Insurance

[OGrid]

I was able to obtain an online quote today from a mainstream Australian insurance provider (AAMI. I picked a random major provider).

The quote is for Comprehensive Insurance, which in Australia covers your vehicle and other vehicle/s and property damage (it’s the top insurance cover). It was nice to see AAMI online asked all the right questions (I.e. Diesel or petrol, wagon, etc) which indicated to me that Ineos in Australia has been busy (the removal of Luxury Car Tax did indicate that). I was pleasantly surprised at the yearly insurance premium I was quoted for my circumstances.

$982/year ($AUD. Inc GST)

Comprehensive Insurance (Sydney, NSW)
Excess of $2820 (I selected this amount)
Cover Type = market value
Finance Utilised = Yes

With no Finance component = $825/yr ($AUD. Inc GST)

OG

(note: Updated original post to reflect with or without a finance component)

 

[DCPU]

But how does the premium compare to a comparable vehicle?

 

[OGrid]

But how does the premium compare to a comparable vehicle?

Land Rover Defender (MY2022, base spec) = $953/yr ($AUD. Inc GST).

Comprehensive Insurance (Sydney, NSW)
Excess of $2245 (online would not allow an excess of $2820, as I’d selected for the IG)
Cover Type = market value
Finance Utilised = Yes

With no Finance component = $800/yr ($AUD. Inc GST)

OG

 

[DCPU]

So the new Defender was slightly cheaper with a smaller excess. That's useful to know.

Is "finance utilised" just monthly payments rather than an annual single payment?

 

[OGrid]

So the new Defender was slightly cheaper with a smaller excess. That's useful to know.

Is "finance utilised" just monthly payments rather than an annual single payment?

If the vehicle has a whole or partial financing from a 3rd party then financing is being utilised in the purchase of the vehicle. I’ve personally never understood why this impacts vehicle insurance premiums in Australia as much as it does.

Repayment schedule of a financing component, monthly or annual, does not relate to the insurance premium that will be quoted. Just that one has financing is the ‘yes/no’ that impacts the quote.

One a side note: if one pays off the financing component on a vehicle, and the vehicle is being retained, always let the insurance company know there is no more financing on the vehicle, so they can reduce the vehicle insurance premium they are charging.

(Australian observations)

OG

 

[DCPU]

Thanks ~ interesting.

I wonder if it's more expensive because you have a 3rd party in the agreement who may have rights they can exercise?

Also, the cynical side of me thinks, the finance company will be able to drive a harder bargain over the value of a written off vehicle than an individual has the chance of?

 

[Davman]

Unfortunately I think we are going to pay for the fact that the whole INEOS eco system is an unknown quantity when it comes to insurers. They will be building a considerable margin into their policies as they are unaware of parts supply, driver risk, replacement vehicle availability etc etc.

As an example I did an online comparison with AAMI based on my circumstances, and compared it with a new Toyota Landcruiser 300 VX model.
Landcruiser Value $113,990
$1200 Excess (Lowest excess I could of opted for was $650)
$791 Annual Premium

Grenadier Trailmaster Value $96,495
$1225 Excess (Which was the lowest excess available to choose from)
$1166 Annual Premium

So whilst insurance will be available, the Grenadier is not going to be a low risk vehicle in insurers minds.
That being said, $1166 is still quite affordable.

 

[DaveB]

APIA - Australian Pensioners Insurance Agency
Insured Value $121,000
Excess $600
Cost $135.99 per month
Premium cover - 1 windscreen with no excess, hire car unlimited, new car replacement if write-off up to two years old

 

[OGrid]

APIA - Australian Pensioners Insurance Agency
Insured Value $121,000
Excess $600
Cost $135.99 per month
Premium cover - 1 windscreen with no excess, hire car unlimited, new car replacement if write-off up to two years old

“New car replacement if write-off up to two years old” - nice clause that one

 

[DaveB]

“New car replacement if write-off up to two years old” - nice clause that one

Yes, I got caught a long time ago with a car write-off and the insurance company valuation for payout on a 15 month old car meant I was 30% below what a replacement costs. I also always go for the replacement windscreen option because they are getting damned expensive these days. Many are dealer fit only and over $2,000. Same with the hire car option. I need a car for work. I claim the insurance on tax anyway so not overly bothered about the price

 

[Davman]

So I decided to ring my insurer Shannons today and get a quote for my car.
Here is my policy.
Trialmaster - Covered for $110k
Minimum Excess $1100 (Higher than my standard $650 excess on other cars, which is due to the value of the car apparently)
Costs - $1100 per annum.
Inclusions - Windscreen Cover, 2yrs new for old, choice of repairer, full hire car cover, daily driver, 24hr roadside assistance.


