Annual Report 2023-24

Accessibility and copyright

Print: ISSN:1837-1450

Online: ISSN: 1837-1469

The Queensland Government is committed to providing accessible services to Queenslanders from all culturally and linguistically diverse backgrounds. If you have difficulty in understanding the annual report, you can contact us on the enquiries line 1800 CTP QLD (1800 287 753) and we will arrange an interpreter to effectively communicate the report to you.

Motor Accident Insurance Commission
GPO Box 2203, Brisbane QLD 4001
Phone: 1800 CTP QLD (1800 287 753)
Email: maic@maic.qld.gov.au
Web: www.maic.qld.gov.au

Nominal Defendant
GPO Box 2203, Brisbane QLD 4001
Phone: 07 3035 6321
Email: nd@maic.qld.gov.au
Web: www.maic.qld.gov.au/nominal-defendant

Visit www.maic.qld.gov.au to view this annual report. Copies of the report are also available in paper format. To request a copy, please contact us using the details above.

© Motor Accident Insurance Commission 2024

Licence: This annual report is licensed by the State of Queensland under a Creative Commons (CC BY) 4.0 International licence.

CC BY Licence Summary Statement: In essence, you are free to copy, communicate and adapt this annual report, as long as you attribute the work to the Motor Accident Insurance Commission. To view a copy of this licence, visit: http://creativecommons.org/licenses/by/4.0/.

Attribution: Content from this annual report should be attributed as: The Motor Accident Insurance Commission Annual Report 2023-24.

Letter of compliance and certification of financial statements

30 August 2024

The Honourable Cameron Dick MP
Deputy Premier, Treasurer and Minister for Trade and Investment
GPO Box 611
BRISBANE QLD 4001

Dear Treasurer

I am pleased to submit for presentation to the Parliament the Annual Report 2023–24 and financial statements for the Motor Accident Insurance Commission and the Nominal Defendant.

I certify that this Annual Report complies with:

• the prescribed requirements of the Financial Accountability Act 2009, the Financial and Performance Management Standard 2019, the Motor Accident Insurance Act 1994 and the National Injury Insurance Scheme (Queensland) Act 2016, and
• the detailed requirements set out in the Annual report requirements for Queensland Government agencies.

A checklist outlining the annual reporting requirements is provided at page 86–87 of this annual report.

Yours sincerely,

Neil Singleton
Insurance Commissioner

About us

Queensland compulsory third party insurance scheme

Queensland’s compulsory third party (CTP) insurance scheme is governed by the Motor Accident Insurance Act 1994 (MAI Act).

The scheme protects motor vehicle owners, drivers and passengers from being held financially responsible if they injure someone in a motor vehicle crash. It also enables people who are injured to claim fair and timely compensation for their injuries and access prompt and reasonable medical treatment and rehabilitation.

Motor vehicle owners pay their CTP insurance premium when they pay their vehicle registration through the Department of Transport and Main Roads (DTMR). DTMR remits the applicable premium to the licensed CTP insurer nominated by the motor vehicle owner. This minimises administration costs, is convenient for motorists and reduces the incidence of uninsured vehicles.

Motor Accident Insurance Commission

The Motor Accident Insurance Commission (MAIC or Commission) is the regulatory authority responsible for ongoing management of Queensland’s CTP insurance scheme.
MAIC’s functions include:

• licensing and supervising CTP insurers and monitoring their compliance
• regulating the CTP insurance scheme
• establishing and revising standards about the proper management of claims
• keeping the statutory insurance scheme under review and making recommendations for its amendment
• developing and maintaining a claims register and statistical database for the purpose of providing management information
• fixing the range within which each insurer must file their premium
• monitoring the availability, adequacy and use of rehabilitation services for people injured in crashes
• recommending to government the levies and administration fees payable to cover the costs involved in delivering different components of the CTP insurance scheme
• contributing funds towards research and education to reduce the frequency and severity of motor vehicle crashes and to facilitate rehabilitation of people who are injured in crashes
• maintaining a helpline service from which the public may obtain information on the CTP insurance scheme.

Nominal Defendant

The Nominal Defendant (ND) acts as a licensed insurer in the CTP insurance scheme for claims that involve motor vehicles that are unidentified or uninsured. It also meets the claims costs associated with licensed insurers that become insolvent.

