When driving anywhere in Australia, having a CTP or compulsory third party car insurance is a must. Also known as ‘Green Slip’ this insurance is a legal requirement in all states and territories.
CTP insurance has the ability to protect you from financial liability in case you are involved in a motor accident. This is especially true if the accident results in injury to a third party including passengers, other drivers and even pedestrians.
Although CTP is mandatory, you don’t need to get an additional third party cover. Doing so however can leave you financially vulnerable in case you’re involved in an accident – something which is quite common in Western Australia roads heading into summer.
To help you understand what we’re talking about, let’s take a look at the types of car insurance available right now.
Be smart with your money and get insurance on anything that you don’t own outright, for those just in case something happens days.
Compulsory Third Party (CTP)
As mentioned earlier, this is the minimum and compulsory type of cover you need when driving in Australia. CTP insurance is automatically provided to you as soon as you pay for your car registration. This kind of insurance covers you from personal injury that you may cause to other people in a car incident.
Keep in mind however that CTP doesn’t cover damage to cars or properties. So if you happen to be at fault, you may end up paying tens of thousands of dollars in damage for a car accident.
Third-Party Car Insurance
In a third party car insurance, you get coverage for damage, repairs and legal costs to others (third party) cars or properties in an accident. This kind of insurance will not cover the expenses that come with replacement or repairs for your car unless it is stated otherwise.
Your third party insurance may come with uninsured driver cover. What this means is that if you’re involved in a car accident with an uninsured driver who’s at fault, your repairs may be covered by your insurance.
Third-Party with Fire and Theft
This insurance is a level up from your regular third party car insurance as it covers damage to your vehicle in case of theft or fire. There are also some insurance companies that might include uninsured driver cover which can cover your repairs to a limit if an uninsured driver is at fault.
There are a lot of things that can contribute to a car accident in Western Australia. Whether it is the condition of the road, the weather or other drivers, you’ve got your work cut out for you driving in WA. So even if you’re a responsible car owner, there’s no guarantee that you won’t encounter something that can lead to a car incident.
At Yes Loans, we know how important it is for a driver to have car insurance. There are diverse experiences and driving experiences presented to car owners in Western Australia. With that in mind, we can provide you with the car insurance product that gives you great value protection in case of accident, damage or theft.
If you’d like to know more about our insurance offerings, feel free to contact us today!