Comprehensive Car Insurance Policies

Comprehensive Car Insurance Policies

Finding the right comprehensive car insurance policies to suit you mean that you can not only save yourself money but you can have the right level of cover. But how do you know whether you are better off with the bigger and more familiar companies like NRMA and GIO or with the smaller or less well-known ones like Bingle and Budget Direct?

Choosing the right car insurance company for you depends on a number of factors such as your budget, what level of cover you are after, who you trust and how much time you have. By comparing comprehensive car insurance policies online you can compare their inclusions and prices and find the best one for you. The right one can also save you a lot of money and time in the long run.

All Australian car insurance companies must have an Australian Financial Services License (AFSL) in order to commence business. They must also adhere to a range of rules and regulations such as the Australian car insurance code of practice. So whether they are large or small, you can have peace of mind knowing that they are generally safe and it is unlikely that they will close up shop tomorrow.

Below are some ways that could help you choose between the smaller and larger car insurance companies:

  • Underwriters. If you are unsure of whether a smaller insurer is reputable or not, find out who their underwriter is and who will process your claim. Underwriters are companies behind the insurance providers that decide whether a claim is processed or not. Some car insurance companies do their own underwriting, but the majority of car insurance providers have underwriters that are are big name brands and have been in operation for years. For instance, AAMI is the underwriter for Bingle, A&G for Budget Direct and Suncorp Metway for GIO.
  • Specific market. Some car insurance companies target a specific market, so if you fit into one niche you can rest assured knowing they are ‘specialists’ in this area. For instance, Just Car Insurance specialise in offering insurance for drivers 25 and under with modified and high performance cars. Australian Pensioners Insurance Agency (APIA) insurer people older than 50 and not working full-time.
  • Price. A number of the smaller car insurance companies are very competitive in price and are more targeted at the ‘budget’ end of the spectrum.

Compare car insurance online to find one that is cheaper to save you more.

 

Did you find this helpful? Why not share this article?

Advertisement

RateCity

Money Health Newsletter

Subscribe for news, tips and expert opinions to help you make smarter financial decisions

By signing up, you agree to the ratecity.com.au Privacy & Cookies Policy and Terms of Use, Disclaimer & Privacy Policy

Advertisement

Learn more about car insurance

Can you insure your car for 6 months?

Most Australian insurers won’t offer you a 6-month car insurance policy, so you may need to buy a policy that covers your car for damages and cancel it after six months. You will need to purchase comprehensive car insurance to protect your car from accidental damage, theft, vandalism, or natural disasters.. 

Consider checking whether your 6-month comprehensive car insurance will cost more if you pay monthly or six-monthly premiums instead of a one-time annual premium. Another question to ask the insurer is whether you’ll need to pay administration or cancellation fees when you cancel the policy.

Alternatively, you can look for a suitable ‘pay as you drive’ car insurance policy, which usually offers you the coverage of a comprehensive car insurance policy but only requires you to pay for the distance driven. Such a policy may not be the ideal 6-month car insurance plan as it is based on how much you drive rather than for how long. If you need to drive a lot, you may end up paying more than you’d pay for regular car insurance. 

Does insurance cover a stolen car if keys were in the car?

A car insurance policy that covers the theft of your car, such as third party fire and theft insurance, usually covers a stolen car, even if the keys were in the car’s ignition.

However, your insurer may deny the claim if you live in an area where there have been several car robberies reported recently. They will see you leaving the keys in the car as a case of negligence. In such cases, your insurance provider may even expect you to have installed anti-theft security measures in your car. 

You may need to confirm whether or not you left your keys in your car, and if they had been stolen or misplaced, before filing your car insurance claim. The loss or theft of your car keys may be covered by a comprehensive car insurance policy, but usually as an optional item.

If you can confirm that your car keys were stolen, mention this in your claim as this will help establish that your car was not stolen as a result of your negligence.