National Injury Insurance Agency, Queensland

Queensland’s CTP insurance scheme is complemented by the National Injury Insurance Scheme, Queensland (NIISQ), which was established on 1 July 2016. NIISQ provides necessary and reasonable lifetime treatment, care and support to people who sustain eligible serious personal injuries in motor vehicle crashes on Queensland roads, regardless of who was at fault. MAIC also has a legislative function pursuant to Chapter 5 of the National Injury Insurance Scheme (Queensland) Act 2016 (NIISQ Act) to monitor the efficiency and effectiveness of the National Injury Insurance Agency, Queensland (NIISQ Agency), which administers NIISQ.

The Insurance Commissioner of MAIC is also the Chief Executive Office responsible for managing the NIISQ Agency. In line with statutory requirements of the NIISQ Act, the NIISQ Agency is required to produce its own annual report, which can be viewed at https://niis.qld.gov.au/news-and-research/annual-reports.

MAIC has been located in Brisbane since it commenced operations on 1 September 1994 as a statutory body reporting to the Treasurer and is located at 275 George Street. MAIC and the Nominal Defendant are positioned within the Economics and Fiscal division of Queensland Treasury.

Our purpose

We boldly lead our scheme to support injured claimants and motorists, while ensuring strong and efficient governance.

Our vision

By 2026, claimants and motorists will benefit from improved experiences and outcomes through our leadership of an aligned, intelligent and empowering scheme.

Our objectives

We strive to deliver our objectives:

• easier, clearer claimant and motorist experiences
• sustain confidence in the scheme and our regulatory and compliance leadership
• an awesome and highly effective team.

Our contribution to government objectives for the community

We also support the Queensland Government’s objectives for the community, including good jobs, better services and great lifestyle.

Our opportunities

We embrace the opportunity to:

• create an agile and dynamic culture which responds to leading changes in our scheme
• improve collaboration and co-design with stakeholders, researchers and scheme partners to deliver better experiences and reduce the incidence and effects of road trauma
• leverage emerging innovations for enhanced claimant understanding and service provision.

Our key risks

We mitigate risks such as:

• failure of the scheme to respond to economic pressures, unethical practices and other external shocks
• failure to understand the priorities of diverse stakeholders
• failure to keep pace with changing claimant expectations and experiences.

Our success measures

Our success is indicated by:

• team culture and engagement measures
• scheme efficacy measures and stakeholder feedback
• claimant satisfaction
• Commission efficacy and reputation measures.

Insurance Commissioner's report

It is pleasing to report that Queensland motorists and road users continue to benefit from a Compulsory Third Party (CTP) insurance scheme (the scheme) that is stable, fair and affordable.

Premiums for a Class 1 (car or sedan) remain one of the most affordable on mainland Australia.

The scheme continues to deliver timely access to treatment and rehabilitation and fair compensation. Insurers continue to focus on service initiatives for injured people; litigation rates remain low; and very few matters proceed to trial reflecting the professional approach of insurers and lawyers in the management of claims. Insurer profitability at a whole of scheme level remains favourable and scheme efficiency remains sound with 73% of every premium dollar being paid as a claimant benefit.

With RACQ Insurance exiting the scheme from 1 October 2023, urgent work was carried out by MAIC and DTMR officers to ensure the smooth reallocation of RACQ policies to the remaining three insurers. The urgency of this work required the 2023 Scheme Review to be put on hold. I thank the teams involved as well as the licensed insurers for their support in ensuring a smooth and successful reallocation process.

Our main areas of focus this year will continue into 2024–25 and are outlined in this report. MAIC will continue to explore research opportunities and initiatives to further reduce the incidence and effects of road trauma in Queensland. MAIC reaches its 30th anniversary in September 2024 – a time to reflect on the many achievements over that time as well as an opportunity to inspire further innovation and improvement in road safety outcomes.

My thanks to all MAIC and Nominal Defendant staff for their sustained contributions to scheme performance during the year. Our Working for Queensland survey score of 82% reflects the wonderful culture and engagement levels across the team.

I also express my thanks to the many stakeholders including researchers, health practitioners, professional bodies and others who contributed to our initiatives during the year. Queensland road users enjoy protection from one of the best performing CTP schemes in Australia through your commitment and collaborative focus on scheme performance.

Neil Singleton
Insurance Commissioner

Levies and administration fee

Queensland’s CTP insurance premium contains levies and an administration fee to help cover the costs involved in delivering different components of the CTP insurance scheme.

These levies and administration fee are calculated annually and include:

• the statutory insurance scheme levy
• the Nominal Defendant levy
• the hospital and emergency services levy
• the National Injury Insurance Scheme, Queensland levy
• an administration fee.

