In this article:
What types of car insurance are available?
There are four main types of car insurance in Australia. These are:
- Compulsory third party (CTP) insurance: provides financial cover if you injure or kill someone in an accident. In Tasmania, it is included with your vehicle registration fee through the Motor Accidents Insurance Board.
- Third party property damage: provides cover if you cause damage to someone’s property, such as their car or home.
- Third party fire and theft cover: includes property damage cover, as well as cover if your car is damaged by fire or is stolen.
- Comprehensive car insurance: provides the highest level of coverage. It covers third party property damage, fire and theft, as well as accidental damage to your vehicle. Depending on your policy, it can also cover things like storm and flood, towing costs and car hire costs after an accident.
Although comprehensive car insurance is not compulsory in Tasmania (only CTP insurance is compulsory), it may be worth considering if you want a wider range of coverage.
How can I compare comprehensive car insurance policies?
When comparing comprehensive car insurance policies, consider factors such as:
- the premiums charged
- what is covered and whether you will be covered for the risks that are most relevant to you (e.g. if your area is prone to flooding, it may be important that your policy covers this)
- the level of cover
- whether the insurer offers any discounts (e.g. online discounts and no claim bonuses)
Canstar compares comprehensive car insurance policies in Tasmania and other states and territories based on premiums charged, the level of cover provided, and other features on offer from insurers. The top policies are then given a 5-Star Rating. You can compare policies based on their Star Rating using our comparison tables.
How much does car insurance cost in Tasmania?
The cost of comprehensive car insurance depends on various factors, such as the level of cover you choose, your age and gender, the vehicle you are insuring, your driving record, the excess you select and where you live.
In good news, drivers in Tasmania pay among the lowest comprehensive car insurance premiums on average in Australia. As part of Canstar’s Car Insurance Star Ratings, we collect premium quotes for policies across Australia. On average, premiums in Tasmania are the lowest across all age profiles considered, except for under 25s, 25s to 29s, and over 50s (where premiums are slightly cheaper in Western Australia). Canstar does not currently include the ACT and the Northern Territory as separate profiles.
Average annual comprehensive car insurance premiums in Tasmania
|Under 25 female||$1,444|
|Under 25 male||$1,627|
|25 to 29||$1,071|
|30 to 49||$814|
|Family with young driver||$1,466|
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.
What are the risks on the road for drivers in Tasmania?
To work out your comprehensive car insurance premiums, insurers take into account a number of risk factors including where you live. For example, if you live in a highly populated area there may be a greater risk of accidents and greater likelihood of a claim. Insurers may also look at the number of claims in your area, theft rates and the likelihood of weather events like flooding and storms.
To give you an idea of car theft rates in Tasmania, we considered data from the National Motor Vehicle Theft Reduction Council’s website CarSafe. According to their data, Tasmania has a relatively low rate of car thefts compared to other states and territories. Over a recent year, about 2% of total car thefts nationally were in Tasmania. This meant there were nearly 2 thefts per 1,000 registrations. The theft rate for Australia was 2.25 per 1,000 registrations.
In terms of road crashes, the Tasmanian Government reports that there are about 32 fatalities and nearly 270 serious injuries per year (based on a 10-year average).
What are the best car insurance policies in Tasmania?
The best car insurance policy for you will really depend on your circumstances and the level and type of cover you are after. When shopping around for a policy, consider:
- Do you want to keep premium costs down or are you willing to pay more for a higher level of cover?
- Do you think you will make claims often? If so, choosing a higher excess could help you save money on premiums, but you will have to pay higher out-of-pocket costs if you need to make a claim.
- How often do you drive your car? If you drive it often, or rely on it for work, you might want to choose a higher level of cover.
- What risks do you want to be covered? For example, is your area prone to car thefts or flooding?
- Do you want cover for optional extras, such as windscreen protection? Including this on your policy may raise your premium.
- Do you need to have cover for additional drivers, such as younger drivers? If you don’t, you might be able to save money by restricting the drivers covered in your policy.
You can also check out which insurers have won Canstar’s Car Insurance Awards. Canstar gives state-based Awards to the insurers with the highest combined performance across the profiles considered.
Cover image source: Andrew Atkinson/Shutterstock.com