22

1.6%

South

20

1.4%

Northern

17

1.2%

Eyre

7

0.5%

Interstate

23

1.7%

Total

1,389

100%

Note: The recent accident years’ data is immature due to accidents where a claim is yet to be reported.

Claim lodgement by development year

(All claims for accidents from 1 July 2016 to 30 June 2022)

Accident year Development yearTotal
123456

2016-17

2,376

630

49

29

16

2

3,102

2017-18

2,117

470

56

22

4  

2,669

2018-19

1,932

426

45

21   

2,424

2019-20

1,555

342

54    

1,951

2020-21

1,728

440     

2,168

2021-22 1,550       1,550

Total

 

13,864

Note: Development year 1 means claims lodged in the accident year (year means financial year), development year 2 means claims lodged in the next year after the accident year, etc.

Claims by current status

(All claims for accidents from 1 July 2016 to 30 June 2022)

Accident year Claims lodged Claims open Claims closed % closed
2021-22 1,550 1,135 415 27%

2020-21

2,168

1,144

1,024

47%

2019-20

1,951

713

1,238

63%

2018-19

2,424

405

2,019

83%

2017-18

2,669

300

2,369

89%

2016-17

3,102

179

2,923

94%

Claimants by demographic

(All claims for accidents from 1 July 2016 to 30 June 2022)

Age groupMalesFemalesTotal%

16 years and under

318

335

653

5%

17 to 24 years

711

998

1,709

12%

25 to 34 years

1,157

1,515

2,672

19%

35 to 44 years

1,134

1,325

2,459

18%

45 to 54 years

1,247

1,355

2,602

19%

55 to 64 years

1,012

1,043

2,055

15%

65 years and over

730

979

1,709

12%

Unspecified

3

2

5

0%

Total

6,312

7,552

13,864

100%

Claimants by accident role

(All claims for accidents from 1 July 2016 to 30 June 2022)

RoleClaims%

Driver

8,796

63%

Passenger

3,015

22%

Cyclist

961

7%

Pedestrian

892

6%

Other

200

1%

Total

13,864

100%

Claims by severity

(Closed claims for accidents from 1 July 2016 to 30 June 2022)

AIS* severityClaims%

Minor

6,322

63.3%

Moderate

1,186

11.9%

Serious

422

4.2%

Severe

33

0.3%

Critical

11

0.1%

Maximum

156

1.6%

Admin Only

1,858

18.6%

Total

9,988

100%

Note:

*Injury severity based on injuries coded under the Abbreviated Injury Scale 2008 (AIS 2008).

“Minor” category includes claims where a region-specific injury code was reported with a severity of 9 (“not further specified”).

“Maximum” injury severity usually indicates a fatality.

“Admin” means there were no physical injuries caused by the accident or there was no medical evidence available for injury coding.

Claims by dominant injury body region

(Closed claims for accidents from 1 July 2016 to 30 June 2022 excluding claims without a dominant injury recorded)

Body regionClaims%

Cervical spine

2,359

25%

Shoulder

2,006

21%

Thoracic spine or lumbar spine

1,166

12%

Other

921

10%

Pelvis or hip

744

8%

Other lower limb

538

6%

Pure mental harm

520

5%

Knee

407

4%

Central nervous system and head

339

4%

Chest

265

3%

Wrist

217

2%

Total

9,482

100%

Rates of legal representation

(Accidents from 1 July 2016 to 30 June 2022)

Accident yearClaims % Legal rep % Litigated
2021-22 1,550 22% 0.0%

2020-21

2,168

31%

0.2%

2019-20

1,951

36%

0.7%

2018-19

2,424

34%

5.3%

2017-18

2,669

40%

12.4%

2016-17

3,102

41%

18.7%

Note: The recent accident years’ data is immature due to the long tail nature of CTP claims.

Legal costs

(All legal cost payments for accidents from 1 July 2016 to 30 June 2022)

Accident year Solicitor client costs Plaintiff - Legal ($'000) Defendant - Legal ($'000) Grand total ($'000)
2021-22 Unknown 3 14 18

2020-21

Unknown

119

279

399

2019-20

Unknown

1,307

639

1,946

2018-19

Unknown

4,738

2,442

7,181

2017-18

Unknown

11,187

5,828

17,016

2016-17

Unknown

15,326

9,929

25,255

Total

32,680

19,131

51,815

Note: Solicitor client costs are unknown because there is no legal requirement for solicitors to provide their solicitor client costs to the managing insurer of a claim and so they are not reported to the CTP Regulator.

Claim duration by CTP Insurer

(Closed claims for accidents from 1 July 2016 to 30 June 2022 where relevant data is available)

TimeframeAAMIAllianzSGIC(1)QBEAverage

Notification date to compliance date

41

62

53

17

38

Notification date to liability decision date

108

82

99

116

104

Notification date to closure date

519

483

418

533

494

Note: Timeframe is average days.

(1)Note: SGIC changed its trading name to NRMA as of 1 July 2022.

Heads of damage breakdown

(Closed claims from 1 July 2020 to 30 June 2021 for accidents from 1 July 2016 to 30 June 2022)

Heads of damage Closed claims Total ($’000) % Closed payments

Economic Loss

923

61,921

44%

Non-Customer Benefits

1,765

28,410

20%

Treatment

2,073

23,164

17%

Care

999

20,162

15%

Non-Economic Loss

353

5,029

4%

Other Customer Benefits

568

664

1%

Total

2,186

139,349

100%

Note:

“Care” category includes payments for past and future care and home services, care-related travel and voluntary services.

“Non-customer benefits” category includes investigation costs, the costs of medical reports from treating medical providers and ISV medical assessors, and plaintiff and defendant legal costs.

“Other customer benefits” category includes claimant travel expenses and reasonable funeral costs. In the 2018-19 annual report this category included payments to surviving spouse and/or children for the loss of family member, payments to partners of injured persons for the loss of companionship, and rehabilitation costs. These payment types have now been moved to other heads of damage in the table.

“Treatment” category includes payments for past and future medical, allied health and hospital services, excluding public hospital services funded from the administrative fee component of CTP premiums.

Nil claims (zero payments) have been excluded from the data.

Nominal defendant claims received by accident year

(Accidents from 1 July 2016 to 30 June 2022)

Year of accident Unidentified vehicles Unregistered vehiclesTotal
2021-22 43 16 59

2020-21

51

30

81

2019-20

51

21

72

2018-19

60

23

83

2017-18

70

23

93

2016-17

88

18

106

Note: The recent accident years’ data is immature due to accidents where a claim is yet to be reported.

Communications

TypeNumber of instances

Complaints about CTP Insurers

29

Complaints about the scheme

2

Complaints about the Motor Accident Injury Accreditation Scheme

0

Complaints about the Regulator

0

Enquirer sourceNumber of enquiries

General Public

2,386

CTP Insurer

426

Medical

188

Legal

117

Government Department

115

Other

11

Total

3,243

Enquiry categoryNumber of enquiries
Claims
1,167
Registration or other insurance*
787
CTP Scheme
298
Nominal Defendant
76
Complaints
46
MAIAS
12
Total
2,386

Note: *Registration or other insurance enquiries include calls about comprehensive insurance and vehicle registration outside the responsibility of the CTP Regulator.

The number for 'complaints' does not match the number of complaints listed in the public complaints section of this annual report because each complaint can involve a number of enquiries and this category also includes questions about the complaints process that do not result in a complaint being lodged with the Regulator.