In setting these levies, advice is sought from the receiving agencies and the State Actuary’s Office.

Statutory insurance scheme levy

The statutory insurance scheme levy covers the estimated operating costs of administering the MAI Act and also provides funding for research into crash prevention and injury mitigation. From 1 July 2023, the levy remained flat at $2.00 per policy and collected $10.0 million across 2023–24.

Nominal Defendant levy

The Nominal Defendant levy varies by vehicle class and covers the estimated costs of the Nominal Defendant scheme which provides funds to pay for claims relating to uninsured (unregistered) or unidentified vehicles. The levy is set having regard to an actuarial assessment of claim trends. From
1 July 2023, the levy for Class 1 vehicles decreased by $1.00 to $4.00 with $19.3 million collected in 2023–24.

Hospital and emergency services levy

The hospital and emergency services levy covers a reasonable proportion of the estimated cost of providing public hospital and public emergency services to people who are injured in motor vehicle crashes, who use such services and who are claimants or potential claimants under the CTP insurance scheme. The levy amount calculated varies by vehicle class. From 1 July 2023, the hospital and emergency services levy increased by $1.60 to $14.00 for a Class 1 vehicle. The collected income from the levy for the financial year was $66.7 million of which $54.5 million was apportioned to Queensland Health, $3.3 million to Queensland Fire and Emergency Services (QFES) and $8.9 million was allocated to Queensland Police Service (QPS). Collecting the levy in this way removes the need for hospitals and emergency services to issue invoices to CTP insurers for each treatment provided to victims of road crashes. This saves a significant administrative burden for service providers and licensed CTP insurers.

National Injury Insurance Scheme, Queensland levy

The National Injury Insurance Scheme, Queensland levy (NIISQ levy) varies by vehicle class and covers the estimated costs of the NIISQ which provides necessary and reasonable lifetime treatment, care and support to people who sustain eligible serious personal injuries in motor vehicle crashes in Queensland. The NIISQ levy increased by $2.40 to $119.00 for a Class 1 vehicle in 2023–24 and collected $609.3 million.

Administration fee

The administration fee is the fee payable to DTMR for delivering administrative support for the CTP insurance scheme. The administration fee increased by 60 cents to $8.60 per policy in 2023–24 and collected $42.7 million.

Premium levy and fee collection

1 July 2023 to 30 June 2024

Description*	$ (‘000)
Total insurance premiums collected**	1,925,133
Nominal Defendant levy	19,310
Statutory insurance scheme levy	10,045
Hospital and emergency services levy^	66,655
Administration fee (DTMR fee)	42,671
NIISQ levy+	609,306
Insurer’s premiums#	1,177,146

 

Notes:

* Levies received for the period 1 July 2023 to 30 June 2024 are on a cash basis.
** Net of cancellations.
^ From 1 July 2016, emergency levies collected were remitted separately to relevant entities. In the past the emergency levies were remitted as one payment
+ National Injury Insurance Scheme, Queensland levy.
# Includes GST.

Achievements

RACQ scheme withdrawal and policy reallocation

In mid-2023, one of Queensland’s four licensed CTP insurers, RACQ Insurance Limited (RACQ), requested approval to withdraw from the CTP insurance scheme.

While this was a commercial decision for RACQ, as scheme regulator MAIC had a responsibility to consider their request and associated withdrawal ramifications in line with the Motor Accident Insurance Act 1994. We also consulted with the remaining three licensed CTP insurers and the Australian Prudential Regulatory Authority (APRA) as part of the process.

Once the withdrawal request was accepted, it was determined that RACQ’s existing CTP insurance policies would be reassigned from the next registration renewal date after the withdrawal took effect, meaning there would be no impact on motorists or premium prices.

RACQ withdrew as a licensed CTP insurer on 1 October 2023, and we worked closely with RACQ and the Department of Transport and Main Roads in the months pre and post this date to deliver a smooth transition for people who had CTP claims underway or who had CTP insurance policies with RACQ.

As a result, the scheme continues to run effectively with the three remaining licensed CTP insurers, and motorists and claimants remaining supported. MAIC will continue to closely monitor the impact on the scheme.

Australia’s first claim farming prosecution

MAIC commenced prosecution proceedings against five separate parties for various claim farming offences. A successful prosecution against one of the entities has resulted in the Brisbane Magistrates Court sentencing an Australian company to fines totalling $1 million. The sentence was the first for claim farming-related offending in Australia. The trial
for the remaining charges has been part heard and is expected to resume in the latter part of 2024.

