Why do I need car insurance?
Insurance protects you from financial loss if your car is damaged, destroyed or stolen, and can also cover you if your actions cause damage to another person or another person’s property. So, if you don’t have insurance, the cost of replacement or fixing damages could be substantial. Even if you think your car isn’t worth much, it’s important to consider the cost of someone else’s property. There are different levels of insurance cover, so be sure to assess what’s right for you.
I heard there’s more than one sort of car insurance? What are they?
RAA offers three different types of car insurance policies:
- Third Party Property generally covers the damage you cause to other people’s vehicles and property where you have an accident, but it doesn’t cover any damage to your vehicle or property.
- Third Party Property Fire and Theft extends your Third Party property cover to include any loss or damage to your vehicle if it's stolen or damaged by fire.
- Comprehensive insurance covers loss or damage to your vehicle by an event like storm, hail, fire, car accident, theft – and some other circumstances. Just like the other policies, it also covers the damage you cause to other people’s vehicles and property in the event of an accident.
The full terms and conditions of each type of insurance policy are set out in the relevant PDS, which you can find at the bottom of this page. We recommend you read the PDS before deciding whether to purchase a product.
What does ‘market value’ mean?
Market value refers to the value of your car on the open market. So, if your car was involved in an accident and written off, your payout would be equivalent to the price your car was worth at the time of the accident (market value) or sum insured – whichever is the higher. The market value of a vehicle is determined using industry guides, internet and newspapers.
What does ‘sum insured’ mean?
Sum insured is the value we agree to insure your car for at the time you take out your policy. This includes any tools, accessories and modifications that we agree to cover. Your sum insured and any tools, accessories and modifications which are covered are set out on your Certificate of Insurance.
What is an excess?
An excess is the amount of money you have to contribute if you make a claim on your policy. For every policy, there's a Basic Excess and then there are also some specific types of excesses that may apply to your individual circumstances and are a condition of your cover. For example, if you're under a certain age, if you want to insure with us, then you may have to pay an age excess. We may choose to waive the basic excess on a claim in some instances, like if you’re not at fault and can supply the details of the other party involved.
For more information on excesses please refer to the relevant PDS.
Can I change my excess?
Yes, you can change your Basic Excess at any time. Keep in mind, it will affect your premium.
What’s a no-claim bonus?
If you haven’t made a claim on your insurance, this is rewarded through a no claims discount on your premium. The discount increases each year that no claim is made until you reach a maximum of a rating 1. Once you’re a rating 1 you keep this for life with RAA at no extra cost, regardless of any future claims.
Will my brand new car be replaced if it’s a total loss?
If you buy a new car and take out comprehensive car insurance with RAA, then if that car is written off within 2 years of its registration, we'll replace it with a brand new one.
Also, if your car was manufactured in or after 2014, and you've held RAA Comprehensive Car Insurance for that car since it was new, then so long as you have continued to insure it with us, it'll be replaced with a brand-new car.
Does RAA cover broken windscreens?
Absolutely. In fact, if you hold RAA Comprehensive Car Insurance, you get unlimited windscreen replacement and chip repair. Plus, we’ll waive the Basic Excess.
Can a friend or family member drive my car if they’re not listed on the policy?
Anyone can drive your car – as long as they have your permission and hold a valid driver’s licence. You may have to pay an additional excess depending on their age. Your should also ensure that if they're going to drive the car more regularly, they're added to the policy.
There’s a learner driver in the family – do I need to put them on my policy?Yes, they’ll need to be listed as a driver on your policy. You can update this by calling us on 8202 4567 or dropping in to your local RAA Shop.
Does my policy include getting a hire car while my car’s being repaired?
A hire car is only provided if you have selected the ‘hire car additional option’ on your Comprehensive Car Insurance policy. You can call 8202 4567 or drop in to your local RAA Shop to do this at any time. Some additional charges will apply to your premium.
How do I find out the exact model of my car?
The full details of a car are recorded in your service manual, but some of the info can be found on the metal compliance plate attached to the vehicle’s engine bay, door pillar or footwell.
If I have a crash, can I choose my own repairer or will you send me to one?
With RAA Comprehensive Car Insurance you’re free to choose your own repairer, but we can provide suggestions nearby if you’re not sure. If for some reason your repairer does not meet RAA’s standards for safety, quality, fairness, effectiveness and pricing we will move your vehicle to another repairer or settle your claim with cash in lieu. If you choose an RAA Approved Repairer, we’ll also guarantee the repairs while you continue to insure your car with us.
How do I lodge a claim?
Can I pay my vehicle registration through RAA?
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