Road Transport (Vehicle Registration)
Amendment (Written-off Vehicles) Bill 2010

Summary: The bill provides for the keeping of a register of
written-off vehicles and the collection of information
concerning written-off vehicles. In addition, the bill will
enable information on the NSW register of written-off
vehicles to be accessed on the Austroads national
database of written-off vehicles. The bill aims to protect
consumers from unknowingly buying a poorly repaired
written-off vehicle, and seeks to clamp down on vehicle
re-birthing. Another objective is to prevent the trade of
stolen parts to repair written-off vehicles.

Proceedings: The Government argued that the bill protects
consumers in NSW, improves the safety of vehicles and
roads, and combats vehicle theft, vehicle re-birthing and
related criminal activity. The Opposition did not oppose
the bill, while noting some concerns, such as the
anticipated increase in insurance premiums as insurance
companies will no longer be able to sell certain damaged
vehicles at auction to mitigate the financial impact of
insurance claims. The bill was read a second time.

In the committee stage, the Government moved an
amendment to the bill to enable insurers, when
determining if a vehicle is a ‘total loss’, to use a specified
sum-insured value or the market value of the vehicle
immediately before the damage, dismantling or
demolition. The amendment was agreed to, the bill was
reported to the House with the amendment, read a third
time and returned to the Assembly. The Assembly agreed
to the Council’s amendment.