Used Car Insurance
Compare insurance quotes for your used car in one place today.
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Looking for reliable and affordable used car insurance in Australia? Protecting your investment is essential, which is where car insurance comes into play. Whether you've recently purchased a pre-owned vehicle or want to ensure new comprehensive coverage for your trusted set of wheels, finding the right insurance policy is crucial.
You can compare a range of offers side-by-side online. Simply enter your details, explore the options and choose the policy that suits your needs and budget. Get started with a free, no-obligation quote today!
What is used car insurance and why do I need it?
Used car insurance is simply a standard policy taken out for vehicles that have previously been owned and driven. It can provide financial protection against unexpected events such as accidents, theft, vandalism and third-party property damage (depending on the type of policy you buy). Whether you've bought a used car from a dealership or a private seller, having insurance is essential to protect your investment and provide you with peace of mind on the road.
Having used car insurance is important for several reasons. Firstly, it helps cover the cost of repairs in case of an accident or damage caused by unforeseen circumstances included in your policy’s coverage, which could otherwise be very expensive. Additionally, it can provide greater peace of mind to you while driving that your insurance policy can help you out should a covered event take place. Moreover, many lenders require comprehensive insurance coverage for financed used cars to protect their interests.
Can I get car insurance before I buy a used car?
Yes – you can sort your insurance coverage in advance of receiving your used car by scheduling your policy to begin on the date you’re expected to start driving it. This can provide peace of mind that you’ll be able to hit the road straight away. As mentioned, you’ll need to provide your lender with proof of insurance if you’re purchasing a used vehicle with finance as a condition of funding, so you’ll need to do this if your car isn’t expected to arrive for some days or weeks.
To get comprehensive or third party car insurance for a used car, you'll need to provide information about the vehicle, such as its make, model, year of manufacture and Vehicle Identification Number (VIN).
While it isn’t a legal requirement to have insurance before you buy a used car (aside from CTP), it's a good idea to start researching and obtaining insurance quotes in advance. Knowing your insurance options and estimated costs can help you make an informed decision when purchasing a used car and ensure your coverage begins the day you start driving it.
Types of car insurance you can choose from
The most basic type of optional cover available, TPPD insurance can offer protection for damage caused by your vehicle to other people's property. However, no damage to your vehicle will be covered.
A step up from TPPD, TPFT insurance can also cover damage to your vehicle sustained due to a fire or theft (or attempted theft) in addition to third-party property damage if you're in an at-fault accident.
The most extensive (and expensive) form of cover, comprehensive car insurance can also offer cover for damage to your vehicle in an accident, collision and certain weather events on top of the areas TPFT covers.
What factors affect the cost of used car insurance?
Vehicle's age and condition
The age and condition of the used car can impact the insurance cost. Older vehicles or those with pre-existing damage may have higher rates due to potential repair costs.
Make and model
The make and model of the used car can influence the insurance premium. Some models have higher theft rates or cost more to repair, leading to higher insurance costs.
Driver's age, experience and claims history
Younger and inexperienced drivers may face costlier insurance premiums than those over 50 or seniors, due to the higher risk associated with their age group and lack of time on the road. Additionally, if you have a history of making claims, insurers may consider you a higher risk and charge higher premiums.
Type of coverage
The type and level of coverage you choose for your used car insurance will impact the cost. Comprehensive coverage will generally result in higher premiums compared to a third party policy, for instance, but may offer additional benefits such as roadside assistance.
Location
The area where you live or park your car can influence the insurance cost. Higher premiums may be charged for areas with higher rates of theft, accidents, vandalism or extreme weather events. Additionally, garaged cars may cost less to insure than those parked on the road.
Insurance excess
The higher your excess, the less your premiums are likely to cost. However, it’s important to note that this will mean you’ll be liable to pay more should you be required to make a claim.
Common questions about car insurance for used vehicles
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Disclaimer:
Savvy (ABN 78 660 493 194, ACR 541 339) provides readers with a variety of car insurance policies to compare. Savvy earns a commission from our partnered insurers each time a customer buys a car insurance policy via our website. All purchases are conducted via our partners’ websites. The integrity of our comparison service is unaffected by our partnerships with those businesses and our effort remains to bring further brands that do not already use our comparison service onboard.
Savvy’s comparison service includes selected products from a panel of trusted insurers and does not compare all products in the market. Any advice presented above or on other pages is general in nature and doesn’t consider your personal or business objectives, needs or finances. It’s always important to consider whether advice is suitable for you before purchasing an insurance policy. We always recommend readers to consult the Product Disclosure Statement (PDS) of different policies before purchasing your car insurance.