Car Insurance

Know what's covered and what extra benefits you can get by understanding your car insurance policy
Comprehensive Insurance

Get up to 15% discount on premiums for Trade Me members

Fire Damage

Yes

Theft

Yes

Damage to Your Car

Yes

Towing

Yes

Accident Site Costs

Completion of Journey

Up to $500

Keys & Locks

Trailer Cover

Glass Repair

Optional

Rental Car

Up to $1,000

Repair Work Guarantee

Yes

Roadside Assistance

Optional

Policy Wording
Third Party, Fire & Theft Insurance

Save up to 20% multi-policy discount

Earn 1 Airpoint dollar for every 100 you spend on your premium

One event, one excess

Promotion

Get a month’s premium on us, up to the value of $100 when you buy a car policy online using promo code 1MONTH

Fire Damage

Yes

Theft

Yes

Damage to Your Car

No

Towing

Yes

Accident Site Costs

Up to $500

Completion of Journey

Up to $250

Keys & Locks

No

Trailer Cover

No

Glass Repair

Optional

Rental Car

Up to $750

Repair Work Guarantee

Yes

Roadside Assistance

Optional

Policy Wording
Car Third Party, Fire and Theft

Earn 1 Flybuys for every $25 spent

Promotion

Get $25 off when you buy online and get a $50 Prezzy card.

Fire Damage

Yes

Theft

Yes

Damage to Your Car

No

Towing

Yes

Accident Site Costs

Yes

Completion of Journey

No

Keys & Locks

No

Trailer Cover

No

Glass Repair

Optional

Rental Car

No

Repair Work Guarantee

Yes

Roadside Assistance

Optional

Policy Wording
Full Cover
Fire Damage

Yes

Theft

Yes

Damage to Your Car

Yes

Towing

Yes

Accident Site Costs

Completion of Journey

Up to $1,000

Keys & Locks

Up to $500, excess 100

Trailer Cover

Up to $1,000 excess $100

Glass Repair

Yes

Rental Car

$500 or maximum of 10 days whichever is lesser

Repair Work Guarantee

Yes

Roadside Assistance

Optional

Policy Wording
Comprehensive
Fire Damage

Yes

Theft

Theft

Damage to Your Car

Yes

Towing

Accident Site Costs

Yes

Completion of Journey

Yes

Keys & Locks

Yes

Trailer Cover

Up to $2,000

Glass Repair

Yes

Rental Car

Optional

Repair Work Guarantee

Roadside Assistance

Policy Wording
Comprehensive

You can choose the payment option that suits your needs

Fire Damage

Yes

Theft

Yes

Damage to Your Car

Yes

Towing

Yes

Accident Site Costs

Yes

Completion of Journey

Keys & Locks

Up to $1,000, excess $100

Trailer Cover

Up to $1,500, excess $100

Glass Repair

Yes

Rental Car

$60/day max 14 days whichever comes first

Repair Work Guarantee

Yes

Roadside Assistance

Yes

Policy Wording
Full Cover

100% Online

Fire Damage

Yes

Theft

Yes

Damage to Your Car

Yes

Towing

Yes

Accident Site Costs

Yes

Completion of Journey

Up to $750

Keys & Locks

Up to $1,000, excess $100

Trailer Cover

Up to $1,000, excess $100

Glass Repair

Yes

Rental Car

Yes

Repair Work Guarantee

Yes

Roadside Assistance

Optional

Policy Wording
Car Insurance

No fault – No excess

Manage your car insurance online

Fire Damage

Yes

Theft

Yes

Damage to Your Car

Yes

Towing

Accident Site Costs

Up to $1,000

Completion of Journey

Yes

Keys & Locks

Up to $1,000

Trailer Cover

Up to $1,000

Glass Repair

Yes, optional

Rental Car

Optional

Repair Work Guarantee

Yes

Roadside Assistance

Optional

Policy Wording
Auto One

You can choose your own car repairer

Discounts on premium if you have more than one vehicle insured with Club Auto

Fire Damage

Yes

Theft

Yes

Damage to Your Car

Yes

Towing

Accident Site Costs

Up to $1,000

Completion of Journey

Yes

Keys & Locks

Up to $500

Trailer Cover

Glass Repair

Yes

Rental Car

$500 or maximum of 7 days whichever is lesser

Repair Work Guarantee

Yes

Roadside Assistance

Policy Wording
Third Party only

Multi- policy discount

Earn Flybuys

Premiums can be paid fortnightly, monthly or annually.

