How much does car insurance cost in Victoria?

Looking for car insurance in Victoria? Find out how much car insurance premiums cost on average.

How much is car insurance in Victoria?

The table below shows the average annual cost of comprehensive car insurance in Victoria for new and used cars. These premiums are based on Canstar’s most recent Car Insurance Star Ratings.

Average comprehensive car insurance premiums for Victorian drivers

Source: www.canstar.com.au. Based on comprehensive car insurance policies rated in Canstar’s 2021 Comprehensive Car Insurance Star Ratings. Premiums include quotes for both new and used cars for a range of scenarios, with a state-specific target excess ranging from $600 to $750.

Remember these are just average premiums. How much you will pay for car insurance can depend on a range of factors. Insurers can take into account factors such as the level of cover you choose, your age and gender, where you live, your driving record, the type of car you drive and more.

What types of car insurance are available in Victoria?

All drivers in Australia must have compulsory third party (CTP) insurance as a minimum. CTP insurance provides financial protection if you injure or kill someone in a car accident. In Victoria, it is included in your registration cost and is known as the transport accident charge.

For a greater level of cover, drivers can also choose to take out third party property damage, third party fire and theft or comprehensive car insurance. Third party property damage provides financial protection if you cause damage to someone’s property, such as their car or home. Third party fire and theft cover includes property damage cover, plus cover if your car is damaged by fire or is stolen.

Comprehensive car insurance provides the highest level of cover. It provides a more extensive degree of cover for damage or theft to your car, as well as to other people’s vehicle and property. You can compare comprehensive car insurance policies with Canstar.

→ Read more: Different types of car insurance explained

How can I save money on car insurance?

If you’re looking for ways to save on your car insurance, here are some tips that could help:

• Shop around: Before simply renewing your policy, make sure you shop around and check whether you could get a better deal elsewhere.

• Buy online: Several insurers offer discounts if you take out your car insurance policy online, instead of over the phone or in person.

• Choose a higher excess: A higher excess can lower your premiums. But it also means you’ll pay more upfront if you need to make a claim. So if you choose a higher excess, make sure you budget for this.

• Pay annually instead of monthly: Check whether the insurer charges lower premiums if you pay annually instead of in monthly instalments. This could be worth doing if your budget allows.

• Prioritise safety and security: You may be able to reduce your premiums by parking your car in a garage instead of the street or adding security features such as a car alarm or immobiliser. Check with the insurer what is on offer.

Read more of our tips to save money on your car insurance.

How can I compare comprehensive car insurance policies?

Choosing the right car insurance policy isn’t just about the price. As well as premiums, some other factors you may want to consider include:

• The policy inclusions (e.g. are the risks that are most relevant to you covered by the policy?)
• The policy exclusions
• The claims process
• The excess options
• Any discounts on offer (e.g. online discounts or no claim discounts)

Canstar compares and rates comprehensive car insurance policies available in Victoria by taking into account price and features. This can help ensure you get both a competitively-priced policy and a good level of cover.

Compare Car Insurance Policies with Canstar

Cover image source: Adam Calaitzis/Shutterstock.com

Sub edited by Milan Cuk.