TAC insurance if you’ve been in an accident in Victoria

TAC insurance

If you’ve been involved in a motor vehicle accident in Victoria and have suffered injury, in many cases the TAC will be responsible for providing assistance and compensation to you.

That is, they are an insurer.

Many people are unaware of this.

They think of the TAC just as the body that provides information and advice on road safety. 

The TAC is an insurance company

How does TAC insurance work?

Once upon a time, owners of cars and motor vehicles were required to obtain third party insurance for their motor vehicles.

They would need to arrange their own insurance coverage to cover them in the event they suffered injury.

Victoria became the first state in Australia to introduce a compensation scheme for victims of motor vehicle accidents.

You are eligible for TAC insurance because you pay a premium to the TAC every year, whether you realise this or not. This is called the TAC charge.

If you’re not sure whether you’re eligible to pursue a TAC claim, this page should help clarify things for you.

What is the TAC charge?

This is a fee that is included in your annual vehicle registration renewal fee.

It is applied to the registration fee of each vehicle that you own.

The Transport Accident Commission charge is used to pay for treatment and other support services for people that have been injured in transport accidents in the state of Victoria.

The TAC will cover you if you suffer injury in a motor vehicle accident.

It will also cover you for any liability if your vehicle causes the injury or death of another person.

Even if someone else was driving your vehicle, generally speaking you should still be covered.

But note this is only if there is injury or death. The TAC do not cover damage to vehicles.

The TAC charge also goes towards improving road conditions, which involves targeting high risk accident locations, ripple strips, wire barriers and other safety measures to bring down the road toll and keep drivers as safe as possible.

The final thing the TAC charge pays for is for public education campaigns to educate the community in relation of Road safety.

How much is the TAC charge?

It is calculated taking into account the type of vehicle you drive, the intended use of that vehicle, the carrying and seating capacity, and the garage location.

It is also based on where the vehicle is usually kept. Some areas are determined to be higher risk than others.

Finally, you may be entitled to a discount if you hold a concession card or if you are a pensioner.

Here’s an example as to how much the TAC charge might cost:

1 July 2021 to – 1 July 2022
Registration fee: $306
TAC charge $419
TOTAL: $726

As you can see from the example above, the TAC charge makes up a significant amount of the total registration fee payment you make every year.

Under what circumstances would someone be insured under TAC?

The following will help you to help you determine whether you may be covered in the event of a transport accident.

A transport accident is defined as an incident that was directly caused by the driving of a motor vehicle, motorcar, train tram or other form of public transport. It also includes incidents in which a pushbike was involved.

  • Was the injury or death consequence of a motor vehicle, train or tram accident (regardless of fault)?
  • Did the accident occur after 1 January 1987?
  • Was a claim made to the TAC within one year after the accident or one year after the injury sustained in the accident manifested itself (in certain circumstances this period can be extended)?
  • Are you able to establish a relationship between the use of the motor vehicle and the injury that was suffered?

A person may be excluded from obtaining TAC benefits if;

  • They failed to report an accident
  • They were driving while they never had a license or while having a suspended or cancelled license
  • While under the influence
  • While driving a vehicle in which the transport charges are unpaid
  • Using a car in connection with an indictable offence
  • Being injured as part of our in preparation for an organise race, speed trial or other more event
  • Driving an unregistered uninsured vehicle on private land

What does TAC insurance pay for?

A person that’s been injured in a transport accident is able to bring a claim for the following;

  • Medical expenses – for medical treatment, rehabilitation services, ambulance services, road accident rescue services, hospital and nursing services.
  • Lost wages expenses – for loss of earnings and loss of earning capacity for up to 3 years, in most cases, following the accident.
  • Dependency benefits – if a person is killed in a road accident, the surviving partner and any dependents may be compensated.
  • Impairment benefits – a lump sum that does not require fault on behalf of someone else. This is paid depending upon the degree of permanent impairment that a person is left with following a motor vehicle accident
  • Common-law damages claim – if someone is left with a serious injury following a motor vehicle accident that occurred as a result of someone else’s negligence, and they are able to pursue a common law damages claim.


If you’ve been involved in a transport accident in Victoria and you suffered injuries, you are entitled to obtain benefits from the TAC.

The TAC is an insurance company that will cover you in the event of injury. You have paid for TAC insurance coverage in your yearly vehicle registration.

The following TAC benefits are open to you to claim: medical and like expenses, income payments, impairment lump sum claim, common law damages claim.