Whether you're living in the heart of Sydney or a bit further out in Byron Bay or Wagga Wagga, having the appropriate car insurance is essential for all NSW residents. There’s no shortage of options to choose from, either, and considering different policies online is as easy as it’s ever been. By taking the time to compare car insurance deals, you can give yourself the best chance of securing the cheapest available deal with coverage to suit your needs.
What car insurance options can I choose from in NSW?
There are four types of car insurance to consider for your vehicle in NSW. These are:
Compulsory third party (CTP)
CTP insurance is the only mandatory type of car insurance in Australia. It covers injuries or death caused to others in an accident but not damage to property, other vehicles or the driver’s own injuries or vehicle.
Here’s a more detailed breakdown of what each type of insurance does and doesn’t cover:
| Claimable event | Comp. | TPFT | TPPD | CTP |
|---|---|---|---|---|
| Damage to someone else’s property | ✔ | ✔ | ✔ | ✖ |
| Damage to your car due to fire | ✔ | ✔ | ✖ | ✖ |
| Damage to your car due to theft | ✔ | ✔ | ✖ | ✖ |
| Damage to your car due to weather | ✔* | ✖ | ✖ | ✖ |
| Damage to your car due to accident or collision | ✔ | ✖ | ✖ | ✖ |
| Injury or death of someone else in an at-fault accident | ✖ | ✖ | ✖ | ✔ |
| *Not all weather-related incidents are covered under a comprehensive car insurance policy. Check your PDS to find out what's covered and what isn't. | ||||
NSW car insurance requirements
In NSW, CTP insurance is known as a Green Slip. Green Slips are purchased separately from your car registration and must be in place before you can register your car, meaning there are two steps to paying your car rego in NSW.
For cars five years or older, you’ll also need to get a pink slip as an additional step before your registration can be renewed. This is a safety inspection conducted to make sure everything in your vehicle is in working order. Pink slips are provided by accredited mechanics who have an Authorised Inspection Scheme (AIS) station, not just any workshop.
How much does car insurance cost in NSW?
There’s a wide range of factors that’ll impact the cost of your car insurance. However, two of the main ones that you’ll encounter are your gender and the type of car you’re insuring. The following tables show the spread of premiums for comprehensive car insurance for both men and women across several different models:
Comprehensive car insurance quotes based on a 35-year-old driver who obtained their licence at 17, has held comprehensive cover with no claims over the last five years, is employed full-time, is a homeowner and lives in Sydney (2026), uses their car for private purposes and commuting only (business usage included in the Ford Ranger quote) and drives approximately 12,000km per year. All quotes are based on a $1,000 excess. All cars are garaged, have no modifications or non-standard accessories and have an alarm installed. Quotes obtained through Compare the Market on 7 November 2025.2025 Ford Ranger XL 2WD Two-Door Cab Chassis
Gender
Cheapest premium
Average premium
Most expensive premium
Male
$1,362
$2,355
$3,088
Female
$1,382
$2,352
$3,073
2025 Toyota RAV4 GX 2WD
Gender
Cheapest premium
Average premium
Most expensive premium
Male
$978
$2,292
$3,136
Female
$995
$2,287
$3,121
2022 Hyundai i20 N
Gender
Cheapest premium
Average premium
Most expensive premium
Male
$807
$1,711
$2,255
Female
$836
$1,713
$2,244
2020 Mazda6 Sport
Gender
Cheapest premium
Average premium
Most expensive premium
Male
$1,057
$2,145
$2,845
Female
$1,074
$2,141
$2,830
As you can see, while the difference between the selected car models is significant, there are only minor differences between the premiums for men and women. You’ll start to see how much the cost of insurance changes depending on the type of policy you choose and where you live in the tables below:
Car insurance quotes based on a 35-year-old male driver who obtained their licence at 17, has held comprehensive cover with no claims over the last five years, is employed full-time, is a homeowner, uses their car for private purposes and commuting only and drives approximately 12,000km per year. All comprehensive quotes are based on a $1,000 excess and TPPD quotes on a $700 excess. All cars are garaged, have no modifications or non-standard accessories and have an alarm installed. Quotes obtained through Compare the Market on 7 November 2025.Cheapest car insurance quotes by location
2020 Toyota RAV4 GX 2WD
Location
Cheapest TPPD premium
Cheapest comprehensive premium
Sydney
$422
$999
Newcastle
$284
$1,041
Wollongong
$311
$1,016
Parramatta
$582
$1,264
Camden
$338
$897
Gosford
$316
$839
Coffs Harbour
$199
$1,043
How do I compare car insurance offers in New South Wales?
There are a few important factors to consider when you’re comparing your car insurance options in NSW. These include:
- Policy coverage: perhaps the most important thing to consider is how much coverage different policies offer. Find one that includes protection against events you want cover for, both in terms of the events themselves and the dollar limits.
- Cost of the policy: comparing premium rates is essential. Look for a balance between affordable premiums and coverage that meets your needs.
- Optional extras: car insurers also offer things like roadside assistance, cover for personal effects in your vehicle and a choice of repairer. Think about which extras you need and whether potential inclusions are worth it.
- Excess options: think about the excess options on your policy. Higher excesses can lead to cheaper premiums, but it’s important to balance it with what you can afford to pay if you make a claim.
- Discounts and bonuses: this might be a discount for signing up online or bundling multiple policies with the same insurer, such as car and home insurance. Make sure you check the terms and conditions of the deal and that the policy itself is worth it beyond the discount.
- Payment options: do you want to pay your premiums monthly or annually? Choosing monthly premiums means you’ll make less of a dent in your savings, but some insurers will charge you slightly more compared to the full annual premium upfront.
- Agreed or market value cover: if your car is written off, you can insure it for market value or an agreed value. Market value means your insurer will pay out a lump sum equivalent to the car’s current value, while agreed value is a set sum determined by you and your insurer. Agreed value is generally more expensive and isn’t available with all insurers.
- Car usage: how much do you drive your car? By putting together as accurate an estimate as you can, you can compare policies tailored to your usage. This is also important if you’re taking out a policy for a business vehicle.
