Most people have never had to make a CTP claim before. They know it exists somewhere in the background (something to do with the green slip) but the moment they actually need it, the process feels foreign and overwhelming.
If you have been injured in a car accident in New South Wales, CTP insurance is the scheme that covers you. Understanding how it works, who can claim and what the time limits are can make a significant difference to what you recover.
Here is everything you need to know.
CTP Insurance: What It Is and Why It Exists
CTP stands for Compulsory Third Party insurance. You may know it as green slip insurance. The two terms mean the same thing, and every registered vehicle in New South Wales is required to hold it.
When you are injured in a motor vehicle accident, your claim goes to the CTP insurer of the at-fault vehicle. Not your own insurer. Not the driver personally. The CTP insurer of the vehicle that caused the accident.
The scheme exists so that injured people can access treatment, income support and compensation regardless of whether the at-fault driver has personal assets to pay. It is built into every vehicle registration in the state.
You Do Not Have to Be the Driver to Claim
This surprises a lot of people. CTP insurance covers anyone injured in a motor vehicle accident, not just the driver.
That includes:
- Drivers injured because another vehicle caused the crash
- Passengers, whether in a private car, taxi, rideshare vehicle or bus
- Pedestrians struck by a vehicle
- Cyclists hit by a motor vehicle
- Motorcyclists injured in a collision
It does not matter how you were travelling. If you were injured and another vehicle was at fault, you may have a claim against that vehicle’s CTP insurer.
Even if you were partly responsible for the accident, you may still be entitled to some compensation. Partial fault does not automatically close the door.
Two Types of Claims: Statutory Benefits and Common Law Damages
There are two distinct types of claims under the CTP scheme. They are not mutually exclusive. Depending on the severity of your injuries, you may be entitled to both.
Statutory Benefits (the immediate support)
Once you lodge your Application for Personal Injury Benefits with the CTP insurer, payments can begin. These cover:
- Weekly income support: 95% of your pre-injury average weekly earnings for the first 13 weeks, then 85% after that, paid while you are unable to work.
- Medical and treatment costs: GP visits, specialist appointments, physiotherapy, surgery, hospital costs, medications and rehabilitation.
- Travel costs: Reasonable travel expenses to attend treatment appointments.
- Domestic assistance: Help around the home if your injuries affect your ability to manage everyday tasks.
If you have already paid for treatment out of your own pocket, lodge those receipts with the insurer immediately and request reimbursement. Do not wait.
Common Law Damages (the lump sum)
For more serious injuries, a separate lump sum claim may also be available. This covers two areas:
- Economic loss: Compensation for past and future financial losses, including wages already lost and income you will lose because of your injuries going forward.
- Non-economic loss: Compensation for pain and suffering, loss of enjoyment of life and the impact your injuries have had on everyday activities.
Not everyone qualifies for common law damages. Whether you do depends on how your injuries are classified, which is one of the most important and most misunderstood parts of the process.
Most motor vehicle accident claims are resolved directly with the CTP insurer through a settlement conference, without the need for court proceedings.
Threshold vs Non-Threshold: the Classification That Shapes Everything
Under the Motor Accident Injuries Act 2017 (NSW), every injury is assessed as either threshold or non-threshold. This one decision shapes how long your benefits run and whether you can pursue a lump sum claim.
Threshold injuries
The legislation defines a threshold injury as a soft tissue injury, or a psychological injury that is not a recognised psychiatric condition.
In plain terms, a soft tissue injury covers damage to muscles, tendons, ligaments, cartilage, fascia and blood vessels. It does not include nerve injuries or complete ruptures of tendons, ligaments, menisci or cartilage. Common examples are whiplash and muscle strains.
If your injuries are classified as threshold, your statutory benefits are limited in duration and you cannot pursue a lump sum damages claim.
Non-threshold injuries
Non-threshold injuries are more serious: fractures, nerve damage, injuries requiring surgery and diagnosed psychiatric conditions. If your injuries fall here, you can access extended benefits and you are eligible to apply for common law damages.
Insurers do not always get this classification right. We regularly see injuries classified too narrowly. If you believe your injuries have been assessed incorrectly, that decision can be challenged.
Pain and Suffering: the 10% Whole Person Impairment Threshold
To claim non-economic loss (compensation for pain and suffering), two things need to be true. Your injuries must be classified as non-threshold, and your Whole Person Impairment (WPI) must be assessed at above 10%.
A WPI assessment is a formal medical evaluation that measures the permanent impact of your injuries as a percentage of whole body function. Getting this assessed accurately matters. A result just below 10% means no pain and suffering claim. A result just above opens it up.
One important distinction: your entitlement to economic loss does not depend on reaching the 10% WPI threshold. You can claim for lost wages and income without it, as long as your injuries are non-threshold.
