Subscribe
Fair and equitable compensation for taxi plate owners.

How are NSW ride sharing CTP premiums calculated?

The way ride sharing premiums are calculated has changed from 1 April 2018.

From 1 April, for journeys starting in metro regions there will be a 10 cents-per-kilometre charge for CTP and 6.6 cents-per-kilometre for journeys that start in country regions. This only applies when the vehicle has a fare paying passenger.

Other than this, ride sharing operators will continue to pay a Class 1 premium like all other private passenger vehicles. This means they will continue to purchase their CTP Green Slip as usual.

https://www.sira.nsw.gov.au/insurance-coverage/CTP-insurance-Green-Slips/how-are-prices-set/pop-over-content/private-and-business-vehicles

 

Fixed Annual Payment Option

Taxis are a Class 7 for setting of premiums.

The average annual premium for a taxi in the metro area (T plate) is $6400 and in country areas (TC plate) is $3800.

The premium includes:

  • base premium
  • cents-per-kilometre (based on average kilometres travelled in a year):
    • 5 cents x 107,000 km per year to T plates
    • 3.3 cents x 85,000 km per year for TC plates
  • Class 7 Fund levy:
    • $580 for T plates
    • $680 for TC plates
  • Input tax credit (ITC) loading of 7%
  • GST of 10%.

Installment Payment for T Plates

Taxis with T plates that opt in to pay their premium in instalments can reduce their premium if they travel less than 107,000 km a year.

There is an upfront instalment, followed by two more instalments four months apart. At the end of the premium year there is a final adjustment.

The upfront instalment is one-third of the fixed annual premium and pays for 22,600 km.

The second and third instalment pay for 42,200 km.

Any adjustments to the previous instalment based on actual kilometres travelled are either credited or added to the next instalment.

The Fund levy, GST and tax input credit are inclusive.

The metro taxi illustration shows how a taxi that travels 90,000km over a year can save by opting in to pay in instalments.

 

Installment Payment for TC Plates

Taxis with TC plates that opt in to pay their policies in instalments can reduce their premium if they travel less than 85,000 km a year.

There is an upfront instalment, followed by another instalment six months later. At the end of the premium year there is a final adjustment.

The upfront instalment is half of the fixed annual premium and pays for 27,000 km.

The second instalment pays for 58,000 km.

Any adjustment to the previous instalment based on the actual kilometres travelled are either credited or added to the next instalment.

The Fund levy for taxis, GST and tax input credit are inclusive.

The country taxi illustration shows how a taxi that travels 80,000km over a year can save by opting in to pay in instalments.

SITEMAP

VISIT the SITEMAP LINK which represents the interests of all taxi plate owners and operators and drivers.

Goal

We are representing the interests of all Australian taxi plate owners in response to financial losses in income and asset value forced upon us.

DISCLAIMER & PRIVACY

Please visit the Taxiowners Disclaimer which states it position on taxi matters in Australia.  Visit our Privacy Policy