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.