Table of contents:
How Much Car Insurance Cost In Australia – While inflation has slowed recently, its impact has significantly affected the cost of car ownership in Australia over the past year. In 2024, the average auto insurance premium increased to $1,717, a 16% increase compared to 2023.
This increase is in line with ABS findings, which show that insurance costs across all policies (including all types of insurance) are increasing by between 14% and 16% annually, depending on the quarter analyzed.
How Much Car Insurance Cost In Australia
In the next section, we dive into the analysis of 295,346 auto insurance quotes from 33 providers, which were collected for the Expert Choice Awards for Car Insurance 2024. We’ll examine key factors like age and location that affect insurance premiums. of automobiles. We’ll also give you practical advice on how you can potentially reduce your costs, even in the face of macroeconomic forces.
Australian Insurance Stress Surges Amid “extreme” Un-affordability
In a recent survey of 2,129 Australians aged 18 and over, almost a third of respondents identified price as their top priority when choosing car insurance. So what exactly is the impact on car insurance prices?
Auto insurance premiums are more expensive for male drivers ($1,849) than for female drivers ($1,585), which represents a 17% difference nationally.
Thus, while men under 20 years of age pay 30% more than their female counterparts, men 70 years of age or older close the gap a bit: they pay only 10% more.
This gender gap is most pronounced in Tasmania, where men pay 20% more than women ($1,430 vs. $1,188). The smallest gap is on the ACT, with only a 4% difference ($1,572 vs $1,510).
Are You Overpaying For Car Insurance? Here’s Why Seniors Should Compare Rates Now!
VIC has become the only state to exceed $2,000 in average car insurance premiums, totaling $2,139, making it the most expensive state in Australia.
Over time, your car insurance premium can decrease significantly, especially if you don’t file the claim. Let’s look at three factors that can work synergistically in your favor.
Age is one of the main factors that affects auto insurance premiums. Premiums steadily decrease over time as drivers become more experienced and (hopefully) mature. This downward trend continues until the age is set at around 70 years. As you can see, drivers 20 years old and younger can pay 3 times more than drivers 70 years old and older ($3,552 vs. $1,222).
Meanwhile, the longer you drive the same vehicle, the more you can save. As you can see below, there is a strong downward correlation between the age of your car and the price of your insurance.
Latest Car Finance News In Australia
Depending on the initial age of the car, insurance costs can be reduced by between 3% and 16% over a five-year period.
The No Claim Bonus (NCB) can generate significant savings for both the insured and the provider that offers it.
Achieving the highest NCB rating of 1 after five claims-free years can reduce your premium compared to a new rating of 6 ($1,548 vs. $3,221).
Although most NCB discounts are up to 15%, this effectively combines with the age-related premium reductions we discussed above, especially when you are free to claim.
Car Insurance Calculator
The most expensive cars to insure are those in popular colors such as black, white and silver due to their high resale value; Higher replacement costs for the insurance company mean higher premiums for you. cost.
Contrary to popular belief, the red car, which costs $1,636 less to insure, is not more expensive due to speed-related assumptions.
Instead of stating the obvious, such as Maserati’s insurance being more than 7.5 times more expensive than Daewoo’s, we decided to look at what makes sense for the market as a whole, looking at the 10 best-selling car brands in Australia.
Excluding Tesla (covered in our EV section above), Toyota is the most expensive brand to insure on this list. It costs 23% more to insure Toyota, the most popular brand, compared to Subaru, which is the cheapest to insure and ranks as the ninth most popular brand.
Car Insurance Nz
Reaching a deal on car insurance is all about being smart with your choices. Here’s how to make sure you pay the lowest premium:
There’s no denying that it’s been a tough year for auto insurance. A 16% increase is not insignificant, but there are hopes that prices will begin to fall as inflation begins to slow.
Although some of these larger forces are out of your control, that doesn’t mean you have to take the plunge.
As personal finance expert Rachel Wastell says, “Loyalty costs Australian drivers more than they realize, and as premiums continue to rise, staying with the same insurer could mean they lose out on hundreds of dollars in savings.”
Mozo Car Insurance Report 2024
So before your next renewal, take a closer look at your options – you might get a better deal and less money in your pocket.
Do you want to get the best price on your car insurance? Check out our car insurance comparison hub to see if you can switch and save.
Visit Australia’s Best Car Insurance for an overview of some of our award-winning policies. You can also track last year’s data in the 2023 Auto Insurance Report.
Our goal is to help you make smart financial decisions and our award-winning comparison tools and services are provided free of charge. As a marketplace we make money from advertising and this page has products and Go to Site links and/or other paid links where the supplier pays us if you go from us to their site or if you get a product that they use. You don’t pay extra to use our services.
Qbe Insurance Australia
We pride ourselves on the tools and information we provide and unlike other comparison sites, we also include the option to search all products in our database, regardless of whether we have a business relationship with the supplier of that product or not. .
The ‘Sponsor’, ‘Special Offer’ and ‘Featured Product’ labels more clearly show the products for which the supplier has paid to advertise.
‘Ranking order’ refers to the initial ranking order and is not intended to imply in any way that a particular product is better than others. You can easily change the sort order of products displayed on the page.
Terms, conditions, exclusions, limits and sublimits may apply to any of the insurance products displayed on the website. These terms, conditions, exclusions, limits and sublimits may affect the level of benefits and coverage available on any of the insurance products displayed on the website. Please review the applicable Product Disclosure Statement and Target Market Determination on the provider’s website for more information before making a decision about an insurance product. .
Getting Car Insurance After A Drink Driving Conviction In Australia
As an older driver, you’ve probably seen your car insurance premiums increase each year. But did you know that the average increase in car insurance premiums in Australia is 18% compared to last year? That’s according to Canstar’s Steve Mickenbecker.
In fact, Canstar data reveals that the average car insurance premium will increase by $274 in 2023 compared to 2022. This is a significant increase, especially for seniors on fixed incomes. But there’s good news: You don’t have to accept these rising costs without a fight.
Enter ‘Compare Market*’, a comparison business that compares up to 10 different car insurance brands to help you find the best deal.
“Seniors and retirees have several ways to potentially reduce their auto insurance costs,” said Adrian Taylor, general manager of general insurance at Market Compare. “From limiting the age of drivers to changing how much your car is estimated to be worth (market value vs agreed value), there are several strategies that will help you save.”
Cheap Car Insurance And Average Costs For 16-year-olds
One of the most effective strategies, according to Taylor, is to compare annual insurance*. “Car insurance policies almost always go up in price each year, even if you haven’t filed a claim,” he explains. “Comparing policies each year can help you find a better deal elsewhere.”
Taylor also recommends paying attention to your renewal policy. “It should show last year’s premium and your new premium, which means you can immediately see how much more you’re being asked to pay,” he says. “Look at the difference to see how big the new change is before comparing car insurance.”
Other tips from Mr Taylor include paying for your car insurance annually to avoid additional payment costs, being mindful of who drives your car (younger drivers are likely to increase the premium you pay) and not waiting for renewal to avoid save money. “You can cancel an existing policy and change insurance at any time,” he says. “Just be aware of any cancellation fees that may apply.”
So if you’re tired of watching your car insurance premiums increase every year, it’s time to act. Visit Compare Market* today and see if you can save by comparing auto insurance rates. After all, why pay more when you can pay less?
Bupa Third Party Car Insurance
*Please members, this is a sponsored post. All of our content that has an asterisk next to it means we may earn a commission for writing an article or posting an offer. us
