Insuring your car
Why you should check your car insurance amount covered at renewal time
When it comes to car insurance, something we always forget about is what to do at renewal time. Most of the time, it’s as simple as the click of a button to confirm that you’re happy with your current premium and want to continue your policy as is. However, it's important to dig a little deeper and check your details on your policy at renewal. It’s especially important to check your amount covered (among other things).
What is your car insurance amount covered?
With GIO Car Insurance, your ‘amount covered’ is the amount your car is insured for. It is shown on your Certificate of Insurance. If you need to make a claim for loss or damage to your car, this is the most we will pay. The amount covered includes the value of accessories and modifications that are fitted to your car, unexpired registration, Compulsory Third Party (CTP) or Motor Accident Injuries (MAI) Insurance, and GST.
Some insurers may refer to agreed value, which is when the amount your car is covered for is adjusted and agreed upon by both you and the insurer. With GIO Car Insurance, you have the option to adjust the amount you would like to insure your car for – within a specified range – under your amount covered. Adjusting your amount covered will impact on your premium.
Amount covered vs market value
When you insure your vehicle with GIO Comprehensive Car Insurance, you have the option to select your Amount Covered or Market Value.
What is market value?
Market value is a variable amount based on our assessment of how much your car would cost at the time of the incident.
This includes factors like the car’s:
- age,
- make and model,
- kilometres travelled, and
- general condition.
Market value also includes the costs of unexpired registration, and CTP or MAI Insurance.
It doesn't include:
- stamp duty,
- transfer fees,
- dealer warranty or
- delivery costs.
We may also use recognised industry publications to assist in calculating the market value amount.
It’s important to understand that the market value of your car is not necessarily the same as the ‘for sale’ prices you might see offered for a similar car.
See your Product Disclosure Statement for more info, including any deductions that may apply.
Explore Comprehensive Car Insurance
Why it’s important to check your amount covered
It’s important for you to make sure that you are comfortable with the amount that your vehicle is insured for. If something were to happen to your vehicle, and it becomes seriously damaged or written off, it’s good to know that you’ll be able to replace it.
The last thing you’d need on your plate after having lost your means for transport, is not being able to purchase another car. We recommend that when your renewal comes through, you consult with your insurer to check, and if necessary, adjust the amount covered of your vehicle, even if it means your premium could be a little higher.
Find out more about your car insurance amount covered here.
Read more:
- What to check when renewing your car insurance?
- What is the future of electric cars in Australia?
- How to do a car insurance health check
AAI Limited Trading as GIO. Insured issued by AAI Limited ABN 48 005 297 807 trading as GIO. Registered office, Level 23, 80 Ann Street, Brisbane QLD 4000. Any advice has been prepared without taking into account your particular objectives, financial situation or needs, so you should consider whether it is appropriate for you before acting on it. Please read the relevant Product Disclosure Statement before you make any decision regarding this product. The Target Market Determination is also available. Information outlines current environment factors as at December 2021, and may not be indicative of future market influences.
The information is intended to be of general nature only. Subject to any rights you may have under any law, we do not accept any legal responsibility for any loss or damage, including loss of business or profits or any other indirect loss, incurred as a result of reliance upon the information. Please make your own enquiries.
The information is intended to be of general nature only. Subject to any rights you may have under any law, we do not accept any legal responsibility for any loss or damage, including loss of business or profits or any other indirect loss, incurred as a result of reliance upon the information. Please make your own enquiries.
