Is my car insurer offering coronavirus policy relief?

Photo by Trent Szmolnik on Unsplash

COVID-19 has left many battling their budgets, but a few insurance companies are offering policy relief - so what is your insurer offering?

There's relief coming out the ears ever since coronavirus wreaked havoc on our health, our lives, and the economy.

Many of us are feeling the pinch, and there are numerous measures out there to ease the burden, such as extended welfare and stimulus, home loan deferrals, credit card interest deferrals, and more.

However, until recently, car insurers have been fairly quiet in offering policy relief.

After all, many of us are driving less, and there are fewer people out on the road, theoretically reducing risk of a crash.

In the market for a new car? The table below features car loans with some of the lowest fixed and variable interest rates on the market.

So where is the policy discount?

A few insurers have introduced relief measures, and more could follow suit - so watch this space as more insurers come to the table.

• Suncorp Group
• QBE
• RACQ
• Youi

What insurers are offering policy discounts?

So far, in our research, seven insurers have extended an olive branch to policyholders - AAMI, APIA, GIO, Suncorp, QBE, RACQ, and Youi.

Has your insurer offered policy relief? We'd like to hear about it. 

Suncorp, APIA, AAMI, GIO

On 23 April, the Suncorp Group introduced a 'Peace of Mind Package', and that package contains a 20% discount on home and car insurance premiums.

Alternatively, policy holders can also get a three-month premium waiver, in addition to:

• Insurance Health Checks to help customers save, introducing options such as lower premiums for reduced vehicle use.
• No fees for policy cancellation.

The package is available to customers who have held their policy before 2 April 2020, and excludes landlord, strata and CTP insurance.

The Suncorp Group includes AAMI, APIA and GIO, so the same package applies to these three as well.

QBE

Rather than a percentage discount, QBE has gone the gift card route.

On 22 April, QBE announced it will give its eligible existing comprehensive car insurance customers a $50 gift card.

This is also extended to those who sign up before 30 June 2020.

Motorcycle, third party, third party fire and theft and caravan insurance customers will get a $25 gift card.

QBE says this benefit represents about 25% of the average private-use motor insurance policy from April to June.

It is not yet known what brand gift cards are included, and further details on how to access will be revealed "shortly".

RACQ

The Queensland-based automotive giant has introduced several measures to help out its customers amid the coronavirus pandemic.

First is a pause on premium increases when renewing, estimated to save an average of $30 per policy.

This is estimated to save members $5 million and is available to anyone renewing or purchasing a new policy before 30 June.

Second is negotiating with customers to implement a payment plan for the $750 excess if they get into an accident.

RACQ is encouraging members to reach out if they are experiencing hardships.

Youi

Youi's assistance is straightforward - 15% off premiums for the next three months.

This is available to new and existing policy holders who are driving their car less due to the pandemic. 

This discount is available via the online customer portal, or by clicking the relevant box when obtaining an online quote if you are a new customer.

Insurance Policy Coronavirus Relief 

Check back here to see if your insurer offers any policy relief. As always, reach out to your insurer directly if you are experiencing financial hardship due to COVID-19.

• AAMI
• AI Car Insurance
• Allianz
• ANZ
• APIA
• Australia Post
• Australian Seniors Insurance
• Agency
• Australian Unity
• BankSA
• Bankwest
• Bendigo Bank
• Bingle
• Bank of Queensland (BOQ)
• Budget Direct
• Bupa
• CGU
• Coles
• CommInsure
• Dodo
• Elders Insurance
• Eric Car Insurance
• Famous Insurance
• GIO
• Guild Insurance
• HBF
• HSBC
• Huddle
• Hume Bank
• Kogan Insurance
• Latitude
• Lumley
• MB Insurance
• NAB
• National Seniors Australia
• NRMA
• Over Fifty
• Ozicare
• People's Choice Credit Union
• Progressive
• Qantas Car Insurance
• QBE
• RAA
• RAC
• RACQ
• RACT
• RACV
• Real Insurance
• Ryno Insurance
• SGIC
• SGIO
• Shannons
• St. George Bank
• Suncorp
• TIO
• Virgin Money
• Westpac
• WFI
• Woolworths
• Youi

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Disclaimers

The entire market was not considered in selecting the above products. Rather, a cut-down portion of the market has been considered which includes retail products from at least the big four banks, the top 10 customer-owned institutions and Australia’s larger non-banks:

• The big four banks are: ANZ, CBA, NAB and Westpac
• The top 10 customer-owned Institutions are the ten largest mutual banks, credit unions and building societies in Australia, ranked by assets under management in November 2019. They are (in descending order): Credit Union Australia, Newcastle Permanent, Heritage Bank, Peoples’ Choice Credit Union, Teachers Mutual Bank, Greater Bank, IMB Bank, Beyond Bank, Bank Australia and P&N Bank.
• The larger non-bank lenders are those who (in 2020) has more than $9 billion in Australian funded loans and advances. These groups are: Resimac, Pepper, Liberty and Firstmac.

Some providers' products may not be available in all states.

In the interests of full disclosure, Savings.com.au, Performance Drive and Loans.com.au are part of the Firstmac Group. To read about how Savings.com.au manages potential conflicts of interest, along with how we get paid, please click through onto the web site links.

*The Comparison rate is based on a $30,000 loan over 5 years. Warning: this comparison rate is true only for this example and may not include all fees and charges. Different terms, fees or other loan amounts might result in a different comparison rate.

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