NSW vehicle owners will have more choice on Green Slips, with insurer Youi set to enter the CTP market from 1 December 2020.
Minister for Customer Service Victor Dominello said Youi is the first insurer in more than 20 years to be granted a licence to offer CTP insurance in NSW.
“Competition promotes innovation and drives down prices and the biggest winners will be drivers,” Mr Dominello said.
“Having Youi enter the market is a game changer. Before the reforms insurers were leaving the market, but this decision is testament to the new CTP scheme’s success since it took effect in December 2017.
“Over the last three years we’ve delivered cheaper premiums, faster payments to injured road users, cracked down on fraudsters and slashed insurer ‘super profits’, bringing certainty and confidence to the market.”
The decision follows a rigorous application process that assessed Youi’s financial sustainability and capacity to effectively deliver services to policy holders and injured road users.
Green Slips prices continue to decline and are currently at a decade low, with NSW drivers saving $149 on average.
“Under the old scheme premiums reached a record high of $635 for the average NSW vehicle owner and would have continued to grow. Under the new scheme, they have decreased to $486,” Mr Dominello said.
Youi’s entrance into the market will bring the total number of CTP insurers to six.