What is CTP and how it works for both parties?

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CTP or the CTP green slip refers to the kind of insurance that has been made compulsory for the residents of Australia. In the states where having a green slip is necessary, you cannot ride your motor vehicle on the road without it. It is because of the facts that your vehicle can only get registered when you have paid for the green slip and have obtained the insurance to complete the process of insurance as per the rules of that state.

It is a common assumption that when you have the CTP or the green slip then you are fulfilling your national level responsibility that provides compensation to the third party when you are at fault.

It seems quite obvious that people think it is just for the sake of protecting the third party and there is nothing to do with your benefits.

This is one of the wrong assumptions that have been made just because of the ignorance of the details and unknowingly following a common assumption which has no basis at all. When you pay for green slip you take the national level responsibility and prove that you care for others on the road.

In addition to that, you are also paying for your own safety and your own convenience as well. The fact is that when you have the green slip and have the compulsory third party insurance, you will not pay for any injury you might have caused during an accident while you are actually at fault.

This ensures that you will also be protected and get benefitted by the CTP in a very indirect yet effective manner so that you may not find yourself in trouble at the time of the accident.

It works for both parties the one who has paid for it and the one who got into the accident by the at-fault driver and will be compensated for the injuries he got.