Types of car insurance in Australia:
- Compulsory Car Insurance (CTP Insurance / Greenslips)
- Optional Car Insurance (Comprehensive, Third Party)
1. Compulsory Car Insurance
Known as CTP Insurance or Greenslip - this type of car insurance is required by law to drive a car in Australia. CTP Insurance means Compulsory Third Party Insurance and covers damage you may cause to others, but not to your car. Click for more information about CTP Insurance...2. Optional Car Insurance
Optional car insurance as the name suggests is not a compulsory one. Depending on the type, it can cover your car for events like theft, fire, injury, damage to property of others.The most common types of optional car insurance are:
(See the car insurance comparison table...)
The main difference is in level of insurance cover you get (what events you are insured for) and certainly the price or insurance premium.
One important thing to consider is car insurance excess - or the amount you agree to pay towards the damage in case of an accident. Click for more information about insurance excess...