Hit and Run, Uninsured, or Unregistered Vehicle? You Can Still Claim
A lot of people assume that if the other vehicle cannot be identified, or had no insurance, there is nothing they can do.
That is not correct.
In these situations, a claim is made against the Nominal Defendant, which acts as the CTP insurer for hit and run accidents, uninsured vehicles and unregistered vehicles. It is funded by a pool contributed to by CTP insurers and exists specifically as a safety net for situations like this.
Contact Law Works for specific advice on how to proceed if you have been injured in a hit and run or by an uninsured vehicle.
Time Limits: Why the 28-Day Deadline Catches People Out
CTP claims have strict time limits. Missing them does not always end a claim entirely, but it can significantly affect what you recover.
| What you are doing | Deadline |
| Lodge claim to receive weekly payments from the accident date | 28 days |
| Lodge claim (back payments from lodgement date only) | 3 months |
| Commence legal proceedings in Personal Injury Commission or NSW Court | 3 years |
Lodge within 28 days and your weekly income payments run from the date of the accident itself. Lodge after 28 days but within three months and you can still claim, but your payments only start from when you lodged, not from the accident date.
That gap can represent weeks of income you will not get back.
If you miss the three-month window, a full and satisfactory explanation for the delay is required. Do not leave this to chance.
How to Start a CTP Claim: the Steps That Actually Matter
Here is how the process works, and why each step counts:
- Report the accident to the police. Obtain an event number and provide police with the at-fault driver’s name, address and vehicle registration. This is not optional. It is the foundation of your claim.
- See a doctor as soon as possible. You need a Certificate of Capacity and Fitness to lodge your claim. Your treating doctor provides this. The earlier you get medical attention, the clearer the connection between the accident and your injuries.
- Identify the correct CTP insurer. The claim goes to the CTP insurer of the at-fault vehicle, not your own insurer. Getting this wrong is one of the most common causes of early delays.
- Lodge your Application for Personal Injury Benefits. Submit this form along with your Certificate of Capacity and Fitness. Incomplete forms, missing signatures or outdated certificates can result in a denial. Accuracy here matters.
- Keep records of every treatment cost. Every receipt, invoice and out-of-pocket expense connected to your injuries can be reimbursed. Do not discard anything.
- Get legal advice before you agree to anything. Insurers sometimes make early settlement offers. Accepting one before you understand the full picture of your injuries and future losses can leave you significantly short.
Insurance companies aim to minimise payouts. Having an experienced lawyer involved from the beginning means your entitlements are protected, not eroded.
The Mistakes That Cost People the Most
These come up constantly in practice:
- Assuming a denial is the end. Many denied claims are reversible. A denial based on paperwork errors, the wrong insurer or an incorrect injury classification can often be corrected. Get advice before walking away.
- Accepting the first offer too quickly. A quick settlement might feel like relief. But if you have not fully understood your future losses (income, treatment and ongoing care) you may be locking in a figure that does not cover you.
- Waiting to see how bad the injuries get. The 28-day window does not pause while you assess your symptoms. Lodge the claim first, then assess the full extent of your injuries over time.
- Thinking CTP only applies to serious crashes. Statutory benefits are available to most injured people regardless of fault and regardless of how minor the accident appeared at the time. Do not self-assess and opt out.
How Law Works Can Help
At Law Works Compensation Lawyers, Angelica Villar and Nadene Alawie personally handle motor vehicle accident claims. Angelica is an Accredited Specialist in Personal Injury Law with over 15 years of experience. Nadene holds a Masters in Commercial Litigation and Dispute Resolution and is an Accredited Mediator. Together they bring over 25 years of combined experience to every matter they take on.
They handle every step: identifying the correct insurer, preparing your documentation, managing all insurer communication, gathering medical evidence and negotiating on your behalf. You deal directly with your lawyer, not support staff.
We work on a no win, no fee basis. No costs unless your claim succeeds. Your first consultation is free.
| Ready to talk through your claim? Angelica Villar and Nadene Alawie personally handle motor vehicle accident claims at Law Works. Your first consultation is free, and we work on a no win, no fee basis. 📞 1800 955 605, Shop 4, 443 Chapel Road, Bankstown NSW 2200 |
Quick Answers
Can I claim if I was partly at fault?
Yes. Even if you contributed to the accident, you may still be entitled to statutory benefits including weekly payments and medical expenses. Fault disputes are common and not always as clear-cut as an insurer may suggest.
What if I cannot identify the vehicle that hit me?
You can still claim through the Nominal Defendant, which acts as a safety net for hit and run and uninsured vehicle situations. Contact us to understand how to proceed.
Do I need a lawyer to make a CTP claim?
You are not required to have one. But CTP claims involve strict deadlines, detailed paperwork and ongoing negotiations with an insurer whose interests are not the same as yours. At Law Works, your first consultation is free and there are no costs unless your claim succeeds.