Car insurance Australia wide on used cars Australia is available from many insurance companies.
There are several car insurance options; and it would be wise to compare car insurance by obtaining car insurance quotes from the different insurance companies, so you can make an accurate car insurance comparison, and see which one is going to suit you the best based on your own circumstances.
It is important to know exactly what you are covered for and what you are paying for. Ask the insurance company for their ‘PDS’ product disclosure statement, so you can see the ‘inclusions’, and ‘exclusions’ in greater detail for each insurance company. This way you will be able to make a better informed car insurance comparison between the insurance companies and their car insurance products.
This website will only supply you with general advice, so before purchasing any insurance product that is advertised on this site; consult your financial advisor first.
Car insurance comparison
To make a decision on the type of insurance you require, you first need to understand what the different types of car insurance will cover you for. There are essentially 3 levels of car insurance that can be purchased, listed from the most comprehensive car insurance product to the least.
Comprehensive car insurance
Comprehensive car insurance has changed over the years with insurance companies offering different ways to select the ‘inclusions’ that are covered by the comprehensive insurance policy. As a general guide:
Comprehensive car insurance will cover you if your car is accidentally damaged, stolen or burnt anywhere in Australia. The insurance company will at their option either repair your car, pay the cost of repairing your car, or pay you the ‘Agreed Value’ or ‘Market Value’ of your car. With comprehensive car insurance, all the benefits, conditions, and exclusions described under third party fire and theft, and third party liability cover also apply.
There are also some additional benefits that an insurer will pay for including emergency repair, emergency expenses, faultness no claim bonus, new car replacement, covering personal items in the car, covering a trailer if attached to the car, windscreen cover, window or glass cover, hire car reimbursement, key and lock cover, towing and clean up costs. These additional benefits are not always included in the insurers standard comprehensive package, and they may charge you extra should you wish to have them included.
Third party fire and theft
Third party fire and theft will cover you if your car is damaged by fire and is a total loss, or if your car is stolen and not found. If your car is damaged by fire and is not a total loss, or your car is stolen and found damaged or if parts of the car are stolen and either not found or found damaged, the insurer will at their option either; repair your car, pay the cost of repairing your car or pay you the market value.
If the car is stolen and found damaged or is damaged by fire, the insurer may also pay the reasonable cost of moving your car to a repairer near the accident site or near where the car was burnt, or near where it was found if stolen.
With third party fire and theft, all the benefits, conditions and exclusions described under third party liability cover also apply.
Third party liability
Third party liability will cover you for your legal liability to pay compensation for loss or damage to someone else’s property as a result of an accident anywhere in Australia. often the insurer will also pay for legal expenses when their lawyers act in connection with a claim. Often too you are covered for accidental damage to your car in an accident caused by an uninsured motorist if they agree that you would be legally entitled to recover the cost of the damage from the owner or the driver of the other car if you can show the owner or driver is uninsured and not willing to pay. You must provide the name and address of the owner or driver, and the registration number of the other car/vehicle.
What is the car insurance that comes with my motor vehicle registration?
When you pay registration on your used car, it comes with third party body insurance. This covers you if you have an accident and as a result you cause injury to another person. It does not cover anything else.
Why have car insurance?
Car insurance is there to cover you against life’s unforseen circumstances. It protects you financially and every motorist should have the highest level of cover that they can afford.
If you were the cause of an accident, and say damaged an expensive car, or a building, without insurance you would most likely be sued in the courts and may spend many years paying off the cost of the damage you caused.
If finance is involved, the lender will require comprehensive car insurance covering the car for the duration of any car loans in Australia. This is a legal requirement, and the lender will also be noted on the insurance policy.
