Compare car insurance in Victoria
Whether you spend most of your commute time mazing through Melbourne’s CBD or cruising along the scenic route to Ballarat or Bendigo, you need car insurance that protects you for Victoria’s unique requirements and road conditions. Here’s how to find the right policy.
What insurance is required in Victoria?
As with most places in Australia, Victorians are required to have, at a minimum, insurance that covers you for injury or death to others. In Victoria, this is called Transport Accident Cover (TAC) but you may also hear it referred to as Compulsory Third-Party insurance (CTP) or your Green Slip.
Conveniently for Victorians, this is automatically included in your rego, so no need to shop around for this basic level of cover.
It’s important to note, however, that this level of cover doesn’t cover you for damages to other people’s car or property, much less your own car. That’s why it’s important to consider additional cover to protect you from these damages.
Next, let’s look at the various levels of additional cover and how they can protect you.
Types of car insurance in VIC?
Apart from the mandatory TAC, there are three other levels of cover that offer you additional protection. Let’s look at your options:
Comprehensive car insurance. Comprehensive car insurance is the highest level of cover you can get. It covers a wide range of damages including damage to your car (from accidents, bad weather, uninsured drivers and more), plus damages to other people’s car and property.
Third-party property insurance (TPP). Third-party property insurance is a step down from comprehensive cover. It protects you from liability if you cause an accident to someone else's car or property, including the belongings in their car and even things like someone’s fence and public property. However it won’t protect your car or property.
Third-party fire and theft insurance (TPFT). A tiny step up from TPP, third-party fire and theft covers everything that TPP does, plus damages to your car related to theft and fire only. If you decide against comprehensive cover, this is a good choice if you live in bushfire-prone or high-crime areas.
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💡 When your policy includes coverage for damages (depending on your level of cover), it means:
Damage to your car. This can be caused by you or natural events. Financial liability for property damage. This includes costs related to damaging someone’s car or property with your vehicle. Financial liability for injury. This covers costs if you injure yourself, another person, or an animal with your car. Damage caused by uninsured drivers. This applies to comprehensive policies.
If an insured driver damages your car, their insurance will cover the costs. However, it's still important to notify your insurance company so they can assist and advocate on your behalf.
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What is the cheapest car insurance in VIC?
In our Mozo Experts Choice Awards, we’ve identified a handful of policies that are affordable but don’t skimp on coverage in Victoria and Australia-wide. These Exceptional Value Car Insurance policies offer all the important protections you need for your car and others’ cars and property. They may not have all the extra frills, but they make up for it in price and essential coverage.
CHECK OUR PICKS FOR EXCEPTIONAL VALUE CAR INSURANCE
What is the best car insurance in Victoria?
If price isn’t a factor, we’ve also identified policies that offer excellent protection while going a bit further with their features. Landing top spots for Excellent Quality Car Insurance in the Mozo Experts Choice Awards, these policies score high for not only quality, but also for things like their range of excess choices, whether or not they allow you to choose your own repairer, and their level of cover for the personal property in your car.
CHECK OUR PICKS FOR EXCEPTIONAL QUALITY CAR INSURANCE
How much does car insurance cost in Victoria?
According to our 2023 Mozo Car Insurance Report, we found that Victorians pay an average of $1,717 per year on car insurance. This accounts for the fact that Victoria has a few urban centres where prices are typically higher (we’re looking at you Melbourne).
If you live in a more rural area of VIC, your premiums may be less; however, it’s important to note that price can vary based on a number of other factors including your age, the car you drive, where you park it, your claims history, your driving record and more.
The best way to estimate your monthly and yearly costs is to get a few free quotes and compare options. The more information you provide, the more accurate your quotes will be. We make this super easy. Just check out our table above and if you see any policies you like, click through for your free quote.
And remember: there are usually ways to bring the price down, for example by paying yearly rather than monthly and by taking advantage of any discounts. Our handy guide to car insurance discounts is a good place to learn more about saving on your premiums.
Why do you need car insurance in VIC?
There are several reasons why you need car insurance in Victoria. Let’s break it down:
A minimum level of insurance is required. That’s the Transport Accident Cover we mentioned above. It’s included in your rego (also required), so if your car is registered, you’re good to go on this front.
It protects you and your car. You don’t want to be on the hook for thousands of dollars in damage if you cause an accident. Depending on your level of additional cover, car insurance can protect you from damages to your car and others’ property.
Driving is serious business. According to the Victorian Transport Accident Commission , drivers are the largest group of Victorians who have lost their lives, with close to 1,200 drivers being killed in the past five years. While not all crashes result in death, this should give you some idea about the prevalence of crashes and the need for adequate protection.
How to compare car insurance in Victoria
Comparing policies is easier than ever, with most providers allowing you to get free online quotes with a few clicks of the button. Here are the steps to comparing policies and finding one that fits you like a glove:
Determine coverage needs. First identify what level of cover you need. Do you want comprehensive cover, or is third-party cover enough?
Gather multiple quotes. Once you’ve decided on your level of cover, go online and get a few quotes. We make this super easy. Just check out our table above and if you see any policies you like, click through for your free quote.
Compare premiums and excess levels. Make sure you get quotes from a handful of providers so you can compare prices. Keep an eye out for the excess, which is the amount you pay when you make a claim. You can often save money by choosing a higher excess, or go with a lower excess for a slightly higher premium.
Check coverage limits and exclusions. Once you have your shortlist, download the policy product disclosure statement (PDS), which is the single source of truth for your policy. There you’ll find exactly what you’re covered for and what you’re not. Most insurers will have their PDS available to download from their website.
Review additional benefits. Most policies will offer some additional features like roadside assistance, low or no-excess windshield replacement, and choice of repairer. These often cost a bit more, but some policies will include one or two of these as a free perk.
Consider customer reviews. Finally, check out some user reviews. Do others find the claim process easy, or is it a hassle? How’s the customer service? These can tell you a lot about the all-important intangibles.
Now you’re ready to compare options like a pro and pull the trigger on the policy that most aligns with your needs and preferences.
Is my VIC car insurance valid Australia-wide?
Yes, if you're involved in a car accident while on a short holiday or business trip interstate, your car insurance should cover you, depending on the circumstances. Most companies accept eligible claims regardless of the state or territory.
However, check your insurance provider's specific rules on parking interstate and longer stays. You can find this information in your product disclosure statement (PDS) or by contacting your insurance company.
