Compare car insurance Northern Territory

Comparing NT comprehensive car insurance policies with Mozo

The needs of Territorian drivers are as varied and unique as the land they reside on. From the beautifully biodiverse Top End to the Red Centre and Alice Springs in the south. Roads can vary depending on whether you live in Darwin, one of the major towns or off the beaten track. So it’s important to make sure you have the right level of insurance for your vehicle.

The comparison tables above show a snapshot of comprehensive car insurance policies on offer right now. Here you can see what discounts are available, whether paying monthly is an option and what the range of excess is for each insurance plan. Plus, if you want to read more about an individual policy you can click through to a longer review with more information. Or, if you’re keen to get a quote, press on the ‘go to site’ button to go directly to an insurance provider’s website.

For more information on car insurance in the Northern Territory in general, have a read of the frequently asked questions below. 

What are the car insurance options in the Northern Territory?

No matter where you live, you must have compulsory third party car insurance to legally drive in Australia. In the NT this is known as the Motor Accidents Compensation  (MAC) scheme. It is described on the MAC Commission website as ‘personal injury cover for you and your family’ and is included in your NT motor vehicle registration*.

It is also a ‘no-fault’ scheme, meaning that drivers are covered, regardless of who caused an accident. The MAC scheme provides cover for drivers, passengers, cyclists and pedestrians in the Northern Territory. This type of insurance does not provide cover for your vehicle. 

If you want to make sure your wheels are covered, you will have to take out either third party fire and theft or comprehensive car insurance. Both of these as well as third party property car insurance are available in the NT. Let’s break this down in more detail. 

What cover is provided with third party property insurance?

Generally speaking there are two types of third party property insurance. These are simply third party property and third party property fire and theft. Third party property car insurance provides liability for accidental damage that you may cause to someone else’s property. It does not usually provide cover for your own car.

You can add some level of protection for your wheels, however, with third party property fire and theft. This is basically third party property insurance: legal liability for you, plus cover for if your car is damaged as the result of a fire, attempted theft or theft.

How does comprehensive car insurance work in the NT?

If you’re keen to avoid a big bill at the mechanic’s, then you may want to look into comprehensive car insurance. This type of car insurance will cost you more in premiums, but will also provide more cover for your car. This includes cover if your car is damaged, as well as liability for damage you may cause to someone else’s car.

Comprehensive car insurance can also provide cover for stuff like personal items, hire car costs following a not-at-fault accident, emergency transport and accommodation, replacement keys if you lose yours and towing costs. There is also often the option to pad out your cover with optional extras. These can include choice of repairer, cover for a hire car following an at-fault accident and reduced window glass replacement excess cover. 

What will affect my car insurance premium in the Northern Territory?

How much you pay for your car insurance premium will depend on how likely the insurance company thinks you are to make a claim. To work out this likelihood, the insurance provider will look at a number of factors, including:

• Your age. As drivers under 25 tend to have less experience on the roads, they are often charged a higher premium. That said, your premium could also be priced higher if you are over 25 and have less than two years of driving experience under your belt.

• Your gender. Statistically speaking, women have less car accidents than men and as such are often charged lower car insurance premiums. Read more about why women pay less for car insurance here.

• Where you park your car at night. Whether you park your car in a garage or on the street at night will have an affect on your car insurance premiums. 

• Where you live. What the crime rate is like and whether your local area is prone to extreme weather events like flooding will have some effect on what you pay for insurance.

• Your wheels. How old your vehicle is, what safety measures it has, the model and size are all factors that will be used to calculate your car insurance premium costs.

• Driving history. Your driving history including past insurance claims, scrapes and accidents will all be taken into account when calculating your premium. You will also be asked how many kilometres you drive on average each year.

• What policy you choose. The type of policy you choose will also determine how much you pay. That also takes into account whether or not you add optional extras such as choice of repairer or roadside assistance onto your policy.

How might car theft in the NT affect my insurance?

As mentioned above, one of the factors that is taken into account when calculating premiums is the rate of car theft in a particular area. So, the rate of car theft in the Northern Territory may have some effect on how high or low your premiums are. 

The good news is that according to the National Motor Vehicle Theft Reduction Council, car theft in the NT actually decreased by around 23% between September 2019 and September 2020^. This might mean that if you live in an area where car theft has reduced, your premium may go down. In that time period light commercial utility vehicles and small passenger cars were the most targeted by thieves.

Darwin had the highest rate of car theft, closely followed by Alice Springs. Some of the most targeted vehicles were the Toyota Hilux MY05_11, the Toyota Hilux MY15+ and the Holden Commodore VE MY06_13. If you own a vehicle that is more likely to be targeted by thieves, or you live in an area with a higher car theft rate, this could affect your insurance premiums.

