Choosing the right car insurance policy

Nobody expects to have a car accident, but it happens to the best of us (and especially to the worst...). When it comes to the cost of car insurance, the question to answer is less How much do I want to pay and more How will I get by without a car?

If you depend on a car for work, shopping, school, etc, could you get by if the car were written off? If not, you need to insure it in full.

Insurance nutshell:

• Newer cars are generally worth a higher level of insurance
• Older cars may not justify outsized monthly payments

Let's run over the fine print

The most important thing in any policy is the tricksy fine print. Mozo can help here, with our handy car insurance comparison table and product database.

Typically, the fine print is where insurers outline their exclusions. And, also typically, purchasers of insurance don't read or care about the exclusions until their claim is rejected. So, a quick look at some regular offenders...

Most car insurance coverage doesn't cover:

• normal wear and tear to your vehicle, including rust
• electrical, mechanical or structural failure
• depreciation in the value of your car
• accidents resulting from an unroadworthy vehicle
• drivers under the influence of drugs or alcohol
• people unauthorised to drive the car (according to specific policy exclusions)
• modifications (unless specifically included by you)