A new CTP class for booked hire vehicles has been introduced alongside new Department of Transport and Main Roads (DTMR) licencing and vehicle standard requirements for rideshare operators. These changes ensure the safety of passengers, increase competition and support Queensland’s rideshare industry in its adaption to new technologies. From 1 October 2017, Rideshare drivers in Queensland are able to transition into their new Compulsory Third Party (CTP) insurance class.
Class 1 – Cars and Station Wagons
For cars and station wagons not being operated as rideshare vehicles at any time.
Class 4 – Hire Vehicles
Hire vehicles that would otherwise fall into Class 1, 2 or 6 and are not in Class 26. This is the correct class if you are hiring a vehicle from a company (e.g. Keyz, Splend) to operate rideshare. These vehicles remain in the name of the hire company and are not transferred into the name of the operator. This class is also the correct class if you rent a car from a car rental franchise (e.g. Budget, Hertz or Europcar) and operate rideshare.
Class 6 – Trucks, utilities and vans <4.5t
For trucks, utilities and vans with a gross vehicle mass of less than 4.5t and not being operated as rideshare vehicles at any time.
Class 26 – Booked Hire Vehicles
Booked hire (rideshare) vehicles (cars, station wagons and utilities) and limousines (cars and station wagons) that are not made available, at any time, for hire without a driver. Vehicles which are privately owned and currently registered in Class 1 or 6 and operating as rideshare vehicles must transfer to Class 26.
For complete CTP class information, please click here.
When did the new rideshare CTP class commence?
Class 26 commenced on 1 October 2017 (although changes could not be made until 3 October 2017 due to the Queen’s Birthday public holiday).
How do I transition to Class 26?
- Ensure the vehicle is registered in Queensland and has a current Certificate of Inspection.
- Contact your CTP insurer and request to move to Class 26. Pay the difference in CTP premium to your CTP insurer. Not sure who your CTP insurer is? Insert today’s date and your registration in our “Find the ‘at-fault’ vehicle’s CTP insurer” tool to find out. This is located on our homepage.
- Apply for the booked hire driver authorisation (BHTX) with DTMR and pay the associated fee.
Why is CTP more costly for rideshare operators than Class 1 (cars and station wagons)?
Class 1 vehicles and booked hire operators have a different purpose of use. MAIC’s independent actuary provided advice to MAIC in order to assist with setting the premium for the new Class 26. To inform this advice, rideshare claims experience in other jurisdictions was considered. Premium prices will be refined over time as frequency and claims size for this new class becomes apparent.
Why is CTP more costly for taxi drivers than rideshare operators?
Queensland CTP premiums are determined on a community-rated basis by vehicle classification. Taxis are in a separate class (Class 3) based on their specific purpose of use. The Queensland CTP scheme claims experience has been that risk premium (the product of frequency and claim size) of taxis is significantly higher than Class 1 (cars and station wagons) vehicles. The CTP premiums for taxis in Queensland have been reduced in 2017 and 2018 following above average claims experience and reductions of CTP premiums for other classes.