Due to legislation in each state, the requirements for registering your car and choosing the correct class of Compulsory Third Party (CTP) insurance vary depending on where your car is registered.

CTP insurance is a legal requirement for all registered cars, and must be obtained at the time of renewing your car's registration. Each State and Territory operates its own CTP scheme. Every Car Next Door Car Owner must have CTP insurance in place, and arrange this themselves. Your CTP insurance covers injury to third parties if your car is involved in an accident. It does not cover damage to property, other cars or to your car, nor does it cover theft.

Queensland

You need to change your CTP class to Class 4 – Hire Car, and the purpose of use on your car's registration to Hire car - Self-driver rental. It's important you register your car in the correct class, as fines apply for permitting it to be driven while it's incorrectly classified, and the CTP insurer could claim back any underpaid premiums.

This involves two steps:

CTP insurance – it protects you in the event of your car being involved in an accident occasioning personal injury, and is part of your existing registration process. Your CTP needs to be changed to "Class 4 Hire Car".
  1. Find your CTP provider by doing CTP insurer search on this website
  2. Call your CTP provider and tell them you would like to change your CTP class to 'Class 4 Hire Car'
  3. Pay a pro-rata amount to upgrade your class for the rest of your current registration

CTP provider contact numbers:
Suncorp – 131 160
Allianz – 1800 816 868
QBE – (07) 3859 5787
RACQ – 1800 150 654

Registration – your registration also needs to be changed.

  1. Download and print this registration form
  2. Fill out your details in section 1 and your car's details in section 2, and sign the form in section 10.
  3. Take the form along with your driver's licence and CTP literature request (this will be emailed to you after you call your CTP provider) to the Department of Transport and Main Roads
  4. Request to have the Purpose of Use changed to 'Self Driver Rental'. Specify that this is NOT for Uber or other rideshare.

They should easily make the change with no further questions asked. You may incur a cost under $50 to complete the change.

Changing your CTP will result in an increase of about $350 in your annual premium, but you should make this back from your car's earnings quickly if you follow these tips these tips to maximise your income. Your annual registration cost may also now be partly tax deductible (see this info on tax for car sharers).

Tasmania

There are a couple of steps you need to take to rent your car out in Tasmania:

  1. get your car inspected, and
  2. upgrade your CTP.

Vehicle inspection:

In Tasmania, regular passenger vehicles (cars) more than 3 years old need to obtain an independent public passenger vehicle (PPV) inspection before they can be rented out.  Vehicles that are less than 3 years old, or used to carry goods (such as single-cab ute, or cargo vans), do not need to undergo the PPV inspection – but they must be roadworthy.

Cars over 3 years old:

If your vehicle is: 

  • More than 3 years old and,
  • Is a regular passenger vehicle (i.e. not a vehicle used to carry goods such as a single-cab ute or cargo van);

then you need to:

  • get a PPV inspection for your car at a Type 2 Approved Inspection Station; and 
  • send Car Next Door a clear photo or PDF of your passed inspection report;

before renting out your car.

The full list of Tasmanian vehicle inspectors is here, but if you're in Hobart we recommend using RACT Autoserve. We have negotiated a rate of $72 for Car Next Door members for the PPV inspection. 

RACT Autoserve Pty Ltd – Hobart
136 Harrington Street, Hobart
Ph: (03) 6234 7228

Cooper Automotive – Invermay
217 Invermay Road, Invermay
Ph: 03 6326 2655

Once your car has passed inspection, send a photo or scan of your car's PPV inspection certificate to Car Next Door via email at cars@carnextdoor.com.au.

CTP Upgrade

Once your car has passed inspection, visit Service Tasmania to upgrade your car's CTP to MAIB Premium class 8 "Hire and Drive".

You will need to quote Car Next Door's accreditation number, which is 419295567.

This change will mean an increase in your premium of around $447 a year. Your car's annual registration cost may also now be partly tax deductible (see this info on tax for car-sharers).

Send us a photo or PDF or your new registration certificate showing that your car is registered in class 8, so that we can get your car live and it can start getting bookings.

 

Australian Capital Territory

You need to change the class of your CTP insurance to class 25B for personal share vehicles.

