These changes are loosely based on the Victorian CTP System.
The Victorian system has a single government insurer that deals with all claims and pays statutory benefits to the injured motorists.
However, the NSW changes are privately underwritten which means that it is up to the big insurers to make the call on who gets paid and when. It is easy to see how this could turn into a money making scheme for the big insurers.
The lack of an independent body is seriously concerning as 90% of injured motorists who have to tackle these claims by themselves will likely be at a loss when the insurer declines their claim. Which under this scheme may become a more frequent occurrence than it already is.
As 90% of injured motorists will not be compensated for wage loss or medical treatment beyond a short specified period of time many injured people will be looking to Centrelink and family to support their financial needs.
To read more on this issue click the link below:
You might also be interested in…BACK TO BLOG
Statutory Benefits under the NSW CTP Scheme – 6 Tips and Traps
Statutory benefits are payable to anyone who has sustained an injury arising out of a motor vehicle ...READ POST