Setting Greenslip Prices

Primary factors insurers use

Insurers set green slip prices and State Insurance Regulatory Authority (SIRA) regulates those prices. Insurers use different factors and apply different weightings to these factors to set the premiums they will charge.

Certain primary factors used by insurers affect green slip prices.

Primary factors used by insurers
Geographic region	Driving history::
Type of vehicle	Number of traffic offences
Age of vehicle	Number of demerit points
Distance travelled	Number of years licensed
Vehicle performance	Claims history:
Age of vehicle owner	Level of insurance
Age and gender of youngest driver	Number of at-fault claims

SIRA designates geographic (rating) regions and vehicle classifications.

There are five geographic (rating) regions:

• Sydney Metropolitan
• Outer Metropolitan
• Wollongong
• Newcastle/Central Coast
• Country.

Insurers are not allowed to differentiate on the basis of locality within a rating region.

In the past 12 years, green slip prices have varied considerably. This makes it more important than ever to compare prices.

Average green slip prices at June 2012 to 2024

At June	Motor car	Ute/LGV	Motorcycle
2012	$575	$843	NA
2013	$616	$764	$437
2014	$608	$724	$429
2015	$662	$793	$447
2016	$689	$841	$535
2017	$695	$833	$465
2018	$566	$712	$435
2019	$535	$661	$406
2020	$531	$651	$412
2021	$535	$675	$414
2022	$521	$705	$405
2023	$541	$736	$439
2024	$546	$735	$462

How insurers work with SIRA

Insurers must first submit proposed premium filings to SIRA, setting out proposed premiums and supporting information. Insurers must submit premium filings to SIRA at least once a year. They may also submit a non-compulsory filing if they wish to vary premiums at other times during the year.

SIRA may reject a filing if it considers the proposed premiums:

• will not fully fund the insurers liability
• are excessive, or
• do not conform with its Premiums Determination Guidelines.*

As the regulator, SIRA must ensure the scheme is competitive and green slips are affordable:

• The scheme is competitive only if a sufficient number of insurers are motivated to participate.
• Insurers participate only if there is sufficient profit.

SIRA also operates a price comparison service, Green Slip Check.

* SIRA issues Premiums Determination Guidelines to regulate how greenslip prices are set. SIRA also regulates distribution and marketing of greenslips through the Market Practice Guidelines. Both are contained within the Motor Accident Guidelines 2017, available from SIRA.