Motor burnout insurance pays out when the motor in an electrical appliance suddenly dies. This is usually due to a power surge or excessive current, such as a lightning strike.
It's usually fairly inexpensive to add motor burnout insurance to a policy, but there are some key exclusions to be aware of.
The cost of motor burnout insurance varies depending on the value of appliances within your home, among other things like if you're the homeowner, a renter or even the landlord. To give you an idea on costs, we gathered quotes from a few different companies for a home and contents policy for a homeowner.
Our research shows that you could add cover to your home and contents policy for less than $100 a year.*
| Brand | Policy | with motor burnout | w/o motor burnout | Annual difference | Apply? |
|---|---|---|---|---|---|
 | Smart Home & Contents | $2,223.64 | $2,159.01 | $64.63 | Get quote |
 | Home & Contents Insurance | $2,524.62 | $2,451. 23 | $73.39 | Get quote |
 | Top Home & Contents | $2,307.16 | $2,216.25 | $90.91 | More info |
 | Premier Care | $3,431.30 | n/a | n/a | More info |
 | Home & Contents | $2,245.88 | $2,180.60 | 65.28 | More info |
 | Premier Care | $3,431.30 | n/a | n/a | More info |
 | Home & Contents | $3,134.45 | $3,056.43 | $78.02 | More info |
 | Top Home & Contents | $2,467.63 | $2,376.72 | $90.91 | Get quote |
Imagine a lightning strike or power surge burns out the motors in your fridge, washing machine and dryer. You could also have a motor in an electric gate or garage doors. That could easily cost hundreds of dollars, or more, for replacement or repair.
However, in many cases, you can add motor burnout insurance to your home and contents policy for less than $100 a year. If you have lots of appliances in your home, or you live in an area prone to lightning strikes and power surges, it's well worth considering cover.
Some motor burnout policies also include coverage for spoiled goods. So if the motor in your fridge freezer burns out, you'll be covered for the value of lost food inside. For bigger families and anyone who likes to stock up, that could be worth hundreds of dollars.
Of course, if you have adequate surge protection, then motor burnout insurance might be low on your list of insurance requirements. Older appliances are often excluded from cover too, so check the product disclosure statement (PDS) carefully to see what the age limits are.
You can find cover in both home and contents insurance and contents only policies.
Motor burnout insurance covers the cost of repair or replacement if the electrical motor burns out in one of your appliances.
Types of appliances covered by this insurance include:
The level of coverage will likely vary based on the age of the appliances. Older motors may cost more to insure than new appliances do; they also may receive a smaller benefit or may be excluded from coverage altogether.
Some policies can also include a food spoilage clause, so if the motor in your fridge freezer burns out, you'll be covered for the cost of the food inside.
Is it the same thing as motor burnout insurance?
Pretty much. In fact, we checked a few policies and found that most insurers refer to it as 'motor burnout' instead of 'motor fusion'.
Some common exclusions for motor burnout coverage are appliances that are:
Each insurance type has a product disclosure statement (PDS) which you are encouraged to read to understand everything you are covered for and what you can claim.
Honey home insurance offers mid-priced coverage at a good range of benefits. It also gives smart sensors to customers, to help minimise risk.
Knowing the difference between fixtures and fittings can help you decide which home insurance policy is right for you.
Want to protect important items like your phone and laptop but reluctant to fork out on contents insurance? Single item insurance might be for you.
Camera insurance is a must-have if you carry a lot of expensive gear. Find out how to get cover through either contents insurance or speciality camera insurance.
Will home insurance cover foundation repair? Find out here.
Disaster season: what to watch out for and how to get through it.
Termite damage is not typically covered by home insurance.
Discover what impacts the cost of home insurance and how to get the right protection with this handy guide.
Learn about the unique risks that Western Australia faces and how to get home insurance that is right for your circumstances.
Learn key steps to make a successful home insurance claim.