Laid up car insurance

Own an unused car but still want it insured? Laid up car insurance can protect your vehicle, for less.

Car Insurance

Laid up car insurance is designed to protect cars that are unused or in the process of being repaired or restored, and aren't currently on the road. It means your premium is cheaper, but you're still protected for things like fire, theft, or damage during transit.

What is laid up car insurance?

Laid up car insurance is designed to cover cars which are off the road, because they're currently being repaired or restored. It's a popular type of cover for car enthusiasts, who may be tinkering with a vintage vehicle in their spare time.

Typically, the car must be on private property or located at a workshop of some sort, to be eligible for laid up cover. It might also cover damage in transit, if you're moving your car from one location to another.

Who offers unused car insurance?

Laid up car insurance isn't a particularly common type of insurance, but there a few policies available in Australia, including:

BrandInfo
Picture not described
  • Your car won't be covered if it's in use.
  • Your car must be located at your address, or a professional garage or workshop.
Dawes logo
  • Your car won't be covered while it's being driven, other than for loading and unloading.
  • For vehicles that are not registered for use on the road or are currently undergoing restoration.
  • Your car will be covered while it's being loaded and unloaded for transportation.
Picture not described
  • Your car won't be covered while it's being driven, other than for loading and unloading.
  • Your car will be covered while it's being loaded and unloaded for transportation, as well as during transit.
Ryno logo
  • Your car won't be covered if it's being driven.
  • Your car must be kept in your home or locked garage, at a workshop for maintenance or repair, on display at a car event, at an auction event or at a club event.
  • Your car will also be covered while it's being loaded and unloaded for transport, and during transit, to one of the above locations
Shannons Logo
  • Your car won't be covered if it's in use.
  • The car must be located within a private residence, at a Shannons auction event, or at a workshop for maintenance or repair.
  • Your car will also be covered when it's being loaded or unloaded for transport, and during transit, to any of the above locations.

Pros and cons of laid up cover

Laid up cover is designed with car enthusiasts in mind, so it's a particularly good option for people who have a rare or expensive vintage vehicle, which is currently off the road.

However, laid up cover isn't ideal for everyone's situation. The table below summarises some of the key pros and cons, to help you make a more informed decision.

ProsCons
✅ Cheaper than comprehensive insurance for rare or collectable vehicles.❌ May be more expensive than other policies, if your car isn't rare or collectable.
✅ Covers vehicles during transport and while on display at motoring events❌ Doesn't cover your car for any driving at all
✅ Covers stolen parts, vandalism and damage at a restoration shop❌ Must be kept on private property or a locked garage to be covered

What other options are there?

Laid up car insurance isn't right for everyone. For example, if you want the option of driving your car from time to time, or your car can't be kept in a locked garage, there might be a different type of insurance which is better suited to your situation.

  • Pay as you drive. Some insurers have specific policies which are aimed at drivers that rarely drive, or only drive short distances. Instead of paying for unlimited mileage, you estimate your average annual kilometres, and your premium is calculated based on that figure.

The less the drive, the less you pay. If your driving habits change, you just let your insurer know, and your premiums will be adjusted. Compare pay as you drive policies and you could get a cheaper premium, while keeping comprehensive insurance.

  • Policies that reward low-milage. Some insurers reward drivers for low-usage, even though they don't have seperate pay-as-you-drive policies. During the quote process, you let the insurer know your estimated annual mileage, and your premium is calculated accordingly.

If you're only doing a few thousand kilometres a year, policies that reward low mileage could be a great way for you to get comprehensive car insurance, for a reduced price.

Which insurers offer pay as you drive car insurance?

