A three-year-old girl has died after being hit by a car reversing out of her family’s driveway on the NSW mid-north coast.

The toddler suffered severe injuries after she was struck by a Holden Commodore station wagon driven by a 27-year-old male relative on St Vincent St in Taree, on Wednesday afternoon.

Police said the girl was treated by paramedics at the home and transferred to Manning Base Hospital where she later died.

The driver of the Commodore was also taken to hospital for mandatory blood and urine testing, police say.

The man, 27, has been interviewed by police, which described the incident as a tragedy.