If you are in a car accident and it is your fault, the other driver may want you to pay money to fix their car/truck/motorbike.

If your car is registered, there is insurance to pay for the costs of people who were hurt in the accident. This insurance does not pay for damage to property from the accident.

If you do not have any other insurance and the accident was your fault, you might have to pay to fix the other car or thing that got damaged.

The other person might write a letter of demand asking for money to repair the damage. If you get a letter of demand from someone, get legal advice from a lawyer as soon as you can.

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Who Can Help? (Service Providers)

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Text based resources about this topic

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Property damage

This web page has information for young people about car accidents and property damage.

Insurance

This web page has information for young people about car insurance.

Accidents

This web page has information for young people about what to do if you’ve had a car accident or been injured in a car accident. 

What to do if you receive a letter of demand.
NT Government factsheet.
Letters of Demand
NT Law Factsheet.
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What’s the Law – Car Accidents

Video simply explaining what you should do after a car accident.

 

Glossary: What these words mean

property
Property is something a person owns. It can include:

  • real estate: family home, investment property or commercial property
  • vehicles: cars, trucks, caravans, boats, trailers and motorbikes
  • money: cash or in bank accounts
  • shares or stocks: in a business or partnership, or a family or public company
  • insurance policies
  • superannuation
  • jewellery
  • furniture and household items
  • debts: mortgages, loans, credit cards and personal debts.
accident
When something happens that you did not plan or want to happen. For example, I had a car accident when I crashed into a wall.
insurance

A way to protect people from losing money. You pay money to a company and if something happens—like an accident or injury—they pay for the costs.

letter of demand
A letter asking for payment because someone owes money or did something wrong. After a car accident, one person might send the other driver a letter of demand asking for money to pay for the damage to their car.

This website gives general legal information. It is not legal advice. If you need advice for your problem, please talk to a lawyer.

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This website is a project of the NT Community Legal Education Network.
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