By NSW Motorcycle Alliance
FOR IMMEDIATE RELEASE - Tuesday, 4th June.
MASSIVE GREENSLIP PRICE HIKES ON CARDS
Information released by the Motor Accidents Authority yesterday reveal the
likelihood of potentially crippling increases in Greenslip premiums for NSW
road users under the new proposals being championed by embattled Finance
Minister, Greg Pearce.
The bill was introduced to Parliament recently despite road user groups
being assured it was many months away, and the Government is trying to ram
it through quickly, before the public is made aware of the full extent of
its contents.
The new information was delivered by the MAA to the two main Motorcyclist
representative groups in NSW yesterday in an attempt to allay the fears that
are spreading amongst the motorcycling community that they could soon be
paying well in excess of $2,000 for their Greenslips. However the figures
contained in the letter reveal that the increases could be even more savage
than first thought. On the MAA’s own numbers, it costs an average of
$221,000 to rehabilitate a motorcyclist after they are involved in a crash
with another vehicle, and the MAA expects the changes in the scheme to
include at-fault drivers and riders and those in single vehicle crashes to
increase the number of motorcycle claims by 1,000 annually.
Christopher Burns of the Motorcycle Council of NSW said “That could result
in an increase in payouts to motorcyclists of $221million. Just that
increase alone is more than three times what we pay into the system
currently, so riders are naturally worried, and find it impossible to see
how they can fund this without increasing our already overpriced Greenslips
by at least 300%.”
Dave Cooke, Manager of the NSW Motorcycle Alliance said today, “The MAA
claim in their letter to us that they have had Ernst & Young go over the new
proposals and that they can assure us we won’t be paying more for Greenslips,
but they refuse to make the information from Ernst & Young public. This lack
of transparency is frightening for all road users in NSW, not just
motorcyclists, and I’m sure there’s not a single car or bike or truck owner
in NSW who will trust the MAA when they say we should take them at their
word about Greenslip pricing, given their history of failing to control the
insurance companies and their massive profits from the CTP system.”
Ironically, after all of Premier O’Farrell’s boasts that he would save us
all money by getting the lawyers out of the process, all he’s done is create
more profits for the insurance companies, and proposed a system that leaves
the drivers and riders of NSW open to attack from predatory insurance
companies without the benefit of a lawyer to protect them.
The main winners in the new system are the big insurance companies, and
their increases in profits will come from the reduced payouts to innocent
road crash victims.
The NSW Motorcycle Alliance and the MCC of NSW are calling on the Motor
Accidents Authority and Finance Minister Greg Pearce to make public the
Ernst & Young report into the new scheme proposed by the Bill and to
postpone the passage of the Bill while that report is analysed by NSW Road
User groups so everyone can determine the true impact. The Minister and the
MAA should also tell the people of NSW exactly what the change in Greenslip
prices will be for each type of vehicle. If they are not prepared to sign
off on a percentage increase or decrease and be held accountable for that
prediction, then the new scheme should be scrapped and the current scheme
should remain in place until real improvements can be made, not just
improvements that satisfy the big insurers’ insatiable appetite for profits
from the misery of all NSW road users.
Info;
NSW Motorcycle Alliance – Dave Cooke
1300
937 433 dcooke@motorcyclealliance.com.au
MCC of NSW – Christopher Burns
0418
486 660 cjburns@ihug.com.au