COVID-19 update: We're open and here to help. We're a little busier than usual and appreciate your patience.

Covid-19 FAQs | Get in Touch | Manage policy online | Claim online

How to save on your insurance

If you’re choosing insurance purely based on price, then it may pay to think again. While cost is often a motivating factor when considering home, contents and car insurance, cheapest isn’t always best for your circumstances. But don’t despair! There are a number of ways you can reduce your insurance premium without compromising the type of cover you have.

  1. Choose a higher voluntary excess 

    One option is for you to voluntarily choose a higher excess. An excess is the amount you must pay towards a claim each time an event happens which is covered by your policy. There are different excess options available depending on what you think is manageable for your budget. Generally, the higher the excess, the lower the premium. Before deciding on a higher excess, it’s important to make sure you can afford to pay for any smaller accidents that may cost less than your excess, such as a small carpet stain in your home, or a broken phone screen.

  2. Choose the right car insurance policy for your circumstances

    Many insurers have different levels of cover available to choose from. At AA Insurance, we have different levels of cover to suit your car and contents needs. If you’re looking to save money on your insurance costs, you might be considering a lower level of cover. For example, if your car isn’t worth much, then Third Party Car Insurance may suit you as it’s our cheapest vehicle policy. Under this policy you will be covered for the damage you cause to another car or property in an accident, but it is important to note there is no cover for damage caused to your car. If you’d like additional cover in case your car is damaged by fire or stolen, Third Party, Fire and Theft could be a good option for you and provides this extra protection. Although our third party policies do not cover your vehicle in an accident, there is a standard benefit on our policies that applies in some circumstances called ‘Accidents with an uninsured third party’. This benefit provides cover up to $4,000 in an accident that has been caused by an uninsured third party. For this benefit to apply, the uninsured third party must admit fault, you must be able to provide their correct name, registration and contact details and we must agree that the driver of your car was not at fault. If you’re looking for a more cost-effective option for your contents insurance, Limited Contents provides our new-for-old cover if you need cover for the bigger events like burglary, fire, storm, flood and natural disaster. There are also options to cover accidental loss, accidental damage and theft for your mobile phone and/or laptop and tablets. Check out our contents insurance comparison page if you’re interested in finding cover type which one is best for you.

  3. Review and exclude the policy benefits you don’t need

    Review the list of benefits that come with your policy and exclude benefits you don’t think you’ll need, or you’re happy to cover out of your own pocket. For example, if you’re an AA Insurance customer you may decide to exclude optional benefits like the Excess-Free Glass Cover options for both Home and Comprehensive Car policies, or or $100 Excess on Eyewear cover for your Contents policy, in exchange for a lower premium.

  4. Secure your property from theft

    Another way to save is to make your property more secure from theft. For your contents, a security alarm, whether audible or monitored, will help you save on your premium. Did you know the type of car you drive and the place you reside can be factors that affect how your premium is calculated? Our claims data tells us how often each vehicle type is involved in a claim, and how much that claim costs. Our claims data also tells us that some regions and suburbs are more susceptible to burglaries than others. So, if you’re in the market for a new car or home, then a quick online insurance calculation before you sign on the dotted line could help save you hundreds of dollars in premium.

  5. Check you’re receiving the discounts you’re entitled to

    Check that you are receiving any package discounts that your insurer offers. If you have your house, contents and car with three different insurers, chances are you aren’t making the most of your insurance dollar. However, the more insurance policies you have with one insurer, the more discounts you may be able to accumulate, such as AA Insurance’s Multi Policy Discount for customers who have more than one eligible policies, as well as discounts for personal AA Members. See our Discount Terms and Conditions for more on what you need to do to receive these discounts with AA Insurance.

    Having one insurer can also help you save when it comes to paying your excess if you need to make several claims for the one accident. For example, let’s say you’ve accidentally backed your car into your garage door and caused extensive damage to both. If you have two different insurers, you’ll need to pay an excess for each claim. However, if you have both policies with AA Insurance you’ll only need to pay one excess for both claims – the higher of the two.

Any questions?

Now’s a great time to review your insurance. We recommend checking your details are up to date and ensuring the policy and cover you’ve chosen is right for you and your insurance needs.

If you have any questions about your insurance, need to update your AA Insurance policies or would like a quote, don’t hesitate to contact us. We’re open from 8am to 8pm weekdays and from 8am to 6pm weekends and public holidays.

Have a question for us?

Find out why we‘re consistently awarded best insurer and most satisfied customers:

Make an online enquiry

Call us on 0800 500 231

8am-8pm Monday to Friday.  8am-6pm weekends & holidays