Compulsory Third Party (CTP) insurance covers the cost of personal injuries caused by motor vehicle accidents in Queensland.
If you are injured in a crash caused by another driver, CTP insurance may cover:.
- Medical treatment
- Lost income
- Rehabilitation costs
- Compensation for pain and suffering (in serious cases)
CTP does not cover damage to vehicles or property.
Understanding CTP Coverage in Queensland
CTP insurance is built into every vehicle registration in Queensland. You do not buy it separately. When you register your car, the CTP premium is included in the cost.
Three licensed insurers provide CTP cover in Queensland: Suncorp, Allianz and QBE.
Queensland uses a fault-based system
This is vital and something every driver should be aware of: Queensland's CTP scheme only pays compensation when someone else caused or contributed to the accident. This is different from no-fault schemes in other states.
- The injured person makes their claim against the CTP insurer of the vehicle that caused the crash.
- If you were hit by a negligent driver, that driver’s CTP insurance usually pays your compensation. You generally do not claim on your own policy, except in limited circumstances involving the Nominal Defendant or NIISQ.
- You do not claim on your own policy.
Who can claim CTP compensation?
Any person injured in a motor vehicle accident in Queensland can claim, as long as someone else was at fault. This includes:
- Drivers of another vehicle
- Passengers in any vehicle involved in the crash
- Motorcycle riders and passengers
- Pedestrians struck by a vehicle
- Cyclists struck by a vehicle
- Dependants of someone killed in a crash (spouse, children and other financial dependants)
If you were partly at fault, you can still claim. Your compensation is reduced by your percentage of fault. This is called contributory negligence.
What about passengers?
Passengers can claim CTP compensation with no financial impact to the at-fault driver. The driver’s CTP insurance covers passenger injuries.
This is a common misconception. Many passengers avoid claiming because they worry it will affect the driver’s insurance.
In reality:
- CTP premiums are not individually rated like regular car insurance, although past at-fault accident may influence your fututre CTP premiums
- A claim does not increase the driver’s registration costs m
What CTP Insurance Covers: Heads of Damage
CTP compensation in Queensland is broken into categories called heads of damage. Each category covers a different type of loss. The amount you receive depends on the severity of your injuries and how they affect you.
Medical expenses
CTP covers all reasonable medical costs related to your injuries, including:
- Hospital and ambulance fees
- Surgery and GP visits
- Medication
- Physiotherapy
- Psychology and occupational therapy
- Other treatment recommended by your doctor
Once a claim is accepted, the insurer can pay providers directly, so you don’t need to pay upfront and seek reimbursement.
Rehabilitation
Rehabilitation is separate from medical treatment. It focuses on recovery and return to work or daily life.
It may include:
- Physiotherapy and exercise physiology
- Occupational and speech therapy
- Psychological counselling
- Vocational rehabilitation
Under the Motor Accident Insurance Act 1994 (Qld), insurers must provide reasonable and appropriate rehabilitation once your claim is accepted.
Lost income (past and future)
In terms of financial loss through not being able to work, CTP covers:
- Past economic loss (lost wages already incurred)
- Future economic loss (reduced earning capacity)
Key rules under the Civil Liability Act 2003 (Qld):
- Weekly loss capped at 3x average Queensland weekly earnings
- Superannuation can also be claimed
Future loss is discounted at 5%
Pain and suffering (general damages)
General damages compensate for pain, suffering and loss of quality of life. These are:
- Only available if the injury meets a minimum severity threshold
- Assessed using the Injury Scale Value (ISV) system (0–100)
This is how the ISV breaks down:
- ISV 0 = not severe enough for compensation
- ISV 100 = most serious injuries
Maximum payout (ISV 100): $468,325 (as at 1 July 2025)
Common injuries like whiplash often attract low or no general damages, while serious injuries (e.g. brain or spinal injuries) attract higher awards.
Care and support services
CTP may cover assistance with daily living through professional care services:
- Personal care
- Domestic help
- Transport to medical appointments
Family members who provide unpaid care can also be compensated. This is called gratuitous care.