Claim farming involves receiving cold calls or social media messages about being involved in a car crash and making a personal injury claim. Scammers often use threatening tactics to gather personal data from Queenslanders which they sell to personal injury firms.

Legislative amendments were introduced in 2019 to proactively address claim farming in the scheme. Since the legislative reform, we have closely monitored and investigated reports of claim farming.

Claim farming notifications from Queenslanders continued to trend down from more than 1,300 complaints in 2019 to 27 reported in 2023–24. Our team actively investigates these notifications and will prosecute where appropriate.

We are committed to preserving the rights of people who have genuinely been injured, and the integrity of the Queensland CTP insurance scheme which is widely regarded as one of the most stable and affordable in the country.

Guiding principles co-designed by industry partners

A series of workshops facilitated by MAIC, involving CTP insurers and legal practitioners, explored opportunities to improve the efficiency of claim processing and enhance the experience of people injured in motor vehicle crashes who access the CTP insurance scheme.

One outcome of the stakeholder meetings was the drafting of guiding principles co-designed by CTP insurers, claimant lawyers, the Australian Lawyers Alliance (ALA), the Queensland Law Society (QLS) and MAIC.

The principles aim to provide a framework for best- practice claims management and ensure a more certain and efficient claimant experience that places the claimant at the centre of their claim journey.

View the Queensland compulsory third party insurance claimant experience: guiding principles at https://maic.qld.gov.au/wp-content/uploads/2023/09/CTP-Claimant-Experience-Guiding-Principles.pdf.

Innovation sprints drive collaboration

In late 2023, MAIC participated in an innovation ‘sprint’ in collaboration with the Queensland University of Technology (QUT) to develop innovative solutions that prioritise claimant-centric service design and leverage digital tools to streamline the claims process.

Working alongside other stakeholders, including insurers, law firms, health providers and researchers, the sprint identified and developed concepts that are underpinned by the principles of accessibility, intelligence, equity and proactive organisation
to ensure fair and efficient access to claims and rehabilitation services.

MAIC has categorised the concepts into three themes:

• Quick wins: Initiatives identified in the sprint that are either already underway or backed by stakeholders and easy to roll-out.
• Scheme wide initiatives: Initiatives that are broadly supported and would benefit from MAIC’s leadership (for example, initiatives requiring engagement with government agencies).
• Co-design initiatives: Initiatives that MAIC will be looking for stakeholder feedback and participation to co-design.

Quick wins MAIC has already rolled out include:

• an update to the at-fault CTP insurer search which provides insurer contact information and easier access to claims information
• updated whiplash information including the MAIC- funded My Whiplash Navigator — an online guide that has been co-designed by researchers and clinicians to provide information and advice based on the latest evidence to support whiplash recovery.

Managing Nominal Defendant claims prudently

The Nominal Defendant continues to deliver important protection for Queensland road users who are injured by an unidentified or uninsured vehicle. Nominal Defendant claims require a particularly stringent approach to claims management, especially where the involvement of an unidentified vehicle is alleged.

The Nominal Defendant has worked with MAIC to enhance the experience of claimants and their legal representatives throughout the claims experience. Members of the Nominal Defendant team have engaged closely in the development of the Queensland CTP claim portal. Sharing their comprehensive knowledge of the claims process and rehabilitation services, the Nominal Defendant is excited to be a part of this innovation that aims to improve customer experience.

Over the past decade, the Nominal Defendant levy paid by all motorists has decreased or remained stable each year evidencing the efficiency of the Nominal Defendant Fund.

Monitoring the NIISQ

In line with the NIISQ Act, we monitor the efficiency and effectiveness of the NIISQ Agency which administers the NIISQ. The NIISQ Agency assesses, decides and funds necessary and reasonable lifetime treatment, care and support for people who sustain an eligible serious personal injury in a motor crash in Queensland, on or after 1 July 2016.

The cost of administering NIISQ during 2023–24 was $575.49 million. As at 30 June 2024, NIISQ has 526 interim and lifetime participants. Further information about NIISQ and NIISQ Agency’s operations can be found in the NIISQ Agency Annual Report at https://niis.qld.gov.au/news-and-research/annual-reports.

