Tag Archives: compulsory third party

Crashed riders miss out on compensation

Riders injured in single-vehicle, no-fault crashes may be failing to make compensation claims for fear of facing negligent riding charges, Motorcycle Council of NSW Chairman Steve Pearce says.

NSW has moved to a no-fault system for CTP compensation which was expected to lead to an increase in compensation claims.

However, the State Insurance Regulatory Authority says payouts and claims are 40% lower than projected.

“We expected a lot more compensation claims to come through, but they haven’t,” Steve says.

“I’m not sure why, but I can guess that riders are opting not to claim.

“For example, if you were in a single-vehicle no-fault crash such as hitting a pothole, you would have to report that incident at a police station and make a report to make a claim.

“The concern is that the report could trigger a negligent driving charge which most riders would want to avoid.

“So they probable limp around and get their bike repaired and avoid having the police involved.

“The insurance companies would love that.”

Compensation

Steve’s comments follow his recent call for riders to pay CTP only once for themselves, not for each motorcycle they own.

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Steve Pearce

Brydens Lawyers Principal Lee Hagipantelis says the Motor Accident Injuries Act introduced by the NSW Liberal Government on 1 December 2017 is “a disgrace”.

He says injured motorists are denied proper compensation for their injuries.

The NSW Labor opposition has promised a review of the motor accident and workers compensation schemes.

Les says he has no doubt that a review would “disclose the inequity in the scheme”.

“When the scheme was introduced the Minister responsible, Mr Victor Dominello, asserted that 55 cents in every dollar of Greenslip premium paid would be returned to injured motorists,” Lee says.

“This is not happening.

“This scheme only serves the interests of the insurance companies in ensuring the continuation of their super profits subsidised by the pain and suffering of the injured motorist.”

Source: MotorbikeWriter.com

Compulsory third party for riders, not motorbikes

Riders should pay compulsory third party (CTP) insurance only once for themselves, not for each motorcycle they own, says the Motorcycle Council of NSW Chairman Steve Pearce (above).

He says it is the rider that is the insurance risk, not the motorcycle.

“If you buy a motorcycle, the insurance risk is based on you and your experience, skill, where you live, etc,” Steve says.

“If you then sell the bike, why should the risk be the same for the new owner who lives in a different place and has different riding skills and experience?”

Steve says the government would never let go of the revenue from registration for each vehicle, but it would be the fat-cat insurance companies that would miss our on revenue under his rider-based compulsory third party scheme.

“The insurance companies are getting rich off our CTP and it’s a rort,” he says.

“They know they are on a good thing with CTP because only 5% of all registered vehicles are on the road at any one time.

“So 95% of vehicles are in garages or on the side of the road, but still paying for CTP.

“Insurance companies are only at risk at 5% of the time which is where their profits are coming from.

“Riders are paying premiums for services when they are not at risk.”

Steve would like to see Australia move to an American system where the rider insures themselves rather than the vehicle.

“That takes all this nonsense of every vehicle having an insurance for risk whether it used or not.

“It’s a better way to measure risk as well.”Melting tar claims first crash victim Mt Glorious costly engineers events steal reservations bitumen compulsory

Rider’s view

Ron Germain says he had a motorcycle accident near Ashford in NSW in August 2018 after hitting a huge bump in the road.

“It forced me off the road and I hit a culvert and a tree, breaking ribs and pelvis, etc and wiping out my bike,” Ron says.

“I was told to apply on third-party insurance for pain and injury. However, I was subsequently told by a high-profile law firm in NSW that I have no third-party claim against the NSW government as they (the government) were no longer allowing claims for injuries caused by bad road maintenance.

Insurance review

Steve says there needs to be a review of the insurance industry along the lines of the banking industry inquiry.

“I don’t know how we terminate it,” he says.

“We need wholesale government support, but I fear the insurance lobby is too big and too rich for us to win.”

The NSW Labor opposition has promised a review of the motor accident and workers compensation schemes.

Source: MotorbikeWriter.com

Compulsory third party for riders, not motorbikes

Riders should pay compulsory third party (CTP) insurance only once for themselves, not for each motorcycle they own, says the Motorcycle Council of NSW Chairman Steve Pearce (above).

He says it is the rider that is the insurance risk, not the motorcycle.

“If you buy a motorcycle, the insurance risk is based on you and your experience, skill, where you live, etc,” Steve says.

“If you then sell the bike, why should the risk be the same for the new owner who lives in a different place and has different riding skills and experience?”

Steve says the government would never let go of the revenue from registration for each vehicle, but it would be the fat-cat insurance companies that would miss our on revenue under his rider-based compulsory third party scheme.

“The insurance companies are getting rich off our CTP and it’s a rort,” he says.

“They know they are on a good thing with CTP because only 5% of all registered vehicles are on the road at any one time.

“So 95% of vehicles are in garages or on the side of the road, but still paying for CTP.

“Insurance companies are only at risk at 5% of the time which is where their profits are coming from.

“Riders are paying premiums for services when they are not at risk.”

Steve would like to see Australia move to an American system where the rider insures themselves rather than the vehicle.

“That takes all this nonsense of every vehicle having an insurance for risk whether it used or not.

“It’s a better way to measure risk as well.”Melting tar claims first crash victim Mt Glorious costly engineers events steal reservations bitumen compulsory

Rider’s view

Ron Germain says he had a motorcycle accident near Ashford in NSW in August 2018 after hitting a huge bump in the road.

“It forced me off the road and I hit a culvert and a tree, breaking ribs and pelvis, etc and wiping out my bike,” Ron says.

“I was told to apply on third-party insurance for pain and injury. However, I was subsequently told by a high-profile law firm in NSW that I have no third-party claim against the NSW government as they (the government) were no longer allowing claims for injuries caused by bad road maintenance.

Insurance review

Steve says there needs to be a review of the insurance industry along the lines of the banking industry inquiry.

“I don’t know how we terminate it,” he says.

“We need wholesale government support, but I fear the insurance lobby is too big and too rich for us to win.”

The NSW Labor opposition has promised a review of the motor accident and workers compensation schemes.

Source: MotorbikeWriter.com