[UPDATED] All Questions And Answers About Insurance in Australia
Steve Oke Chapchap Market No Comments
Below Are Frequentsly Asked Questions About Insurance in Australia
What is comprehensive car insurance?
- Repair or payment of the insured value of your vehicle for events including theft, collision, fire, malicious damage and weather-related damage
- Repair or payment of the value of other vehicles that are damaged by your vehicle in an accident, and damage to property up to the policy limits
Some companies offer a variety of optional extras as well, ranging from windscreen protection, to use of hire cars. That said, it’s important to always read the Product Disclosure Statement (PDS) of your policy to get a better understanding of policy inclusions, limitations and exclusions.
What is third party insurance?
- Compulsory third party (CTP): Covers death and injury to people if you’re involved in an accident. Each state and territory has different rules regarding this cover, so it’s important you check with your local transport authority for further information
- Third party property: Covers repair costs for property damage caused by your car up to the limits of the policy
- Third party property, fire, and theft: Covers damage to other people’s property and provides cover for theft of your vehicle, or damage to your vehicle caused by fire up to the limits of the policy
Ensure you review the Product Disclosure Statement for policy inclusions, limitations and exclusions.
Why is car insurance often more expensive for younger drivers?
What does market value and agreed value mean?
How can I reduce my car insurance premium?
- Parking your car in secure parking (such as in lock-up garage) if possible, to reduce the risk of theft, vandalism, flood or storm damage claims
- Buying a car fitted with an immobiliser or a security alarm, or having them installed. This may reduce the risk of theft and damage claims
- Driving less often. For example, catching public transport to work. Some insurers may offer lower premiums for drivers who don’t use their car frequently
- Limiting the number of drivers nominated on your policy, especially if they’re under 25. Fewer drivers means less risk of a claim for your insurer
- Choosing a higher excess, which means you’re taking on a larger part of the risk from your insurer
- Choosing to insure for market value or a lower agreed value, which will reduce the amount your insurer has to pay-out should your car be written-off
What is a no claims discount?
Does car insurance cover unlisted drivers?
What is excess in car insurance?
How do I make a claim on car insurance?
- The details of any other party or parties involved, including name, phone number, vehicle registration, address, license number and insurance details
- The names and phone numbers of any witnesses
- Photos of the accident scene and damage to the vehicles involved, if possible
- Any reports from police or paramedics, if they were required
Which car insurance is the best?
- If I crash into a luxury sports car could I afford their repairs?
- Is my car likely to be broken into?
- How will I get around if my car is stolen or written off?
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