Investing in road safety and rehabilitation

Institution	Title
University of Sunshine Coast	•   Road Safety Research Collaboration
	•   Drug Driving Unit
Queensland University of Technology	•   Centre for Accident Research and Road Safety
	•   Data linkage Fellowship •  Braking the Cycle evaluation
Griffith University	•   First Peoples and CTP Initiative
	•   First on Scene pilot for heavy vehicle drivers
	•   Procedural justice policing pilot
Police Citizens and Youth Welfare Association (PCYC)	•   Braking the Cycle learner driver mentor program
	•   ‘Changing Gears’ program
Queensland Trucking Association	•   First on Scene pilot for heavy vehicle drivers
Department of Transport and Main Roads	•   Transport Academic Partnership
	•   Road Safety Data Bureau
Transport New South Wales	•   MotoCAP motorcycle safety gear ratings
Department of Justice and Attorney-General	•   Licensing and identification muster
Logan City Council	•   Analytics pilot study

 

Prevention of road crashes

In line with our legislative functions, MAIC supports a range of ongoing and one-off initiatives that contribute to the ongoing viability and affordability of the Queensland CTP scheme. This investment spans from targeting the prevention of road crashes through to reducing the impacts of road trauma by influencing enhancements in the treatment, care and rehabilitation of those injured.

In 2023–24, in our Road Safety program we commenced a new pilot project with the Queensland Trucking Association. This pilot will look at the impacts of providing a first aid and crash scene management training program to 150 heavy vehicle drivers.

Research has identified that 70% of heavy vehicle drivers have been first on scene of a crash in a regional or remote area, with 50% of these drivers rendering first aid for significant periods before emergency services personnel arrive. Given the vast geographical area of Queensland, the chance of this occurring is even higher than in other states. This pilot project is nearing completion, and we look forward to the potential benefits that this training may provide in future years.

We also commenced funding of a new initiative with Griffith University being conducted in collaboration with the Queensland Police Service. This initiative will pilot the effectiveness of a new approach by police officers in terms of intercepting motorcyclists and drivers in two high risk locations in Brisbane.

Rather than an initial enforcement approach, this pilot will be based on procedural justice (or fair treatment and decision making). Previous research has highlighted that this procedurally just approach has worked effectively at random breath testing sites, with those intercepted reporting they were more likely to comply with Police, and reporting greater satisfaction with their intervention. This pilot will look at impacts of driver/rider performance post intervention in terms of speeding at these known high risk-taking sites.

MAIC’s funding to the PCYC Changing Gears program, the First Nations adaption of the Braking the Cycle program, expanded to two new sites, Yarrabah and Palm Island, in 2023–24. This is in addition to the existing site at Napranum. PCYC are continuing to develop and adjust this model on an ongoing basis to best support the much-needed enhancement of road safety education and training within these communities.

During 2023–24, the University of the Sunshine Coast Road Safety Research Collaboration had its first PhD graduate, Dr Laura Mills. This is a significant outcome and we look forward to several more graduates in coming years, as a means of developing future road safety researchers and practitioners. The inaugural Director of the Collaboration, Professor Jeremy Davey, was also awarded Emeritus Professor status in recognition of his work in road safety overall and his leadership in implementing an effective program to employ local students and graduates as early researchers within this Collaboration.

Maximising recovery

Institution	Title
University of Queensland	RECOVER Injury Research Centre Whiplash Clinical Pathway
Griffith University	The Hopkins Centre Spinal Injury Project BioSpine
Metro North Hospital and Health Service	Jamieson Trauma Institute
Spinal Life Australia	Back2Work Vocational Rehabilitation Program
Queensland Brain Institute	Senior Research Fellowship in TBI Prediction and diagnosis using imaging and clinical biomarkers trial
Children’s Health Queensland Hospital and Health Service and University of Queensland	Chair of Paediatric-Rehabilitation
Emergency Medicine Foundation	Grants program to enhance clinician research in rural, remote and regional Queensland
Bionics Gamechangers Australia	2024 Student Challenge
Retrieval Services Queensland	Research pilot

 

The activities we support in rehabilitation research reflect the spectrum of injuries that can result from road crashes, from musculoskeletal injuries through to severe and lifelong injuries including spinal cord and brain injuries. In addition, we fund research that focuses on improving healthcare from point of injury, through to emergency department, hospital care, and community-based rehabilitation services.

In 2023–24, we established new funding arrangements with Retrieval Services Queensland and Bionics Gamechangers Australia.

For Retrieval Services Queensland, our funding will pilot a three-year program that will increase the research and data analytics capacity with the aim of improving patient outcomes in regional, rural and remote Queensland.

The provision of high quality and timely treatment and transport to hospital following an injury is crucial to patient survival and long-term health outcomes. While approximately 17% of claims occur on regional and remote Queensland roads, injuries sustained are often more serious with an overrepresentation of brain and spinal cord injuries.

