Police say they were called to a home in St Vincent Street, Taree, shortly before 2.30pm on Wednesday. Investigators say they were told the young girl was hit by a Holden Commodore station wagon as it reversed out of the driveway.

She was taken to Manning Base Hospital, where she later died, police said. The driver of the car, a 27-year-old man who was related to the girl, was to undergo mandatory blood and urine testing.

Police said officers from the Crash Investigation Unit would investigate and a report would be prepared for the coroner.

In March, a nine-month-old baby suffered head and facial injuries after he was hit by a reversing car in a driveway at Merimbula on the far south coast. Two months earlier, a 20-month-old toddler died after being hit by the family's four-wheel drive in a Wahroonga driveway.