AAMI vs Budget Direct car insurance
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AAMI and Budget Direct are two of the most well-known names in Australian car insurance. But beyond brand recognition, how do they really compare?
This side-by-side breakdown puts their comprehensive policies to the test, highlighting key differences in pricing, features and value to help you decide which one might fit you better.
AAMI versus Budget Direct car insurance: coverage and features
Like most comprehensive car insurance policies in Australia, these two cover your vehicle, damage to other cars, and protection against events such as theft, fire, storms, and collisions involving uninsured drivers.
But, as always, the devil is in the details. Here are some differences you should probably be aware of:
|
Budget Direct Gold Comprehensive Car Insurance |
AAMI Comprehensive Car Insurance |
|
|
Monthly premiums |
Yes costs extra |
Yes costs extra |
|
Excess options |
$700 - $1,900 (varies by state) |
$795 - $2,345 |
|
Additional excesses |
$600 for drivers under 21 OR $500 for drivers under 24 OR $500 for inexperienced drivers PLUS $600 for unlisted drivers |
$400 for learner drivers OR $400 for inexperienced drivers OR $400 for drivers under 25 PLUS $1000 for unlisted drivers |
|
Discounts available (T&Cs apply) |
15% off new policy purchased online Low-km discount No claims discount |
Online discount No claims discount |
|
Agreed or market value |
Agreed or market value |
Agreed or market value |
|
New-for-old replacement |
Yes, within 2 years or 40,000 kilometres of original registration, whichever comes first |
Yes, within 2 years of original registration |
|
Windscreen cover |
Option to reduce windscreen excess to $40 for an additional premium. |
Option to reduce windscreen excess to $0 for an additional premium. |
|
Hire car after theft |
Yes, up to 14 days and up to $1,000 total |
Yes, reasonable costs up to 21 days |
|
Hire car after accident (not at fault) |
Yes, unlimited days, no limit. |
Yes, unlimited days, no dollar limit. |
|
Hire car after at-fault accident |
Optional extra. Up to 14 days. |
Optional extra. Unlimited days, max $90 per day. |
|
Modifications |
Covered only if agreed in writing. |
Covered only if agreed in writing. |
|
Roadside assistance |
Optional extra |
Optional extra |
|
Choice of repairer |
Optional extra |
No |
|
Legal liability |
Up to $20 million |
Up to $20 million |
|
Emergency repairs |
Up to $500 |
Up to $1,000 combined |
|
Emergency travel and accommodation |
Up to $200 per day, up to $1,000 |
|
|
Personal property |
Up to $500 |
|
|
Replacement keys if stolen |
Up to $1,000 |
Not covered |
|
Trailer cover |
Up to $1,000 |
Up to $1,000 |
Both insurers offer similar features, though in some cases things are structured differently; for example how AAMI bundles emergency repairs, emergency travel and accommodation and personal property into one benefit - whereas Budget keeps them separate.
At the end of the day, Budget Direct excels in some areas, and AAMI in others, so it really depends on what matters most to you. Is it AAMI’s lack of distance limit for new car replacement or Budget’s lower excess for unlisted drivers and ability to choose your own repairer for an added premium?
Just keep in mind that limits, sub-limits, exclusions and conditions apply, so make sure you refer to each insurer’s product disclosure statement (PDS), which you can find on their respective websites.
Award-winning car insurance
Budget Direct Gold Comprehensive Car Insurance*
- Receive 15% off car insurance when you purchase new cover initiated online (T&Cs apply)
- New-for-old vehicle replacement
- Low-km drivers may have their premium reduced
- Standard excess applies to windscreen and glass issues, even for simple repairs
Taking out pole position as Australia’s Best Value Car Insurer for 2025 was Budget Direct. It took home awards across all our value categories.
This policy includes useful features that can help keep you on the road, such as hire car cover after a theft or not-at-fault accident. You’ll also be covered by new-for-old car replacement (when the car is under two years old or has driven less than 40,000km), up to $500 of personal property cover and up to $1,000 for replacement keys. There is an option to pay your premium monthly but this will cost extra.
Plus receive 15% off car insurance when you purchase new cover initiated online (T&Cs apply).
2025 Mozo Experts Choice Award wins include: Australia's Best Value Car Insurer, Exceptional Value Car Insurance, Exceptional Value Senior Driver Car Insurance and Exceptional Value Young Driver Car Insurance.
AAMI vs Budget Direct: price
You’ll find more generous limits with AAMI in some areas, but that can also mean a higher price tag. For drivers focused on value, Budget Direct comes out swinging.
In the 2024 Mozo Experts Choice Awards for Car Insurance, our judges analysed more than 10,000 unique quotes to identify the insurers that more often offered lower premiums for a comparable level of cover.
Budget Direct delivered big time, earning awards for Exceptional Value Car Insurance, Exceptional Value Young Driver Insurance, and Exceptional Value Senior Driver Insurance, ultimately claiming the crown as Australia’s Best Value Car Insurer.
AAMI picked up a single award for Exceptional Value Senior Driver Insurance, but Budget Direct clearly won the day as the cheaper car insurance option in general.
That said, your mileage may vary, so it’s worth getting quotes from both providers if you’re still weighing up your options.
Bottom line
If you’re after higher limits built into your standard cover, AAMI has the edge. But if you’re more focused on price, Budget Direct makes a solid case. And if you’re dead set on choosing your own repairer, Budget is the only one of the two that gives you that option. As always, the best move would be to get quotes from both and see which one actually delivers for your situation.
* Terms, conditions, exclusions, limits and sub-limits may apply to any of the insurance products shown on the Mozo website. These terms, conditions, exclusions, limits and sub-limits could affect the level of benefits and cover available under any of the insurance products shown on the Mozo website. Please refer to the relevant Product Disclosure Statement and the Target Market Determination on the provider's website for further information before making any decisions about an insurance product.
^See information about the Mozo Experts Choice Car Insurance Awards