Progressive Car Insurance - What's The Catch?

decryption on 15/12/2015 - 08:05

It's that time of the year when I need to renew my car insurance and was gobsmacked to see that Bingle wanted ~$850 to insure my car. So I went looking around some quotes and saw that when getting a fresh quote as a new customer from Bingle, the price is only ~$550, same goes for AAMI, Allianz and a few others. All the quotes are in the $550-$700 price bracket.

Progressive Insurance however, only want $296: http://imgur.com/zfTtWXv

Same excess and agreed value as Bingle and from what I can see from Progressive's PDS, pretty much what I'd expect in terms of coverage and claiming. What's the catch here? Why is Progressive so cheap?

Automotive

Related Stores

progressiveonline.com.au
progressiveonline.com.au

Comments

  • jiberz on 15/12/2015 - 08:49
    +2

    It is called the lazy tax. Checkout explains it well.
    https://www.youtube.com/watch?v=VDpJ3S8z0I0

  • indium on 15/12/2015 - 09:16

    Probably lack of staff and resources, I'd go for it though if I were you

  • altomic on 15/12/2015 - 15:08

    i'm with Progressive. had to make a claim last year due to the November super enormous hail storm. there were 2 panel beaters that Progressive used. one near the Gabba and the other in South Bris. I live in Nth Bris so both options were meh, but Gabba was the least hassle.

    the price of $296 will be for the cheapest of cheap options. no car rental discount thing, no windscreen, etc.

    I'd suggest you use that price to get a price beat with one of the other insurance crowds -e.g. coles (though many people have complained about their service)

  • decryption on 15/12/2015 - 19:34

    Interesting. I'm fine to pay for no frills insurance. Don't need rental cars or taxis.
    Might take altomic's advice and use it as a bargaining chip with Coles.

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