We made three predictions in 2025 for where car insurance was headed - this is how we scored.

Last year, we threw out a few predictions about where car insurance in Australia was headed. Now that 2024 is almost done, it’s time to see how we did. Were they spot on, off the mark or somewhere in the messy middle? 

Let’s take a look.

1. Usage-based and pay-as-you-go insurance

Prediction: We will see a ‘pay how you drive’ car insurance option become available to the general public in 2024.

Outcome: Bang on.

Rollin' Insurance has made its Safe n' Save product available to the general public this year. Previously limited to business customers, this app-based insurance tracks driving behaviour—speed, braking, and other patterns—and rewards safe driving with lower premiums.

Usage-based car insurance has been building traction for a while, and it’s not surprising to see it expand beyond business policies. 

So, while it’s our my boldest prediction ever, it’s still encouraging to see insurers offering more flexible, tailored options for everyday drivers who want their premiums to reflect how they actually drive.

2. Electric and hybrid electric vehicles (EVs and HEVs)

Prediction: We will see the first EV-specific insurance policy launch in Australia in 2024.

Outcome: Nailed it.

KOBA launched Australia’s first dedicated EV insurance policy in March, just as predicted. While many standard insurers were already covering EVs, those policies never quite addressed the specific needs of EV owners. 

KOBA’s new product changes that with features like charging equipment cover, battery health monitoring, and access to a large network of Tesla-certified repairers.

It’s currently only available for Tesla drivers, but KOBA has plans to expand to other EVs soon. This feels like the first step toward insurance that actually keeps up with the growing EV market.

3. Technological advancements and AI integration

Prediction: Your insurer’s chatbot will actually become useful in 2024.

Outcome: …partial win.

Chatbots have improved, but whether they’re truly useful yet is still up for debate. Suncorp, for example, has made strides by integrating tools like Microsoft 365 Copilot to speed up claims and customer service, even picking up an award for its AI efforts.

For simple tasks—checking a claim status or answering basic questions—they’re getting there. But when it comes to anything more complex, they still fall short.

Let's say his one is “heading in the right direction” rather than a clear win.

Our scorecard

Two predictions were spot on, and the third… let’s call it a half point. Usage-based insurance has arrived, EV owners finally have policies built with them in mind, and chatbots are improving—slowly but surely.

Not a bad result, if we do say so ourselves. 

Here’s to seeing what happens next!

Stay tuned for our 2025 car insurance predictions. In the meantime, why not check out some solid options below?