Fire Damage

No

Theft

No

Damage to Your Car

No

Towing

No

Accident Site Costs

No

Completion of Journey

No

Keys & Locks

No

Trailer Cover

No

Glass Repair

No

Rental Car

Repair Work Guarantee

Yes

Roadside Assistance

No

Policy Wording

What is Car Insurance?

Car insurance is a type of insurance that provides financial protection in case of accidental damage, theft, or third-party liability.

The different types of car insurance

Comprehensive insurance

Investing in comprehensive car insurance cover is a smart decision. A comprehensive car insurance policy provides extensive coverage against fire and theft and ensures that your vehicle (and any other damaged vehicles) involved in an accident will be repaired or replaced. There may also be other benefits of comprehensive cover such as roadside assistance if your car breaks down, windscreen damage cover for window glass repairs or child car seat protection.

However, it’s essential to research and compare various comprehensive policies and their respective add-ons and benefits to find the best car insurance fit for your needs.

Third-party insurance

When it comes to car insurance, third-party coverage is the most basic type of insurance. This coverage is designed to protect others if you are involved in a car accident, but it doesn’t cover damages to your vehicle.

Unlike some other countries, in New Zealand, there is no legal requirement to have third-party insurance. The Accident Compensation Corporation (ACC) provides no-fault cover for any person injured due to an accident, which is partially funded by a levy paid as part of your motor vehicle registration fee and some of the tax paid each time you fill your car with fuel. However, the ACC scheme does not cover the damage to another person’s vehicle in the event of an accident.

Third-party fire and theft

Third-party fire and theft insurance covers your legal liability in the event that you damage someone else’s car or property, as well as fire and theft of your own vehicle. It could be a good option if you have a limited budget or own a less valuable car, but still want extra protection like theft cover or protection for fire damage, especially if you park in high-theft areas or don’t have secure parking at home or work. However, in the case of an accident, your vehicle isn’t covered.

Understanding policy terms

Let’s take a look at some standard terms you’ll come across in a car insurance policy wording:

Premium: The amount you pay, monthly or annually, for your insurance coverage.

Excess: The amount you must pay towards any claim before the insurer pays the rest. Choosing a higher excess can lower your premium, but it also means you’ll have to pay more out of pocket in case of a claim. It’s important to choose an excess that you can afford to pay.

No-claims bonus: A discount offered by insurers for each year you don’t make a claim.

Agreed value: The amount agreed upon by you and the insurer for your car’s value in case of total loss.

Market value of insured car is: The current market value of your car at the time of the claim.

How to choose the right car insurance

When choosing car insurance, here are key factors to consider:

  • The type of coverage you’ll need.
  • The coverage limits.
  • Research the insurer’s reputation — do they have good customer service and claims process?
  • Look for policies with additional benefits, like a courtesy car.

It’s a good idea to get a car insurance quote from a number of insurance providers.

How is a car insurance premium decided?

A car insurance premium is the amount you pay for your insurance coverage. Several factors affect your premium, including:

Age: It’s common for younger drivers to pay a higher premium as there is an increased risk of damage.

Car model: High-performance and luxury cars attract higher premiums due to their higher repair costs.

Location: Your location can affect your premium due to crime rates and accident statistics.

Driving record: Have an excellent driving record? You may be eligible for discounts on your premium.

Coverage level: The more extensive the coverage, the higher your premium payments. For example, a comprehensive policy will likely have a higher cost than third-party fire/theft.

Age of the car: Because the car replacement value of an older car is likely less than a new car, the premium for an older car should be less.

What else to consider

As well as understanding the terms of your policy, there are a few other things to think about.

Claim process: Understand the claims process and ensure you have all the necessary information in case of a claim.

Renewal: Know when your policy is up for renewal and ensure you renew it on time to avoid any lapses in coverage.

Modifications: If you modify your car, notify your insurer to ensure they’re covered.

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Make sure you've got the right insurance policy for your car use