What can influence car insurance premiums in Australia?

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You want to ensure that your car insurance premiums in Australia are as low as possible. This means that you will need to put a little bit of thought into the factors which will influence the premium in the first place. The following information should help.


How often you drive


The more kilometres you drive, the high your car insurance premiums in Australia are going to be. After all, the longer you are on the roads, the more risk there is of getting into an accident.


You will start to see savings on your insurance costs if you are driving under 13,000KM per year (this is the average distance for an Australian driver). It won’t be a massive saving, but it could shave a good few dollars off of your premiums each year.


Your excess


The higher your excess, the lower your premiums. Of course, as tempting as it may be, do not make your excess too high. If you make a claim under your insurance, then you will need to pay this excess. If you can’t afford it, you will not get a payout. Simple as that.


Where you live


If you live in an area that has a high amount of crime (or notoriously poor roads), then you may find that you need to reduce car insurance premiums because it’s going to be a little bit higher. This is because you will be seen as a greater risk.


Where you leave your car (plus security features)


If you are leaving your car parked on the roads of an evening, then you will find that your premiums are a lot higher than somebody who is leaving their vehicle in the garage. This is because leaving your vehicle on the roads is inherently riskier when it comes to theft.


Same with the ‘safety features’. The latest vehicles will have all sorts of amazing security features built into them, which can help reduce the risk of theft and, ultimately, bring your premiums down.


Driving history


If you have a history of making claims on your insurance, then your premiums are going to be a lot higher. After all, you have now become a riskier person to insure. This is because there is a greater chance you will need to make a claim against your policy. The cheapest premiums are always given to those who have the best driving history i.e. no accidents on the roads, or claims made.



Remember; do take your time to shop around for the best car insurance premiums in Australia. If you take the time to shop for a good deal, then you could easily shave a good few dollars off of your premiums each year.