Comprehensive Car Insurance Query: Drastic Premium Increase, Worth to Switch?

totalgadget on 29/05/2018 - 10:00
Last edited 31/05/2018 - 17:11

I read topics on Automotive here, thanks for all the contributors helping us.

I'm aware of the importance of the insurance and especially the litigations with 3rd party vs Full insurance after reading few topics here.

I need suggestion before renewal of insurance.

Car make is Mazda 626 2000 make, bought last year (first car, cheap car, very good condition 130l on clock) and straight away went for Comprehensive insurance with RACQ ( Fixed value, Windscreen, 1 Accident no impact premium) for $395 a year.I have taken full insurance after reading horror stories here and for peace of mind.

Renewal time, RACQ increased premium to $500 (no claims). They didn't budge until when I provided with rival quote (Suncorp) agreed reduce to $480 and not price match as I'm not new customer. :(

Suncorp offered three packages, with $466 (highest) unlimited car hire and other one with $416 ( windscreen, fixed value) only, other with 400 (no windscreen, only fixed value with excess $800)

My usage is generally 10 K kms max per year and now using for daily driving to work (25kms total) in motorway (QLD-M3).

I use car now for work and shopping to malls (suburban driving). Myself mid 30's and for me driving is reaching point A to point B, no drooling.. :)

Before making decision, like to hear your thoughts or suggestion ,

  1. Worth to switch to Suncorp or stick with Racq ( service wise, repairers, repair my car or write off in general). Anything to get ask for more information?
  2. What are the catch or additional costs associated with unlimited car-hire.
  3. Is it worth to spend Full insurance ? My thoughts for $250 (compared to 3rd party) peace of mind (??) in case of any accident, not-at faults but no way to support ( after reading forum topics with 3rd party vs comprehensive)
  4. Anything need to be considered before switching and any impacts of that?

I could not find info specific about hire car additional costs with suncorp PDS.

Why only suncorp is other insurance companies having premium >500 :(
I read all horror stories with all insurance companies, so hard to decide and thought of taking suggestions from ozbargain friends.

Also its cheap car but I try to get best value for every $ spent, so is the reason for asking friends here…

Cheers.

update:

Well i decided to switch to suncorp for this year after calling with customer rep and looking into PDS.

  1. They provide unlimited car hire or before car is repaired or claim settled. No extra charges if they provide car (compact car), and also choice of the repairer. If mine, need to be approved before repair.

  2. sometimes peace of mind is worth than $$ as it is daily driver.

  3. Next year, based on conditions might go for fishing again :). No value for loyalty with

  4. Thanks for inputs. I learned few new things.

Automotive

Comments

  • boomramada on 29/05/2018 - 10:12

    Car Insurance mainly depend on age/location/gender/type of car and you can get some idea from https://www.canstar.com.au/compare/car-insurance/ and all the other feature that comes with it. Something that I use, may not work for you, that's why there are so many products.
    Make sure to read your PDS before purchase, you can ring and ask for one?

  • ShannonN on 29/05/2018 - 10:12

    Go shop online I changed from suncorp cause they increased fees after I'd been with them 2 yrs, no claims aami gave 100 off for better coverage yet they are part of the same company LOL

  • 87percent on 29/05/2018 - 10:29

    go online and do other quotes with other companies, and then use that against RACQ to drop their price

    • totalgadget on 29/05/2018 - 12:33

      They are not ready to budge with new suncorp quote as i'm not new customer…

  • apple2016 on 29/05/2018 - 10:43
    +2

    Car make is Mazda 626 2000 make, bought last year (first car, cheap car, very good condition 130l on clock)

    Going by this I wold go for the cheapest insurance I can find (Or even stick to third party).
    If you get into an accident the car will be written off as it would most likely cost more to fix the car. the payout would be cheaper.

    What are the catch or additional costs associated with unlimited car-hire.

    Unless you plan on getting into an accident once a month…

    Car insurance are more expensive for older cars as they are more expensive to repair.

    • totalgadget on 29/05/2018 - 13:15

      The reason for full insurance is i read here with 3rd party we dont have support in case of hit with other party having full insurance. I will be at fault even though not..

      May be for this year and next time plan to switch to 3rd party..

  • mskeggs on 29/05/2018 - 11:25
    +2

    That is a lot of typing over $64.
    You should get a badge!