What car insurance discounts are available in the NT?

If you’re looking to reduce your car insurance premiums, there are a few commonly available discounts to look out for. These are:

• Online discounts. Most car insurance policies have a presence online these days and will even give you a discount for signing up virtually. 

• Multi-policy discount. If you’re also after insurance for your home or contents, you might consider bundling your policies and taking advantage of a multi-policy discount. 

• Restricted driver discount. If you are the sole driver of your car, or you know that other drivers will be over 25 or 30, you might be able to bag a restricted driver discount.

• No claim bonus. A bit more of a long game reward, the no claim bonus is a discount offered by a lot of insurance companies. This discount depends on you not making any claims, or at least not making any at-fault claims and is accumulated over time.

• Family discount. This one usually applies to under 25s who opt for the same insurance provider as their parent or guardian.

• Loyalty discount. One of the perks of sticking with the same insurance provider for a number of years is a loyalty discount. If that describes you and your provider hasn’t yet offered you money off, by all means get on the phone and ask for one!

• Pay-as-you-drive plans. A number of insurance companies these days offer pay-as-you-drive or pay-per-kilometre plans. So if you only drive your car on weekends or you’ve been driving less lately, this could be another way to save money.

Is car insurance compulsory in Tasmania?

Yes, like all other states and territories in Australia, you’ll need some level of car insurance to drive in Tasmania. 

You cannot legally drive in TAS without compulsory third party (CTP) insurance, which is overseen by the Motor Accidents Insurance Board (MAIB ). CTP insurance in Tassie provides cover for ‘no fault’ accidents, meaning you can claim compensation regardless of who is responsible. 

This level of insurance doesn’t cover any damage caused to your car or others’. Instead it’s there to compensate you for reasonable medical, ambulance and hospital costs, rehabilitation expenses, income loss, long term care for serious injuries and disability allowance.

As on the mainland, other levels of car insurance in Tasmania are elective. However, it’s advisable to have at least a basic level of voluntary cover in case you cause an accident, as otherwise you may be left with a massive repair bill for any damages you cause to your own car and others.

The most basic level within this is third party property damage car insurance, which covers you for repair or replacement costs if you cause damage to other people’s vehicles or property. Every policy differs slightly, but there are generally dollar limits on what your insurance company will pay out. And remember: third party property insurance does not cover your own car in any way.

If you live in an area with a high crime rate or park your car on a dangerous street, you might consider bumping up your third party cover to include fire and theft car insurance. This will cost a little extra, but is a useful safeguard for your car if it’s in a riskier environment.

Comprehensive car insurance is the highest level of cover you can take out in TAS. As a base, it covers repair or replacement costs for your own and other vehicles should you cause an accident. Depending on your provider and policy, it can also include cover for additional costs that crop up around road accidents like towing, emergency accommodation, travel and hire car costs.

How much does car insurance cost in Tasmania?

You pay CTP through MAIB as part of your annual vehicle registration in TAS, so this cost will be determined by the kind of vehicle you drive. As an example, the annual MAIB premium for a motor car (which is a standard car meant to carry passengers) is $302.*

When it comes to elective coverage, a higher level of cover means a higher premium, so a comprehensive policy will cost more than third party car insurance. Just remember, if you cause a costly accident or own a reasonably new or valuable car, paying a little more each year on your premium for additional cover could save you money down the road.

Regardless of the type of car insurance you choose, there are a range of demographic and behavioural factors which can impact your car insurance cost. Insurance companies will use statistics to calculate how much of a risk you are on paper, and provide a car insurance quote which mitigates high risk with a higher premium. Some of the factors they go off include:

• Your age & gender. Based on road accidents and the cost of insurance claims, younger or more inexperienced drivers are a higher risk and female drivers are statistically safer.

• The make, model, value, age, and even the colour of your vehicle. Newer, more expensive cars cost more to cover, and there are some statistics around different coloured vehicles being more likely to be stolen or involved in insurance claims.

• Where you live and whether your car is garaged. If your car is on the street in a dangerous neighbourhood, expect a premium bump.

• Your driving habits and history. On the bright side, some insurance providers offer cheaper premiums for Tasmanians who don’t use their cars often. But flip the coin to someone who drives a lot or has black marks on their driving record, and you’ll find a more expensive premium.

What is covered by comprehensive car insurance in Tasmania?

Every car insurance provider will offer slightly different benefits, which will then be affected by the kind of driver you are and the kind of vehicle you drive. With that in mind, there are some things you can generally expect to see on your comprehensive car insurance policy. This includes coverage for:

• Damage to another driver’s car when you cause an accident

• Damage to your car in an accident

• Other accidental damage (like reversing into a retaining wall)

• Fire damage 

• Theft and attempted theft of your car

• Vandalism and malicious damage

• Emergency repairs

• Towing costs in an emergency

• Travel and accommodation costs if you’re a certain distance from home after an incident

• Damage to personal property in your car.