Only listed drivers covered, must be kept in a carport/garage/shed
I receive a multi car discount as I have other cars on the policy.
I live in a rural area.

I am pretty happy with that I think.

Interesting though. They mentioned that roadside assistance only covers vehicles up to 3500kg GVM in case of towing required. Probably best to not tell the tow truck driver anything about the 3550kg GVM then.

 

[DCPU]

Unfortunately I think we are going to pay for the fact that the whole INEOS eco system is an unknown quantity when it comes to insurers. They will be building a considerable margin into their policies as they are unaware of parts supply, driver risk, replacement vehicle availability etc etc.

I'm not quite sure of what Ineos can do, but I'm hoping that they are engaging with the insurance market to remove as much uncertainty as possible.

There's also the larger Ineos organisation, given the nature of some of it's activities, there must be a wealth of insurance expertise to call upon. In the past, I think they have even underwritten/self insured.

 

[PBD]

Hi all, with contracts in the near future ( hopefully), then being locked in after signing or loose £2500 if cancelled, I investigated uk insurance solutions.
Bad news the Grenadier is still not shown on insurers database, good news specialist insurers will quote for it. So age 68, perfect driving licence and history, maximum no claims discount, same fully comp policy details as my Landmark Discover 4, value only difference, £65 K for the Grenadier Trialmaster.
NOW the really bad news £1765.71, FFS! 4 times the cost of present policy
I for one will not be signing any contract until this is sorted out!

 

[J8hn]

Hi all, with contracts in the near future ( hopefully), then being locked in after signing or loose £2500 if cancelled, I investigated uk insurance solutions.
Bad news the Grenadier is still not shown on insurers database, good news specialist insurers will quote for it. So age 68, perfect driving licence and history, maximum no claims discount, same fully comp policy details as my Landmark Discover 4, value only difference, £65 K for the Grenadier Trialmaster.
NOW the really bad news £1765.71, FFS! 4 times the cost of present policy
I for one will not be signing any contract until this is sorted out!

Ouch!

 

[DCPU]

4 times the cost of present policy
I for one will not be signing any contract until this is sorted out!

What's the comparison quote against a new Defender 110. 3 litre engine, spec'd to equivalent cost?

I think that would be a better benchmark than your old Discovery.

 

[PBD]

Don't know about that, when I get a chance I will go on one of the comparison sites see if I can get one. They usually want a reg number though.

 

[ECrider]

Hi all, with contracts in the near future ( hopefully), then being locked in after signing or loose £2500 if cancelled, I investigated uk insurance solutions.
Bad news the Grenadier is still not shown on insurers database, good news specialist insurers will quote for it. So age 68, perfect driving licence and history, maximum no claims discount, same fully comp policy details as my Landmark Discover 4, value only difference, £65 K for the Grenadier Trialmaster.
NOW the really bad news £1765.71, FFS! 4 times the cost of present policy
I for one will not be signing any contract until this is sorted out!

I'll sign it as soon as it comes and sleep in the damned thing if needs be.

Presume will settle down in due course.

Ineos need to submit whatever they need to and lobby the insurers to register on UK database. Think someone for a decent quote down in Oz

 

[DaveB]

I just received this quote for a standard Fieldmaster Which is equivalent to
USD$625.53
EUR633.74
GBP 554.19
Doesn't include all my accessories so I imagine it will go up by a couple of hundred$

 

[DaveB]

Just added all accessories up to AUD$121,000

 

[DaveB]

What's the comparison quote against a new Defender 110. 3 litre engine, spec'd to equivalent cost?

I think that would be a better benchmark than your old Discovery.