What types of car insurance does Budget Direct offer?
Budget Direct offers multiple types of car insurance, at the time of writing:
- Comprehensive car insurance, which is the most extensive form of optional car insurance. It covers accidental loss of or damage to your own vehicle in a variety of situations, as well as damage to another person’s car or property that you cause when driving.
- Third party fire and theft, which covers your vehicle if it’s damaged by fire or stolen, as well as damage you cause to other people’s vehicles and property.
- Third party property damage, which only covers you if you damage other people's vehicles and property while driving.
Budget Direct also offers discounted comprehensive policies for those who drive under a certain kilometre threshold each year. While these Gold Low Kilometres Comprehensive policies could help you save money if you don’t drive often or far, you may face an additional excess if you drive over your selected limit and need to make a claim.
What does Budget Direct comprehensive car insurance cover?
Budget Direct’s Gold Comprehensive car insurance policy covers the following as standard, at the time of writing:
- Damage to your car as a result of a road accident.
If you’re found to not be at fault for the accident, it will also cover the cost of a hire car while yours is repaired. - New car replacement, in which you’ll receive a new vehicle if your current one is written off within a specified time frame or before it’s driven a certain number of kilometres.
- Damage to your car caused by fire. This can be as a result of a collision, arson, or from a bush fire.
- Storm damage to your car, including flood and hail damage.
- Theft of your car and coverage for up to $500 worth of stolen or damaged contents.
You’ll also be covered for the cost of a hire car (up to $1,500 over 21 days) following theft. - Malicious damage to your car, including vandalism.
- Damage to other vehicles and property that you caused in an accident. You might also be financially protected if you’re sued as a result of an accident.
- If your damaged car is undriveable, the policy will cover the cost of towing it to a repairer or another agreed place, as well as your transportation to the address where the car is normally kept at night or your temporary accommodation (limits apply).
- Replacement of stolen keys and remotes (up to $1,000 worth).
- Damage to your caravan or trailer (up to $1,000 of coverage).
- The cost to replace baby capsules or child seats (up to $500 per item for any one accident) if they’re damaged in an accident or your car is stolen.
- Removal of car debris after an accident.
What optional extras does Budget Direct offer?
Budget Direct offers car hire coverage for accidents where you were at fault, reduced window glass excess cover, choice of repairer, and roadside assistance at an additional cost.
What’s not covered by Budget Direct car insurance?
Just like any insurance policy, there’ll be situations in which you aren’t covered. These are referred to as policy exclusions. Budget Direct says it won’t cover you for:
- General wear and tear
- Unexplained or ongoing mechanical, structural, or electrical malfunctions or breakdowns
- Using the wrong fuel
- Damage to your tyres caused by punctures, cuts, or bursts
- Ridesharing or food delivery
- Racing, contests, or rallies
- Unlawful use.
For more details on what is and isn’t covered under Budget Direct’s car insurance, read the relevant Product Disclosure Statement (PDS).
Does Budget Direct let you nominate a higher or lower excess?
Budget Direct lets you nominate a basic excess amount from a range of sums when you first purchase a policy. You can also change your basic excess at any time, either online or over the phone.
Is it better to nominate a higher or lower excess with Budget Direct car insurance?
This will depend on your personal circumstances and preferences. If you have a higher excess, your premiums will typically be lower but you’d have to contribute more if you need to make a claim.
If you opt for a lower excess, your premiums will usually be higher but you’ll face a smaller out-of-pocket cost when making a claim.
If you don’t think you’d be able to pay the excess if you have to make a claim, it might be better to reduce your excess and pay higher premiums instead.
What other excesses apply on Budget Direct car insurance policies?
Budget Direct’s PDS states that, in addition to the basic excess applied, policyholders could also face:
- An age excess, if a driver under the age of 25 was driving the car at the time of the incident.
- An inexperienced driver excess, if a driver involved in a claim has not held a full or open Australian licence for two or more years.
- An unlisted driver excess, if a driver using the car at the time of the incident is not a regular driver or listed on your insurance certificate.
- If you’re making a claim for a damaged windscreen, you may need to pay a window glass-only excess.
If you have a Gold Low Kilometres Comprehensive policy, an excess may apply when making a claim if:
- Your car has exceeded the kilometres per year selected
- No odometer reading was provided
- An invalid odometer reading was provided.
If applicable, these excesses would be paid in addition to any basic excess and are typically not negotiable.
How much can I insure my car for with Budget Direct?
Most Budget Direct policies will insure your car for its market value, which is its value at the time of loss or damage, taking into account factors like your car’s make, model, age, kilometres travelled, and overall condition.
In some cases, you may be able to insure your vehicle for an agreed value. An agreed value is an amount you and Budget Direct agree to insure your car for. Budget Direct may offer this feature, provided:
- Your car is less than 10 years old,
- has not been converted to LPG,
- has no pre-existing damage, and
- the agreed value is within an acceptable range of the market value.
Whether your vehicle is insured for its market value or an agreed value, and how much, will be shown on your insurance certificate and in your online account.
Does Budget Direct car insurance include car hire after accidents?
Budget Direct offers coverage for the cost of car hire after accidents where you weren’t at-fault on its comprehensive policies. To be covered for a hire car after an accident where you were at-fault, you’ll need to purchase the ‘Accident Hire Car’ optional benefit.
Does Budget Direct have roadside assistance?
Budget Direct offers a 24/7 nationwide roadside assistance service you can purchase as a standalone policy or an add-on feature on your car insurance. Budget Direct claims it has a network of more than 2,700 service providers across Australia. See Budget Direct’s website for more details.
