How to save on car insurance right now

Olivia Gee

Thursday 04 June 2020

Last Updated: 3.30pm, July 6

People driving happily after saving on their car insurance policy.

Everybody loves a bargain, whether it’s scoring a new outfit on sale or saving money on car insurance.

So, if your policy is due for renewal or you’re looking to tune-up your budget as you begin the new financial year, here’s a round-up of some of the latest car insurance incentives on the market in July.

COVID-19 discounts

A handful of providers are offering significant discounts to customers facing financial difficulty as a result of the pandemic. 

Suncorp Group – which includes GIO, Apia, AAMI and Suncorp Insurance – is offering existing affected customers discounts of up to 20% and three-month premium waivers, as well as lowered premiums for reduced car usage and no fees for policy cancelations. 

Youi is promising 15% cashback on premiums for a three-month period to all new and existing customers who are driving less as a result of COVID-19. This offer has now been extended for a further three months with a 10% discount. 

Free roadside assistance offers

Roadside assistance is regularly an optional extra in car insurance policies, so take advantage of these offers if you’re eligible. 

AAMI has offered free roadside assistance to all emergency service workers until December 31, 2020, whether or not they are AAMI customers. Other new customers considering comprehensive car insurance with AAMI can also score a year of free roadside assistance if they take out a policy before 10 July, 2020. 

Suncorp Insurance is offering the same deal as AAMI, and GIO will throw in roadside assistance at no cost when you take out their comprehensive or platinum car insurance policies until 31 July.

Gift voucher incentives

It may sound a little unconventional, but many insurers will offer customers gift cards in place of cash-back discounts. If you take out Virgin Money’s Comprehensive Car Insurance before 30 September, you’ll receive a $100 virtual gift card.

QBE is also offering a $25 gift card when you take out their compulsory third party (CTP) insurance until 31 August. Since every car needs this type of cover to get registered and on the road, it’s a fun bonus to spend at supermarkets and selected retailers.

Point rewards programs

If you look for a little icing on top of your car insurance policy (and let’s admit it, they can be pretty bland), you might be on the lookout for a way to gain extra frequent flyer points. If you join or switch to Qantas Car Insurance, you can score up to 20,000 Qantas Points. You’ll also receive one Qantas point for every dollar you spend on your premium.

‘Buy online’ discounts

Many insurers offer a discount on the first year of premiums when customers apply or buy a policy online. Below are some of the offers available in July.

Provider

Online discount

Conditions

AAMI

$50 discount plus 1 year free roadside assistance

Only for Comprehensive Car Insurance, offer ends July 10

Allianz

15%

Only for Comprehensive Car Insurance, not including optional cover

Apia

5%

Only for Comprehensive Car Insurance

Budget Direct

15%

Available for Comprehensive, Third Party Property, and Third Party Fire and Theft policies

Coles Car Insurance

10%

Available for Comprehensive and Third Party policies

GIO

10% plus 1 year free roadside assistance

Only for Comprehensive Car Insurance, offer ends July 31.

HSBC

10%

Only for Comprehensive Car Insurance

Real Insurance

10%

For all cover types, but drivers under 25 only get a 5% discount

Suncorp Insurance

$50 discount plus 1 year free roadside assistance

Only for Comprehensive Car Insurance, offer ends July 10

Virgin Money

15%

Available for Comprehensive, Third Party Property, and Third Party Fire and Theft policies

Woolworths Car Insurance

15%

Only for comprehensive cover, and drivers under 25 can only get a 10% discount

Other ways to cut car-related costs

  • Ask for a better deal on your car insurance premium

Mozo’s research has shown haggling down your car insurance can save you as much as a 20% discount on your premium. If you’re not sure how to demand a better deal, prepare yourself with our hot haggling tips before you get on the blower to your provider. If your insurer won’t play ball, consider switching providers.

  • Opt for pay-as-you-drive insurance

Not driving as much as the pre-lockdown days? It might be time to consider pay-as-you-drive car insurance. This is essentially what it says on the tin: a policy priced to reflect how often you drive. If you think you’ll be driving less in the foreseeable future and can stick to your estimated kilometerage (which you’ll need to settle on when taking out a policy), you could be saving big bucks.

  • Shop around for petrol

This may sound like an obvious one, but in the hubbub of metropolitan roads or busy commutes, it’s all too easy to pull up alongside a pump for convenience sake. Instead of making a mad dash to the bowzer running on fumes, plan ahead with apps like Fuel Check or Petrol Spy. These let you compare petrol prices in your area at a glance, and provide details to ensure servos have the kind of fuel you're after. 

Looking to save more across your family’s insurance policies? Seek out multi-policy discounts using Mozo’s home insurance comparison tool.

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