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ARTICLE · 21 MAY 2013

Green slip car insurance changes likely to end in higher fees

Stacks Law Firm
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Government changes to the Compulsory Third Party insurance scheme is likely to end up with motorists paying even more.

AustraliaInsurance
Maurie Stack
Maurie Stack
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Government changes to the Compulsory Third Party insurance scheme is likely to end up with motorists paying even more for green slips when registering a vehicle.

The government says its changes will cut the cost of the average annual green slip by $50 to $75.

But a close examination of details released by the government reveals the opposite is likely to happen because the changes will increase the number of claimants by as much as 50 per cent - many more than the government has estimated. Governments are not very good at estimating numbers in new schemes - one only has to look at the cross city tunnel debacle.

Maurie Stack OAM, chairman of Stacks/The Law Firm and former president of the Law Society, said the new rules change compensation to a no-fault basis.

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