Funding to Bionics Gamechangers Australia will support the 2024 Student Challenge. This challenge will target Queensland University students enrolled in an undergraduate and/or Honours program in health, engineering, science, design, business or technology- based degrees.

Student proposals will focus on a ‘new world idea’ or a marked improvement in design, usability and end user benefits of a device, implant or treatment. This includes devices of relevance to those impacted by road trauma.

Our funding to two major spinal cord projects with Griffith University has seen both initiatives continuing to progress strongly. The Spinal Injury Project cell transportation therapy for treating spinal cord injury has received approval by the human ethics committee of the Gold Coast University Hospital. It is anticipated that the human clinical trial for this project will commence within the second half of 2024. This is a very exciting development and the research team are continuing to attempt to source funding to allow for an increase in participant numbers.

The BioSpine project has also made significant progress in 2023–24. The research team has continued to develop and advance technology, including creating and testing new hardware, software and firmware to improve the usability and performance of the BioSpine and BioWrap products. Pilot testing has commenced on non-invasive electrical stimulation of the spinal cord with several co-design activities. This has provided some promising outcomes to date, which will be further validated by the researchers in the near future.

Governance

Our people

We strive to create a positive workplace environment where our people are engaged, committed and highly capable. In 2023–24, MAIC continued to embed flexible work practices that support business needs, while supporting staff to create a healthy balance between work and personal commitments.

Our leaders are role models and active supporters of inclusion and diversity in the workplace, regularly acknowledging external awareness events and days of significance, such as NAIDOC Week and the International Day Against LGBTQIA+ Discrimination (IDAHOBIT). Employees are also provided with the opportunity to immerse themselves in lunch and learn discussions, team showcases, cultural training, Innovation Day activities and other work programs.

The health and wellbeing of our team is essential and during 2023–24 we continued to encourage our staff to maintain an appropriate work-life balance. We supported our employees through trauma-informed practice training, along with employee performance management and development programs. Staff had regular opportunities to check-in and provide feedback, through the Working for Queensland survey (with a 93% completion rate), and workplace health and safety strategies.

We met our obligations under the Public Sector Ethics Act 1994 by ensuring our staff completed Treasury’s suite of online training modules, including modules related to the code of conduct and human rights. The online training package is rolled out to all new staff.

Our employee expenses and key executive management personnel and remuneration information can be found in the Financial Information (page 31 for MAIC, and page 59 for the Nominal Defendant). To see MAIC’s workforce profile, including full-time equivalent (FTE) staff and permanent separation rate, view the annual report of Queensland Treasury.

Our values

We align our behaviour and operations with the five Queensland public service values:

Customers first

• Know your customers
• Deliver what matters
• Make decisions with empathy

Ideas into action

• Challenge the norm and suggest solutions
• Encourage and embrace new ideas
• Work across boundaries

Unleash potential

• Expect greatness
• Lead and set clear expectations
• Seek, provide and act on feedback

Be courageous

• Own your actions, successes and mistakes
• Take calculated risks
• Act with transparency

Empower people

• Lead, empower and trust
• Play to everyone’s strengths
• Develop yourself and those around you

Human Rights

As part of our commitment to furthering the objectives of Queensland’s Human Rights Act 2019, we:

• completed Human Rights Certificates to accompany amendments to the Motor Accident Insurance Regulation 2018
• ensured all new staff learnt about their human rights obligations via our employee induction and orientation programs
• embedded a commitment to human rights into our strategic and operational plans
• continued our work with the First Nations initiative to support Aboriginal and Torres Strait Islander peoples through the CTP claims process and related road safety initiatives
• continued our focus on employee health, safety, wellbeing and human rights by supporting flexible work arrangements for employees.

No human rights complaints were received during the 2023–24 reporting period.

Our leadership team

The Insurance Commissioner sets the direction for MAIC, the Nominal Defendant and the NIISQ Agency and reports to the State Parliament through the Deputy Premier, Treasurer and Minister for Trade and Investment.

He is supported by the leadership team, which includes: General Manager, MAIC; General Manager, Business and Advisory Services; and General Manager, Innovation and Delivery.

Our leadership team is responsible for implementing the strategic direction of MAIC, the Nominal Defendant, and the NIISQ Agency, and overseeing operational performance, determining operational policy and project management.

