The Upper House committee on Law and Justice today tabled a report reviewing the state’s Compulsory Third Party (CTP) ‘Green Slip’ insurance scheme. The committee has had an oversight role in relation to the operations of the scheme for the past 17 years. It previously conducted this role by reviewing the implementation of the scheme by the former Motor Accidents Authority (MAA). Following legislative reforms to the state’s insurance and compensation schemes in 2015, the MAA was abolished and its role assumed by a newly established organisation – the State Insurance Regulatory Authority (SIRA). This is the committee’s first review of the scheme since those changes

Committee Chair, the Hon Shayne Mallard, stated: “A major theme in the review was the emerging trend of fraud, exaggeration and claims harvesting, which has resulted in a significant increase in minor severity injury claims with legal representation. These include nervous shock claims for child accident victims and have contributed to the rising cost of Green Slips. However we are pleased to see that the government is endeavouring to address these issues through a range of measures, including the establishment of a CTP fraud task force.”

Mr Mallard added: “Other emerging issues which have had implications for the scheme include the advent of ride-sharing operations such as Uber, and the impact of the 2012 changes to the New South Wales workers compensation scheme. The committee has made a number of recommendations to address these issues.”

“At the commencement of this review the New South Wales Government had already announced a major review of the scheme, aimed at creating a fairer and more affordable system for road users. The government released significant reform plans for the scheme in June and we look forward to monitoring the progress of those reforms in our next review”, Mr Mallard said. The committee thanks all stakeholders who participated in the review for their valuable contribution.

For further information about the review please visit the committee’s website: Follow us on Twitter: @nsw_upperhouse