This change will also mean an increase in your premium of between $80 and $140 a year depending on your CTP provider, but you should make this back from your car's earnings quickly if you follow these tips to maximise your income. Your annual registration cost may also now be partly tax deductible (see this info on tax for car-sharers).

It's important that you register your car in the correct class, as fines apply for permitting it to be driven while it is incorrectly classified, and the CTP insurer could claim back any underpaid premiums.

Changing your CTP class

  1. Call Access Canberra on 13 22 81. Select option 2 for vehicle registrations then option 4 for registration enquiries.
  2. Tell Access Canberra you want to change your CTP insurance to class 25B (personal share vehicle)
  3. Pay a pro-rata amount to upgrade your CTP for the remainder of your current registration

If Access Canberra have any questions, specify that this is not for rideshare (like Uber), but for renting out your car for someone to drive themselves (peer-to-peer car sharing, like a hire car). Class 25B is the correct class for car sharing.

Choosing a CTP provider

In the ACT there are four CTP providers: AAMI, APIA, GIO and NRMA. Each has a different annual premium for class 25B:

AAMI – $666.10
APIA – $687.30
GIO – $598
NRMA – $602.80

You may want to consider switching providers to get the best deal. You can switch providers with Access Canberra when you next renew your registration.

Western Australia

You need to change the class of your CTP insurance to Class 3(g) 'Hire-and-Drive-Yourself vehicle'.

It's really simple, but it's vital that you do this before you make your car available for bookings. Your CTP insurance covers the cost of any injuries to others by any driver of your car. If your car isn't registered in the correct class, you may be required to pay the Insurance Commission back for any compensation paid to an injured third party in the event of an accident.

Here's what you need to do:
  1. Visit a Driver and Vehicle Services Centre or call the Department of Transport on 131 156
  2. Tell them that you would like to change your car's CTP class to 'Class 3(g) – Hire and drive yourself vehicle'
  3. Pay a pro-rata amount to upgrade your CTP for the remainder of your current registration
To avoid any confusion at the Department of Transport, specify that this is not for passenger transport or rideshare (like Uber) but for renting out your car for someone to drive themselves. Class 3(g) is the correct class for peer-to-peer car sharing, and you won't need a vehicle inspection.

When your CTP changeover is complete, go to your car's listing and upload proof of the change. 

Changing your CTP class will result in an increase of about $160 in your annual registration, but you should make this back from your car's earnings quickly if you follow these tips to maximise your income. Your annual registration cost may also now be partly tax deductible (see this info on tax for car sharers).

South Australia

You need to set your car's CTP class to Class 6 (metro) or 56 (country) – 'Hire-and-Drive-Yourself vehicle.' 

Here's what you need to do:
  1. Print this form and fill out the details. The premium class you're changing to is 'Hire-and-Drive-Yourself vehicle' – class 6 (if your car is registered in a metro area) or class 56 (if it is registered in a country area). You can look up your car's current class online.
  2. If you are not the registered owner, you will need the owner to sign a letter stating that you are authorised to change the CTP class.
  3. Take the form, along with proof of identity, to a Service SA office (find your closest office on the Service SA website)
  4. You will need to pay a pro-rata amount to upgrade your CTP for the remainder of your current registration. If they tell you there is no fee, it means that they have set the change to start on your rego renewal date – so ask them to make the change effective immediately.
  5. Email cars@carnextdoor.com.au to let us know the CTP changeover is complete so we can get your car listed. 

You may need to clarity that this is not for passenger transport or ridesharing (like Uber). Rather it is for renting your car out without a driver through Car Next Door. You won't need a vehicle inspection.

Changing your CTP class will result in an increase of about $300 a year in your annual registration fee (compared with personal vehicle registration), but you should make this back from your car's earnings quickly if you follow these tips to maximise your income. Your annual registration cost may also now be partly tax deductible (see this info on tax for car-sharers). 

 

New South Wales and Victoria

If your car is most often used for your own private use, there shouldn't be a need to change your registration or CTP class. If your car's main purpose is to be rented out, you can register your car in the Business General usage category in New South Wales or hire-and-drive-yourself category (5d) in Victoria.
Was this article helpful?
48 out of 65 found this helpful

Comments

0 comments

Article is closed for comments.