The leadership team supports the Insurance Commissioner, as the accountable officer, to meet legislative requirements and accountabilities as well as to identify and manage key areas of risk. As at 30 June 2024, the leadership team comprised of:

Neil Singleton
Insurance Commissioner
B. Business (Insurance), MBA

Neil was appointed as Insurance Commissioner in December 2010. Neil has over 30 years of insurance experience across a broad range of management and executive positions. Neil’s responsibilities include providing strong strategic leadership to ensure a viable, affordable and equitable CTP insurance scheme in Queensland.

David Vincent
General Manager, Motor Accident Insurance Commission

David has over 30 years’ insurance experience including roles in personal injury claims management and underwriting, along with positions involving insurance regulation and government policy development. David is responsible for leading the strategic management of the Nominal Defendant claims unit, the supervision of licensed insurers and managing MAIC’s claims-related legislative functions.

Anh Bui
General Manager, Business and Advisory Services
B. Bus, LLB, FGIA, CPA

Anh is responsible for leading diverse teams across a broad range of strategic and operational functions including finance, procurement, corporate governance, communications, people, and culture. As a qualified accountant and governance professional, Anh has over 20 years’ experience in financial services, is a member of CPA Australia and has also been admitted to the legal profession.

Peter How
General Manager, Innovation and Delivery
Dip (Proj Mgt), B. Comm, Grad Dip (Commercial Computing), MBA, MAICD

Peter has comprehensive executive leadership experience in government and private enterprise across a range of industries with a particular focus on innovation and incubation, organisational performance, agility and growth. He is also a qualified company director and board advisor.

Organisational Structure

Risk management

We are committed to effective risk management and have adopted Queensland Treasury’s framework for proactively identifying, assessing and managing risks. Our risk management approach ensures:

• we meet our statutory responsibilities under the MAI Act, the NIISQ Act and other legislation
• risk management is integrated into organisational activity
• corporate governance processes, including systems of internal control, are assessed and enhanced.

Everyone in MAIC and the Nominal Defendant is responsible for managing risk. A robust risk management framework is integrated into all Treasury business activities and systems; and our leadership team is accountable for risks that may affect our ability to achieve our strategic objectives. Risks are managed through our corporate governance framework providing the foundation for effective decision-making, sound management and clear accountability.

A risk register is maintained and reviewed by the leadership team biannually. Risks are monitored with risk controls and treatment strategies assigned to risks where appropriate. Treasury’s Executive Leadership Team reviews the MAIC risk register from a consolidated Treasury perspective and MAIC has external auditors which review the register annually. Our commitment to business continuity management ensures continuity of key business services which are essential for or contribute to the achievement of our objectives.

We participate in Treasury-wide risk and accountability management through representation on Treasury’s Audit and Risk Management Committee. We also have an active Internal Audit program in place provided by the Treasury Internal Audit function.

Audit and Risk Management Committee

Insurance Commissioner, Neil Singleton, is a representative on Treasury’s Audit and Risk Management Committee (ARMC).

The ARMC supports Treasury’s accountable officer – the Under Treasurer – to meet the responsibilities under the Financial Accountability Act 2009, the Financial and Performance Management Standard 2019 and other prescribed requirements.

The role of the committee is to provide independent assurance and assistance to the Under Treasurer on Treasury’s risk and control frameworks and external accountability responsibilities as prescribed in the relevant legislation and standards.

The ARMC has responsibility for the review of financial statements for Treasury, MAIC, the Nominal Defendant and the Financial Provisioning Scheme.

2023–24 Audit and Risk Management Committee

Chair:
Independent member

Members:

• Assistant Under Treasurer, Social Policy
• Insurance Commissioner
• Commissioner of State Revenue and Registrar of the State Penalties Enforcement Registry
• Independent member and finance expert

The Under Treasurer, Head of Corporate, Chief Finance Officer (CFO), Chief Risk Officer, Queensland Audit Office (QAO) and Internal Audit (including Head of Internal Audit) have standing invitations as observers to attend all ARMC meetings. Treasury officers are invited to attend meetings as required.

Key achievements for 2023–24

In 2023–24, Treasury’s ARMC met five times and fulfilled its responsibilities in accordance with its charter and approved work plan. Key achievements included:

• endorsing the 2022–23 Financial Statements for Treasury, MAIC and Nominal Defendant
• endorsing the three-year strategic Internal Audit Plan and monitoring 2023–24 internal audit activity
• reviewing the effectiveness of the department’s risk management framework and overseeing the management of significant business risks and material projects
• monitoring progress of the implementation status of internal audit recommendations
• considering issues raised by QAO including recommendations from performance audits and Treasury-related reports to Parliament.

