SA Treasurer Jack Snelling has flagged plans to alter the state’s compulsory third party insurance (CTP) scheme.

Speaking at a recent Committee for the Economic Development of Australia conference, he said he is considering a move to a no-fault CTP scheme, which would “remove some of the burden from taxpayers”.

Currently, SA operates an at-fault CTP scheme where only drivers injured in accidents where somebody is found to be at fault are eligible for compensation from the state’s Motor Accident Commission (MAC). The change would see all injured drivers receive compensation.

Mr Snelling says it could lead to lower premiums, as the commission would no longer need to pay legal and investigation costs to establish fault.

He told the conference the SA CTP system is the second-most expensive in the country and at an average annual premium of $489 also the least affordable as a percentage of average weekly earnings.

Currently, the MAC pays out about $350 million each year covering around 75% of accidents.

“A no-fault scheme, carefully implemented, would be more just, provide better outcomes for the injured and remove some of the burden from SA taxpayers,” Mr Snelling said.