What insurance do you need for a car in Australia?

In Australia, the only insurance you legally need to drive a car is Compulsory Third Party insurance, known as CTP, Green Slip in New South Wales, or Motor Accident Injury Insurance in some states. CTP is mandatory for registration and covers your liability if you injure or kill another person in a car accident, including pedestrians, cyclists, passengers and other drivers. It does not cover any damage to vehicles, property, or your own injuries in some states if you were at fault. CTP is included in your registration renewal in Victoria, Queensland, Western Australia, South Australia and Tasmania, but in NSW and ACT you must purchase it separately from licensed CTP insurers. While CTP is the only legal requirement, it is strongly recommended and extremely common to have additional insurance. Most Australians buy Comprehensive Car Insurance, which covers damage to your own car from accidents, theft, fire, flood, storm, vandalism, and damage you cause to other people's cars and property up to $20M. The two cheaper alternatives are Third Party Property Damage, which only covers damage you cause to other people's property, and Third Party Fire and Theft, which adds cover if your own car is stolen or burnt. Without at least Third Party Property cover, you could be personally liable for tens of thousands of dollars if you damage a Mercedes, Tesla or building.