Are there any optional extras I should have when driving in TAS?

Some car insurance policies will include certain features as standard, which in other policies only come as optional extras. Generally speaking, the more feature-rich your policy is the more expensive it will be whether you include things optionally or if they’re offered from the get-go. Some features to consider which may only be offered as optional extras include:

• Excess-free windscreen cover. This is great if you live on a large Tassie block and might need semi-regular windscreen repairs from driving on unsealed roads.

• Rental car after accident. You’ll often find this is included after a theft as standard, but not after road accidents, particularly if you’re responsible for a crash.

• Modifications. Many providers will be happy to insure your cool vehicle upgrades, you’ll just have to let them assess it and set a price for coverage before taking out a policy.

• Choice of repairer: Being able to choose your own repairer is a good option if you have a trusted mechanic or panel beater in mind and want them to see to all repairs.

• 24-hour roadside assistance. If you’re concerned about getting stuck in between Tassie townships, roadside assistance can get you out of a bind. This is usually sold as a separate product to most insurance policies.

• No claims bonus protection. This is a veil of protection added onto your clean driving record which has earned you a discount on your premium. It’ll keep the no claims discount intact if you make a claim in some scenarios.

How does car theft and accidents affect insurance in TAS?

As mentioned, your cover can be affected by where you live, drive and park your car, as different areas have different levels of crime rates and road incidents, and therefore come with higher risk. So it’s important to have an idea of what that risk is in your state and local area. 

TAS road accident statistics

Serious injuries and fatalities on Tasmanian roads were slightly higher in 2020 than the running ten-year average, according to Tasmania Transport Services .** There were 284 people who were seriously hurt and 36 lives lost.

A report from the Department of State Growth  found two-thirds of serious casualties were caused by vehicles veering off the roadway or into oncoming traffic, resulting in head-on or other kinds of collisions.^ It also found a lack of attention while driving and experience as a driver were the two leading causes of casualties, closely followed by inappropriate speed. 

Tasmania road weather dangers

Tassie is home to some of Australia’s coldest towns, which brings a very dangerous element to the driving equation: black ice. With temperatures dropping as low as -14 degrees Celsius ^^, black ice (a thin coating of transparent ice) is a much more common threat in some areas. 

Be sure to watch out for weather warnings and avoid driving when black ice is prevalent, especially on roads prone to it like the Huon Highway and the Southern Outlet. 

Car theft in Tasmania

Of the 1,067 vehicles reported stolen in Tasmania during the calendar year of 2019-2020, around 75% have been recovered, according to the National Motor Vehicle Theft Reduction Council .+ Major cities were at the top of the leaderboard, with thefts in Launceston, Glenorchy, Hobart and Clarence (in that order) accounting for well over half of these instances.

Insuring your car for theft, fire and malicious damage can be a good way to mitigate the risk of living and parking in these areas. This is generally covered in a comprehensive car insurance policy, or can be added onto third party car insurance. Also consider parking your car on your property or in a garage to reduce the likelihood of theft or vandalism – you may even reduce your car insurance premium in the process.

What's the best car insurance in the Northern Territory? 

When looking for a new policy, most people want to find the best car insurance in Australia to cover their rides. So, a great place to start is by checking out the winners in the Exceptional Value and Exceptional Quality categories in the latest Mozo Experts Choice Car Insurance Awards for 2023.

The Mozo experts analysed over 10,000 car insurance quotes to find the best value policies for the widest range of customers. Check out the methodology report for more information. 

However, not all policies are one-size-fits-all, so it’s important to bear this in mind when comparing car insurance policies in the NT. 

External sources

* Tasmanian Government (Dec 2020), ‘MAIB Premiums’ - accessed 21 Jan 2021

** Tasmanian Government (Jan 2021), ‘Tasmanian crash statistics’ - accessed 21 Jan 2021

^ Department of State Growth (Dec 2016), ‘Towards Zero Tasmanian Road Safety Strategy 2017-2026’ - accessed 21 Jan 2021

^^ ABC News (Aug 2020), ‘Liawenee in Tasmania's Central Highlands breaks record for coldest temperature in island state’ - accessed 21 Jan 2021

+ National Motor Vehicle Theft Reduction Council (Sep 2020), 'National context' - accessed 21 Jan 2021

*NT Motor Accidents Compensation Commission  - accessed Jan 2021

^National Motor Vehicle Theft Reduction Council  (Dec 2020) ‘Theft Watch Report’ - accessed Jan 2021

**Road Safety NT (Dec 2020) ‘Lives lost on NT roads ’ - accessed Jan 2021