How do you find the best car insurance?
When it comes to car insurance in Australia, no one policy or provider is the ‘best’. The best option for you will come down to your needs and budget. If you’ve got a brand-new car, for instance, you’re likely to have very different insurance needs than a driver with an older used car. Likewise, the best car insurance for a learner or P-plater is likely to be quite different from a policy suited to a more experienced driver.
Here are some key questions to help you start comparing car insurance policies:
- What level of cover do you need?
Do you want comprehensive coverage, allowing you to claim for accidental damage to your own vehicle? Or do you only need a more basic third party policy to help cover damage you may cause to other people’s cars or property?
- Do you need any extra features?
Optional extras like coverage for the cost of car hire after an accident, roadside assistance, and excess-free windscreen repair are often available on comprehensive policies, at an additional cost.
- How far do you drive your car?
Depending on how you use your vehicle, you may be able to save with a low kilometre or pay as you drive policy.
- What’s your budget?
Canstar Research found the average comprehensive car insurance policy currently costs around $2,460 a year in Australia. It’s important to consider your budget and the value for money you can get with your cover.
You can use the table at the top of this page to compare comprehensive car insurance policies that fit your requirements. It features Canstar’s expert Star Rating for each product rated, as well as details like whether you can opt for agreed or market value coverage and if you can pay by the month at no extra cost. Filters also include options to search for policies suited to different ages (including those that accommodate under 25s), locations, features, cover options, after-accident care, and discounts.
What are the best car insurance providers in Australia?
Finding the best car insurance for your needs and budget can take time. Fortunately, Canstar Research has made it easier by comparing and rating products from 39 different car insurance providers. The result is our 2026 Car Insurance Star Ratings and Awards, designed to help in your search for the best car insurance for your needs.
Best car insurance: Outstanding Value Award winners
Three car insurance providers topped the list in Canstar’s 2026 Car Insurance Star Ratings and Awards:
AAMI
AAMI secured a National Award this year, alongside State Awards in SA, VIC, and WA. AAMI’s comprehensive policy was found to pair competitive premiums across a range of driver types, car types, and locations with strong features that come standard. These features include a hire car for up to 21 days following a theft, coverage for accidental damage to personal property up to $1,000, and 'new for old' total car replacement with no kilometre limit for the first registered owner of a vehicle less than two years old. Roadside assistance is also available as an optional extra.
Bingle
Bingle has retained its National Award this year. Canstar Research found the digital-only provider focuses on essential protections at a competitive price, with the option to tailor coverage through extras. These include new car replacement for cars under three years old, a hire car for any covered incident until repair or settlement, and unlimited no-excess windscreen cover.
ROLLiN’ Insurance
ROLLiN’ Insurance retained its National Award and State Awards in NSW, QLD, and TAS, while picking up a State Award in the NT. ROLLiN’ operates on a unique monthly 'rolling' structure where policies automatically renew each month with an updated premium and valuation of your car – found to give policyholders flexibility without locking into an annual commitment. New car replacement after a total loss is included as standard for cars with fewer than 15,000 kilometres on the odometer. EV batteries, charging cables, wall boxes, and adapters are also explicitly covered. For drivers under 25, ROLLiN’ charges no additional excess.
Best car insurance: Most Satisfied Customers Award winners
Canstar also recognises the insurers delivering the most satisfaction to customers, based on the responses of thousands of Australians. Our 2026 Most Satisfied Customers - Car Insurance winners are:
- Most Satisfied Customers - National: Bupa
- Most Satisfied Customers - NSW: ANZ
- Most Satisfied Customers - VIC: Commonwealth Bank
- Most Satisfied Customers - QLD: Shannons
- Most Satisfied Customers - SA: Youi
- Most Satisfied Customers - WA: Youi
What is the best type of car insurance?
Before deciding which provider and policy to choose, it’s worth considering which type of car insurance will be best for your needs. There are three main varieties of car insurance available in Australia and the best for you will depend on the vehicle you’re insuring, the level of cover you need, and your budget.
Comprehensive car insurance
Comprehensive car insurance is the most extensive form of optional car insurance and includes cover for accidental damage to your own vehicle in a variety of circumstances, as well as damage to other people’s property. It also tends to cost more than other types of optional cover. Comprehensive cover may be suitable if:
- You want a high degree of financial protection for a broad range of risks, including damage to your own vehicle caused by an accident, storm and hail damage, flooding, and theft, as well as some of the indirect costs associated with being without a car while it’s being repaired (like hiring a car).
- You would find it difficult to cover the cost of repairing or replacing your vehicle by yourself.
- You have a car loan, as some lenders will require the vehicle being financed to be insured with a comprehensive policy.