Internal and external accountability

Our governance framework includes both internal and external accountability measures. Internal audit is an integral part of the corporate governance framework by which Treasury maintains effective systems of accountability and control at all levels. Internal audit provides assurance to the Under Treasurer that the entity’s financial and operational controls are operating in an efficient, effective, economical and ethical manner, and assists management in improving Treasury’s business performance.

Externally, MAIC and the Nominal Defendant are audited by QAO in accordance with the Financial Accountability Act 2009. MAIC and the Nominal Defendant have achieved unqualified audits since the Commission commenced operations in 1994.

More information on Treasury’s Audit and Risk Management framework including information about the committee are detailed in Queensland Treasury’s annual report.

Information systems and recordkeeping

Our recordkeeping framework aligns with Treasury’s Information Management Framework. The framework aims to ensure our record management practices are consistent with other offices within the Treasury portfolio and are compliant with current legislation and best practice record keeping standards. These include Public Records Act 2002, Information Privacy Act 2009, Right to Information Act 2009, and the Records governance policy.

MAIC and the Nominal Defendant are both within the scope of Queensland Treasury’s Information Security Management System (ISMS) and are included in Treasury’s annual Information Security Return. As such, during the mandatory annual Information Security reporting process, the Under Treasurer attested to the appropriateness of the information security risk management within Treasury to the Queensland Government Chief Information Security Officer, noting that appropriate assurance activities have been undertaken to inform this opinion and Treasury’s information security risk position.

Statistics

We produce quarterly and annual CTP scheme insights reports to demonstrate key aspects of scheme performance. These reports inform our stakeholders and the broader community about the operation of the scheme and management of claims, as well as enhancing scheme awareness and understanding. These publications, including Annual CTP scheme insights: 2023–24, are available at https://maic.qld.gov.au/scheme-knowledge-centre/ctp-scheme-insights.

We support the Queensland Government Open Data Initiative. In 2023–24, we released 15 datasets in addition to CTP insurance scheme insights reports. Our Open Data sets are available at https://www.data.qld.gov.au/dataset/compulsory-third-party-ctp-statistics.

Motor Accident Insurance Commission

Summary of financial performance 2023–24

The operating result for MAIC for the year ended 30 June 2024 was an operating surplus of $5.0 million compared to the prior year’s surplus of $2.1 million. The increase was driven by an increase in investment returns on financial assets, levy and penalty income, offset with the increase in total expenses.

The statutory insurance scheme levy per vehicle remained $2.00 per annum in 2023-24. Penalties and other income increased by $0.1 million to $12.8 million.

The investment returns on financial assets were gains of $18.1 million compared to prior year’s gains of $10.4 million. This reflects improvements in the equity market.

Total expenses increased by $5.3 million to $36.0 million in 2023–24. MAIC’s largest expense item relates to grants spend of $22.6 million for the continued funding of research programs to reduce the incidence and mitigate the effects of road trauma. The increase in grants expense of $4.0 million was largely due to increase in proposed investment in targeted research and service delivery. Details of grants funding are provided in Appendix 4.

Income (millions)

Expenses (millions)

Nominal Defendant

Summary of financial performance 2023–24

For the year ended 30 June 2024, the Nominal Defendant had a total income of $102.9 million and expenses of $50.1 million resulting in an operating surplus of $52.8 million, compared to the prior year’s operating surplus of $28.8 million.

The $24.0 million increase in the operating result was driven by positive investment returns on financial assets. Total investment gains on financial assets were $81.4 million compared to prior year’s gains of $43.3 million, reflecting an improvement in equity markets in 2023-2024.

The Nominal Defendant levy reduced from $5.00 to $4.00 per Class 1 vehicle in 2023-2024 and generated income of $21.0 million, representing a $7.6 million decrease from the prior year. Actuarial assessments at 30 June 2024 resulted in an increase of $0.7 million in reinsurance and other recoveries from prior year.

Total expenses increased from $42.9 million in 2022-2023, to $50.1 million in 2023-2024. This is primarily a result of higher claim costs. The Nominal Defendant’s gross outstanding claims liabilities were actuarially assessed at 30 June 2024 to be $142.1 million, an increase of $7.7 million from the prior year. Nominal Defendant claim payments were $35.2 million (prior year $26.9 million) and claim recoveries were $0.4 million (prior year $0.2 million).

The Nominal Defendant is in a fully funded position with financial assets more than sufficient to meet all obligations arising from the outstanding claims liability.

Income (millions)

Expenses (millions)