1 - 6 of 6
Product FCI Finder Score Roadside assistance Accidental damage Storm Choice of repairer Agreed or Market Value
Finder Score
Optional
Optional
Agreed or Market
Finder’s summary: Budget’s Gold Low Kilometre option offers comprehensive insurance with decent cover limits. Also, save 15% on your first year's premium when you purchase a new policy online.
Who it might be good for: Those looking to drive 10,000 km or less annually with a well-regarded insurer – Budget Direct won best value car insurance at the most recent Finder Awards.
Finder Score
Optional
Agreed or Market
Finder’s summary: ahm's Pay As You Drive policy is for those who drive less than 15,000kms per year. You get all the benefits of comprehensive cover but with a bit of a discount.
Who it might be good for: Those who want comprehensive cover and can commit to driving under 15,000 kms per year.
Finder Score
Agreed or Market
Finder’s summary: Huddle offers a short-term insurance option that comes packed with features. Get up to $2,000 in cover for stolen keys, roadside assistance and rental car excess cover (only in Australia).
Who it might be good for: Drivers looking for the most peace of mind against the unexpected – and who don’t mind paying a bit more for the extra security.
Finder Score
Agreed
Finder’s summary: KOBA uses a pay-per-km system – ideal if you drive less. Its app is easy to use and costs can be as cheap as 3¢ per kilometre.
Who it might be good for: Those who want to drive shorter distances over a number of months. This makes KOBA’s up-front fee better value for money.
Finder Score
Optional
Agreed or Market
Finder’s summary: Avoid paying for kilometres you won’t drive with Real while making the most of a decent comprehensive policy. You’ll need to pay to add extras such as hire car cover and roadside assistance.
Who it might be good for: Those who drive under 15,000 kilometres and appreciate no policy cancellation fee.
Finder Score
Optional
Agreed
Finder’s summary: Competitively-priced cover that has most of the features you’d expect with a comprehensive plan. Policy discounts include a 5% saving for Seniors Card holders.
Who it might be good for: Older drivers looking to make decent savings by restricting their mileage. We found Australian Seniors offered the second cheapest rate out of 6 short-term insurance providers.
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Finder Score for car insurance

We analyse over 100 car insurance products and rate each one on price and features. What we get out the other end is a nice round number between 1 and 10 to help you start comparing.

To make sure we're comparing apples with apples, we collect quotes for 8 different personas, then work out the value of 19 different car insurance features. Our team then does some fancy maths to get the Finder Score, taking both price and features into account.

Read the full Finder Score methodology

Which insurers reward low mileage?

We requested multiple quotes from over 20 different car insurance brands in Australia. We used the same driver profile, but changed the estimated mileage. Here are some the brands that offered a reduced price for lower estimated mileage.

Brand5,000km 7,000km 15,000km 30,000km Potential saving between 30km and 5kmGet a quote
Budget Direct$864.24 $918.36 $1,022.03$1,146.02$281.78Get quote
QBE Logo$2,442.31 $2,442.31 $2,534.05 $2,717.53 $281.78Get quote
Bendigo bank$1,340.01 $1,340.01 $1,421.27 $1,421.27 $81.26More info
Bingle$1,053.39$1,053.39 $1,053.39$1,189.88 $136.49More info
Qantas$1,026.45$1,067.64 $1,124.24$1,260.64$234.19Get quote
Australia Post$1,785.97 $1,785.97 $1,853.90 $1,989.76 $203.79More info
Everyday Insurance$870.30$988.20$1,533.30$1,719.30$849.00More info
Rollin' car insurance$1,272.00$1,303.92 $1,321.80$1,475.76$203.76Get quote
ahm logo$1,161.16$1,314.12$1,801.89$1,947.53 $203.76More info
Huddle$1,094.11$1,237.89$1,696.37$1,833.28 $739.17Get quote
Stella car insurance logo$1,830.49$1,830.49 $1,986.19$2,228.69 $398.20More info
Real insurance logo$811.18$921.06$1,429.14 $1,602.49 $633.78More info
Hume Bank Logo$1,212.39 $1,212.39 $1,257.59$1,474.68 $262.29More info
Australian seniors$771.20$875.67$1,358.72$1,523.52$752.32More info
GIO$1,308.28 $1,372.97 $1,525.36$1,822.72 $514.44More info
Suncorp$1,361.98 $1,439.96 $1,473.13$1,889.81 $527.83More info

*Quotes accurate as of 20 August, 2024. Based on a driver profile of a 40-year-old woman, living in Sydney. Car details were for a 2022 Ford Fiesta, with an excess set as close to $800 as the insurer would allow.

Nicola Middlemiss's headshot
Senior writer

Nicola Middlemiss is a contributing writer at Finder, with a special interest in personal finance and insurance. Formerly a business and finance journalist, Nicola has written thousands of articles helping Australians better understand insurance and grow their personal wealth. She has contributed to a wide range of publications, including Domain, the Educator, Financy, Fundraising and Philanthropy, Insurance Business, MoneyMag, Mortgage Professional, Yahoo Finance, Your Investment Property, and Wealth Professional. Nicola has a Tier 1 General Insurance (General Advice) certification and a Bachelor's degree from the University of Leeds. See full bio

Nicola's expertise
Nicola has written 240 Finder guides across topics including:
  • Personal finance
  • Personal insurance, including car, health, home, life, pet and travel insurance
  • Commercial business insurance

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