Third party property damage and third party fire and theft car insurance
Third party property damage policies provide cover for damage you cause to another person’s property—like if you caused a crash that damaged someone else’s vehicle. Third party fire and theft policies offer the same protection, as well as coverage for your vehicle if it’s damaged in a fire or stolen. Third party cover may be suitable if:
- You could afford to repair or replace your own car if you were to be at fault in an accident
- You could do without a car while yours is being repaired after an accident
- You want a cheaper policy and are happy to sacrifice the protection a comprehensive policy offers
Compulsory Third Party (CTP) insurance
Compulsory Third Party (CTP) insurance is mandatory for all vehicles driven on Australian roads and covers costs related to injuries caused in a motor vehicle accident. CTP insurance is generally paid for as part of your car registration, except in NSW where you’ll need to arrange your policy before registration.
What does car insurance cost in Australia?
If you’re looking for the best car insurance, price may be a determining factor. We crunched the numbers on policies in our database and as of May 2026, here’s the average annual cost of a comprehensive car insurance policy by state and territory, as well as nationally:
State | Cost |
|---|---|
New South Wales | $2,792 |
Northern Territory | $2,577 |
Queensland | $2,169 |
South Australia | $2,145 |
Tasmania | $2,014 |
Victoria | $3,293 |
Western Australia | $2,208 |
National | $2,460 |
Source: www.canstar.com.au - 28/05/2026. Based on comprehensive car insurance policies rated in Canstar's 2026 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 $800 to $1,000.
When trying to find the best car insurance offering the greatest value for money, you may think about switching up your provider. If you already have car insurance and feel you’re paying too much, especially if it’s more than the average in your state or territory, a new provider could potentially offer you comparable coverage for a cheaper price.
Best car insurance features to look out for
The best car insurance features for you will depend on what you value as a driver, the risks most relevant to you, and what kind of car you drive. As a general guide, ask yourself what you need in the way of:
- Options for the level of excess you pay
- Cover for personal items inside your vehicle
- Excess-free claims for damaged window glass or windscreens
- Roadside assistance
- Cover for rental car costs while your vehicle is repaired after an insured event
- Emergency accommodation and transport if you’re stranded due to your car being damaged after an insured event
- New for old car replacement—which can be useful if you’re insuring a relatively new vehicle
- Replacement of stolen or lost keys and the recoding of locks
- Choice of repairer
- No-claim bonuses or other discounts
- Replacement of baby capsules and child seats after an insured event
These features may be subject to limits, sub-limits, exclusions, and certain restrictions. Check the policy’s Product Disclosure Statement (PDS) for more information.
What is the best car insurance excess?
The best car insurance excess will depend on your budget. A higher excess generally means a lower premium, but you’ll have to pay more out of pocket if you need to make a claim. Alternatively, a lower excess can reduce the cost of claiming, but your premium will generally be higher.
Make your own assessment of the trade-off between saving now and potentially needing to pay more if you make a claim, or paying a bit more to protect yourself from higher out-of-pocket costs at claim time.
How to compare car insurance
Once you’ve decided on the type of cover you need, it’s worth comparing the policies on offer. Here are some things to consider:
- What’s included and excluded: While two policies may be similar in terms of what’s covered, one might offer protection from extra risks or come with helpful inclusions or optional extras, like roadside assistance or new for old car replacement. Be sure to also look at the cover limits — the maximum amount an insurer will pay out in particular situations.
- Check the premiums: Price isn’t everything, but all other things being equal, a cheaper policy may be more appealing. It could also be worthwhile looking at factors related to the premiums, such as any discount that applies for buying the policy online and being able to pay your premiums monthly at no extra cost.
- How your vehicle is valued: Your car will either be insured for its market value (what the car is currently worth on the open market) or a value you agree to with your insurer. While most policies will insure your vehicle for its market value, the option to select an agreed value may be beneficial if you want more of a say over how much you’ll receive if your vehicle is written off in an insured event.
- Your standard excess of choice: Most insurers will give you the option to select your standard excess, with some offering a larger variety than others.
- Don’t be afraid to negotiate: If you already have a car insurance policy, you may be able to negotiate a better price than what you’re initially quoted. If you find a cheaper deal, ask your current provider if it’s willing to reduce your premiums in order to keep your business.
- Consider low kilometre or ‘pay as you drive’ policies: If you don’t drive a lot, take a look at policies that base premiums on how much you use your car (as opposed to a flat rate regardless of kilometres travelled), as these might work out cheaper.
When weighing up car insurance policies, it’s a good idea to read the PDS and Target Market Determination (TMD) for each product to ensure it’s suitable for you. Pay close attention to what is and isn’t covered and any limits that may apply.
