Customer service
Best car insurance Australia September 2026
We compared 40 comprehensive car insurance policies on price, features and customer service. Here are our top 5 picks for Australian drivers.
Value
Bonuses
Price
Key takeaways
- Youi took out the title for Most Recommended Car Insurer in our 2026 Customer Satisfaction Awards, while Budget Direct won our 2026 Finder Award for Best Value.
- The best policy depends on what you need: the cheapest cover, the best features and the kind of customer service you're looking for.
- Comparing your options at renewal time is the single biggest way to cut the cost of your premium.
Car insurance is one of those bills that only ever seems to move in one direction. Recent consumer research found that Gen Z drivers are now paying an average of $183 a month for cover, $50 more than baby boomers.
The easiest way to cut the price of your policy? Switch to a better deal. But we understand you don't always have the time to sift through policies, which is why we've done the heavy lifting for you.
We compared 40 comprehensive policies on price, features and customer service to find the standouts, whether you want the cheapest cover, the best features or an insurer that actually picks up the phone.
- Best for customer satisfaction: Youi Comprehensive
- Best for value: Budget Direct Comprehensive
- Best for bonuses: Qantas Comprehensive
- Best for price: Bingle Comprehensive
- Best for features: Coles Comprehensive Insurance
Why you can trust our research
40 car insurance policies analysed
1,400+ car insurance quotes collected
300+ hours of research
Why is car insurance so expensive right now?
Comprehensive premiums have risen more than 40% since 2019, according to the Insurance Council of Australia. There are a few reasons why car insurance premiums are climbing, including:
- Cars cost more to fix. Modern vehicles are packed with sensors and cameras, so even a minor bump can mean expensive recalibration. Parts costs have also increased by roughly 26% in five years.
- Repairs are taking longer. A shortage of panel beaters and parts delays have pushed average repair times from around 39 days to over 60.
- Extreme weather is hammering claims. Floods, storms and hail have driven up claims costs across the country, even in areas that haven't been directly hit.
- Reinsurance costs more. Insurers buy their own insurance against catastrophes, and global disasters have pushed that cost up, which can flow through to your premium.
Tried and tested tips
"Look around for insurers who offer sign-up discounts – this can be a great way to save! Often, the sign-up discounts will only be available if you're a new customer but that's typically no problem if you're looking at switching providers. Some offer up to 15% off which can help you save around $100 in some cases."
"If you like the look of a specific policy but it's too expensive for you, check who the underwriter is. Brands with shared underwriters have identical policies but some brands are cheaper than others. This means you can enjoy the same policy at a more affordable price point. You can find a policy's underwriter with a simple Google search or look at the product disclosure statement."
"Good to know – if your windscreen is broken and that's the only thing that's been damaged, it's not always worth making an insurance claim. This is because your excess is usually more than the cost of the repairs. To avoid this, lots of insurers let you upgrade your cover to include no-excess windscreen cover. It'll usually cost you a couple more bucks a month which is substantially cheaper than paying for the repairs yourself."
How to choose the best car insurance for you
The "best" car insurance isn't the same for everyone. The right policy comes down to your car, your budget and how much cover you'd want if something went wrong. Here's what to weigh up during your search:
- Level of cover. Comprehensive covers your own car as well as others, while third party options are cheaper but won't repair your car. It's important to match the level to what your car is worth.
- Agreed vs market value. Agreed value locks in a set payout and market value lets the insurer decide based on your car's worth at claim time. Agreed usually costs a little more but reduces the risk of being underinsured.
- Price and excess. While selecting a higher excess lowers your premium, keep in mind you will need to pay this amount if you ever make a claim, so choose an amount you could afford to pay. If you're opting to pay your premium monthly rather than annually, just be aware this can be more expensive overall rather than just paying annually.
- Inclusions and limits. Check what's standard vs optional, things like roadside assistance, hire car after an accident, windscreen cover and new-car replacement vary a lot between insurers.
- Claims reputation and service. A cheap policy is only as good as its claims experience. Look at customer satisfaction and how easy the insurer is to deal with when it matters.
The best way to find your best policy is to compare a few options on both price and what's actually covered, then double check the PDS before you buy.
What to avoid when getting car insurance
- Don't auto-renew without re-quoting. Insurers save their sharpest prices for new customers, and premium increases tend to land hardest on people who renew without asking questions. When your renewal notice arrives, treat it as your opportunity to compare a few quotes.
- Don't pay monthly without checking for fees. Some providers charge up to 15% more for the privilege of paying monthly. Over a year, that can add up to hundreds of dollars for exactly the same cover.
- Don't overinsure your car. Comprehensive cover isn't mandatory, and if your car's only worth a few thousand dollars, you could be paying more in premiums than you'd ever get back in a claim.
Which level of cover do you actually need?
There are 3 main types of car insurance in Australia, and the right one mostly comes down to what your car is worth and whether you could afford to replace it tomorrow.
- Third party property damage: Covers damage you cause to other people's cars and property, but nothing for your own car. Best for older cars that aren't worth much, where you'd rather wear the loss than pay for extra cover.
- Third party fire and theft: Everything above, plus cover if your own car is stolen or damaged by fire and is usually capped at around $10,000. This is what's considered the "middle ground" for cars worth less than that.
- Comprehensive: Covers your car for accidents, fire, theft, storms and more, on top of damage you cause to others. The go-to for newer or higher-value cars, or anyone who couldn't easily afford to replace their car after an accident.
How much are Aussies spending on car insurance?
Every month, we ask hundreds of Australians what they're paying for car insurance. To show you how age impacts the cost of your monthly premium, we've broken these numbers down by generation. Here's what their bill looked like in March 2026.
- Baby boomers: $134
- Gen X: $124
- Gen Y: $175
- Gen Z: $183
Best car insurance by state
Where you live affects both what you pay and which insurers are most competitive. Factors like traffic density, theft and weather risk and even whether CTP is bundled with your registration all vary by state. If you're after the best cover for your location, our state guides break down the top options and average prices closer to home:
- Best car insurance in New South Wales
- Best car insurance in Victoria
- Best car insurance in Queensland
- Best car insurance in Western Australia
- Best car insurance in South Australia
- Best car insurance in the ACT
Frequently asked questions
Sources
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