Under section 59 of the Civil Liability Act 2003 (Qld), the care must be necessary, must arise from the injury, and must total at least 6 hours per week over a cumulative period of 6 months.
If met, care is valued at commercial rates (the general market value).
Death benefits
If a person dies in a motor vehicle accident, dependants may claim compensation, including:
- Loss of financial support
- Loss of household services
- Funeral expenses
Eligible claimants are usually spouses and dependent children.
Claims are made under the Civil Liability Act 2003 (Qld) and are subject to standard limitation periods.
What CTP Does Not Cover
People tend to make assumptions about what is covered by CTP that turn out to be factually incorrect. Here is a direct comparison between what is covered and what is not:
Vehicle and property damage requires separate insurance. Third-party property damage insurance or comprehensive car insurance covers these costs. CTP does not.
At-fault drivers generally cannot claim CTP compensation for their own injuries. If you caused the accident, you have no entitlement under the CTP scheme. However, if you sustain a catastrophic injury, you may be eligible for the National Injury Insurance Scheme (see below).
The Nominal Defendant: Hit-and-Run and Unregistered Vehicles
If the vehicle that injured you was unregistered or cannot be identified (a hit-and-run), you can still claim compensation. In this situation, your claim is made against the Nominal Defendant, a statutory body established under the Motor Accident Insurance Act 1994 (Qld) to act as the insurer.
The Nominal Defendant is administered by the Motor Accident Insurance Commission (MAIC).
Time limits for Nominal Defendant claims are stricter than standard CTP claims:
- Unidentified vehicle (hit-and-run): You must give notice to the Nominal Defendant within 3 months of the accident. This deadline cannot be extended. If you miss it, your claim is permanently barred.
- Identifiable unregistered or uninsured vehicle: You must lodge your claim within 9 months of the accident.
You must also show you made reasonable efforts to identify the at-fault vehicle, such as contacting witnesses, checking for CCTV or dashcam footage, and filing a police report.
NIISQ: Catastrophic Injuries
The National Injury Insurance Scheme, Queensland (NIISQ) is a separate no-fault scheme for people who sustain catastrophic injuries in motor vehicle accidents. It has been operating since 1 July 2016 and is funded by a levy included in your CTP premium.
NIISQ covers lifetime treatment, care and support regardless of who caused the accident. This means even at-fault drivers with catastrophic injuries can access NIISQ.
Services covered include:
- Medical treatment
- Attendant care
- Rehabilitation
- Respite care
- Aids and equipment (such as wheelchairs)
- Home modifications
NIISQ does not replace a CTP claim. If you were not at fault, you can receive NIISQ support and pursue a CTP claim for additional compensation. More information is available from the NIISQ website.
Common Scenarios and Questions
Do I need to prove who was at fault if I was a passenger?
You still need to show that someone was negligent, but as a passenger, you are almost never at fault yourself. Your claim is made against the CTP insurer of the at-fault vehicle. If both drivers share fault, you can claim against either or both insurers for the full amount. Being a passenger is one of the strongest positions in a CTP claim.
Does CTP cover my car repairs?
No. CTP only covers personal injuries. If your car was damaged, you need to claim through your own comprehensive or third-party property insurance, or pursue the at-fault driver directly for property damage. CTP and property damage are completely separate.
What if the other driver was not registered?
You can claim through the Nominal Defendant. The Nominal Defendant steps in as the insurer when the at-fault vehicle was not registered or insured. You must lodge your claim within 9 months. The same types of compensation are available as for a standard CTP claim.
Can I claim CTP if I was partly at fault?
Yes, but your compensation is reduced by your percentage of fault. If a court or insurer assesses you as 30% responsible for the accident, your payout is reduced by 30%. You only lose your claim entirely if you were 100% at fault.
What if my injury does not qualify for pain and suffering?
You can still claim for medical expenses, lost income, rehabilitation and care costs. General damages (pain and suffering) have a severity threshold under the ISV system. But the other heads of damage (categories of compensation losses) have no such threshold. Even minor injuries that cause you to miss work or need treatment can be claimed.
Am I covered if I was hit by a car while cycling?
