Ride-share providers in the ACT will pay higher compulsory third party (CTP) premiums than private car owners, the territory’s insurance regulator says.

Implementation of the new ride-share class will begin on April 1 after the ACT Government’s landmark decision last year to legalise Uber and similar services.

“The higher premiums for ride-share vehicles compared with private passenger vehicles reflect higher assessed risk due to some commercial activity occurring,” Acting CTP Regulator Lisa Holmes said.

“The arrival of ride-share into the ACT created a new market dynamic, so to ensure there is equity in the treatment of all operators, a review of the hire car and taxi premiums was undertaken by CTP insurers to compare with ride-share premiums.”

Ride-share operators who have remained in the passenger vehicle class have until April 1 to change CTP classification and pay the higher premium when their registration is due.

Analysis of premiums considered the risk of personal injury arising from motor accidents involving ride-share, general hire cars and taxis.