    • totalgadget on 29/05/2018 - 12:34
      +2

      I'm a member of ozbargain..LOL

  • AdosHouse on 29/05/2018 - 11:34
    +4

    Number one hack with RACQ, never renew the insurance policy. Buy a brand new policy online with all exactly the same details, it will be at least $50 cheaper.

    • yoonibear on 29/05/2018 - 11:39

      Upvoted. Wife had her renewal come in and we did a like for like application for insurance w. the same company. New one ended up being about $150 cheaper

    • bobbified on 29/05/2018 - 11:55

      This ^^

      They usually send renewal requests with higher premiums hoping people would just pay it.

      Try going on the RACQ website and running another quote.

      The new quote should be lower.

    • totalgadget on 29/05/2018 - 12:35

      I didnt know i can buy new policy..

      Any way i tried but getting more expensive than before. Will try different option in the night and see how it comes out..

      • [Deactivated] on 29/05/2018 - 13:13
        +1

        Why would it be cheaper at night time?

        • totalgadget on 31/05/2018 - 17:03

          i mean at work, didnt try options like exisitng customer for discount..

          would be good with midnight special discount :) lol

  • Love a bargain on 29/05/2018 - 12:28

    Car insurance always goes up when it comes time to renew. Always pay to shop around. (Basically, they are prying on those who simply renew/ are loyal.)

    & yes, I've also had AAMI charging me more for renewal than if I get an online quote with the exact same details, and Coles refusing to price match in the second year because I wasn't a new customer. I think I have switched insurer every year in the last few years.

    As for whether it's worth paying for the free rental car option, it really depends if you can live without your car. E.g. if there is a spare car in your household that you can use, a mate's car that you can borrow, whether it's possible to survive on public transport (not always possible depending on where you live and work). If having access to a car is essential, then maybe it's worth getting. Having said that, the downside of not having this cover is merely that you might have to pay for a rental car yourself if you do have an accident and your car is out of action.

    • totalgadget on 29/05/2018 - 12:38

      Thanks for the advice.

      Well previously i used public transport but with new work place, i have to rely on car else it takes an hour to go work vs 15 min by car..

      No other car option..

      I mean when i pay extra $40, I'm geting unlimited car hire, but i felt insurance companies dont offer unless they make money from it.. So what to know what is the catch,,

      • [Deactivated] on 29/05/2018 - 13:15

        I'm geting unlimited car hire

        Are you sure? Is that what the pds states?

        • totalgadget on 31/05/2018 - 17:05

          yes. i called and got confirmed from rep. Asked him to point to the page in PDS and had a copy of it.

          Unlimited car hire or claim settled whichever.

          PDS says compact car mentinoned of same car age. I told what if they dont find same age they give better and it insurance is included if they provided it. Anyway i need car for going to work.. Serves my purpose in case of anything happened.

      • Love a bargain on 31/05/2018 - 12:24

        unlimited car hire only if you make a claim and you're left without a car… hence the questions you've to ask yourself are (a) how likely you think that's gonna happen and (b) how much will it costs you if you to rent a car for, say, a week or two should that happen.

  • Illian on 29/05/2018 - 18:11

    RACQ is terrible and won't give two shits about helping you when you actually need them, might be good to abandon ship anyway, they've completely screwed me over regarding a falsely claimed incident and I'll be dumping them the moment it's dealt with. Highly unprofessional.

  • Zippy7 on 29/05/2018 - 19:45

    Agree - always get quote from the other major insurers when it is renewal time - there are heaps to get quotes from online.
    I've used Coles, GIO, AAMI, NRMA.
    Comprehensive insurance is pretty similar amongst them - if they won't match, then change.
    It's your money.

  • dcep on 30/05/2018 - 09:47

    wow … comprehensive for $400 !! Good deal here

    i'm paying $210 for 3rd party alone

  • 0FoxGiven on 30/05/2018 - 09:56

    I got Coles to price beat budgetdirect's quote last year and when they increased the premium this year I got woolworths insurance to beat that quote plus got a $100 gift card on promo :) Net spend $350 for comprehensive insurance on a $8000 worth Suzuki Swift

  • rave75 on 31/05/2018 - 12:18

    Well NRMA increased my premiums from 1600 to 2200, then I switched to Allianz for $1600ish

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