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Motor burnout insurance

Motor burnout insurance can help when appliances go kaput. Add cover, for less than $2 a week.*

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Motor burnout insurance covers the cost of repair or replacement when the motor in an electric appliance suddenly dies. Usually, this happens as a result of a power surge or excessive current, such as a lightning strike. It's also known as fusion damage.

Sometimes, motor burnout insurance is included as standard in home and contents insurance policies but, more often, it's offered as an optional add-on.

Compare brands with motor burnout cover

Name Product Electrical Motor Burnout Fire, storm, & theft damage Rebuilding & Repairs to your Home Accidental Damage to Home or Belongings Sum Insured Safeguard
Budget Direct Home & Contents Insurance
Optional
Optional
Optional
Save 30% on your first year's premium when you purchase a new combined Home & Contents insurance policy online. T&Cs apply.
Youi Building and Contents Insurance
Optional
Youi Home Insurance takes the time to tailor a premium for you.
Virgin Home and Contents Insurance
Optional
Optional
Optional
Grab a $100 e-Gift card when you purchase a new eligible Virgin Home and Contents Insurance policy by 30 November 2020. Purchase online and you'll save 30% on your first year’s premium. T&Cs Apply.
Woolworths Comprehensive Building and Contents
Optional - $2,000
Save up to 20% when you purchase a combined Woolworths Home and Contents policy online.
Westpac Home and Contents Insurance
Save up to 25% when you purchase cover online.
St. George Home and Contents
Save up to 25% when you purchase cover online.
Domain Home Buildings & Contents Insurance
Get 12% off your first year's premium when you purchase a new combined Home & Contents Insurance policy online. T&Cs apply.
ANZ Home & Contents Insurance
Optional
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Washing machine against wall

What is motor burnout insurance?

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.

How much does it cost?

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.*

CompanyPolicyYearly Cost
with motor burnoutw/o motor burnoutAnnual differenceApply?
Budget Direct LogoSmart Home & Contents$1,942$1,878$63Get quote
Virginmoney home insuranceHome & Contents$1,961.65$1,897$64Get quote
Real home insuranceEssential Cover$2,062$1,971$90More info
Home & Contents$2,984$2,910$74More info
Westpac logoQuality Care & Essential Care$2,540.66$2,168$372Get quote
St. George home insuranceQuality Care & Essential Care$2,540.66$2,168$372Get quote
Huddle LogoHome & Contentsn/a$2,425n/aMore info
Kogan home insuranceBasic Cover$2,062$1,971$90Get quote

Is motor burnout insurance worth it?

Imagine a lightning strike or power surge burns out the motors in your fridge, washing machine and dryer. 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.

What does motor burnout insurance cover?

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:

  • Fridges and freezers
  • Washing machines and dryers
  • Split-system air conditioners
  • Vacuum cleaners
  • Ceiling fans
  • Electric garage doors

The level of coverage will likely vary based on the age of the appliances. Older motors may cost more to insure than new appliances, 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.

What is motor fusion insurance?

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'.

What kinds of exclusions are there?

Some common exclusions for motor burnout coverage are appliances that are:

  • More than 15 years old
  • Covered by a guarantee or warranty
  • Normal wear and tear
  • Used for a business
  • Not kept at your insured address

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.


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