Yes. Cyclists injured by a motor vehicle can make a CTP claim. You claim against the CTP insurer of the vehicle that hit you. The same entitlements apply as for any other road user, including medical expenses, lost income and general damages if your injury is severe enough.
Legal Framework
Three pieces of Queensland legislation govern what CTP covers:
Motor Accident Insurance Act 1994 (Qld). This is the primary Act. It establishes the CTP scheme, sets out the claims process, defines who can claim and establishes the Nominal Defendant. Section 37 sets the 9-month deadline for lodging a Notice of Accident Claim.
What this means for you: this Act creates your right to claim and sets the rules for how claims are handled.
Civil Liability Act 2003 (Qld). This Act governs how compensation is calculated. It sets the ISV system for general damages, caps on lost earnings, the rules for gratuitous care under section 59 and the statutory discount rate for future losses.
What this means for you: this Act determines how much compensation you receive for each type of loss.
National Injury Insurance Scheme (Queensland) Act 2016. This Act established NIISQ for catastrophic injuries from motor vehicle accidents. It operates as a no-fault scheme alongside CTP.
What this means for you: if your injuries are catastrophic, you can access lifetime support through NIISQ regardless of who caused the accident.
In addition to those three, the Limitation of Actions Act 1974 (Qld) sets the 3-year limitation period for all personal injury claims, including CTP.
When to Seek Legal Advice
You should speak with a personal injury solicitor if:
- The insurer has denied liability or disputes who was at fault
- Your injuries are serious or ongoing, and you are unsure what compensation you may be entitled to
- You have been offered a settlement and want to know if it is fair
- You missed the 9-month NOAC deadline and need to argue a reasonable excuse for the delay
- You were partly at fault and need advice on contributory negligence and how it affects your claim
- The at-fault vehicle is unregistered or cannot be identified
- Someone has died, and dependants need to bring a claim
Why legal representation matters
Insurers are well-resourced and handle thousands of claims every year. An unrepresented claimant is often unable to realistically take a matter to court if negotiations fail, and insurers are aware of this.
The leverage a claimant has changes significantly when a solicitor is involved:
- Insurers know the matter can proceed to court if fair negotiations are not made
- This creates stronger pressure to settle at a reasonable value
- Legal representation improves bargaining power during negotiations
According to MAIC data cited in a Taylor Fry actuarial review:
- Legally represented CTP claimants in Queensland receive ~ $99,000 on average, compared to ~ $13,000 for self-represented claimants
- Represented claimants also receive 3.17 times more insurer-funded treatment and rehabilitation
Most CTP claims settle before reaching court. However, settlements are typically significantly higher when a solicitor is involved, due to the change in negotiation dynamics that legal representation creates.
Key Takeaways
- CTP covers personal injury only. Medical expenses, lost income, rehabilitation, care services and general damages (pain and suffering) are all claimable. Vehicle and property damage are not covered by CTP.
- Queensland is a fault-based scheme. You must show that someone else caused or contributed to the accident. At-fault drivers cannot claim CTP, but may access NIISQ for catastrophic injuries.
- Strict time limits apply. Lodge your Notice of Accident Claim within 9 months. For hit-and-run claims through the Nominal Defendant, the deadline is just 3 months with no extensions.
- Pain and suffering require a minimum injury severity. Your injury must reach a threshold on the ISV scale before general damages are payable. Other heads of damage (medical costs, lost income, rehabilitation) have no such threshold.
- Legal representation significantly affects outcomes. MAIC data shows that represented claimants receive, on average, 8 times more compensation than those who claim without a solicitor.
Get Help Now
If you’re concerned about your rights following an injury in a car accident, Smith's Lawyers offers a no-obligation review of your situation with no upfront cost. A member of our expert team will assess your case, explain your options and let you know the best course of action.
Contact Smith's Lawyers today:
- Call 1800 960 482 for a free, no-obligation consultation about your situation
- No upfront costs: We operate on a No Win, No Fee, No Catch® basis; you only pay if we secure compensation for you
- Or request a call back: Use the form below to have someone from our motor injury team get in touch at a time that’s convenient for you.
