Insurance for a 4WD

Let’s start with the good news: most insurers offer Car Insurance that covers 4WDs. Some even offer special policies that are tailor-made for 4WDs. That being said, you can usually take out a standard policy and it will give you the same kind of cover that you’d get for any other car.

What kind of Car Insurance covers 4WDs?

Like any car, with a 4WD you’ll have your mandatory base-level insurance, then you’ll have your pick of three different types on top of that. Each type of insurance policy will also cover you for different things.

Compulsory Third Party (CTP) Insurance

CTP Insurance is the policy you’re required to hold. It will cover you if you end up injuring another person in a car accident, which could save you a bucket of cash in medical and legal costs. However, it won’t cover any repair costs – whether it’s for your car or the other person’s.

Third-Party Property

This one isn’t mandatory, but it’s definitely useful! Third-Party Property helps cover damage to other people’s property, so if you get into a bingle with another car (and you’re the one at fault), then this cover can help pay for the repairs. However, it only pays for the other person’s property. It won’t cover any of the repair costs for your 4WD.

Third-Party Fire and Theft

Third-Party Fire and Theft will give you the same cover as Third-Party Property, as well as cover for your 4WD if it’s stolen or damaged by fire. Still, it won’t cover your car for repairs if you get into a collision.

Comprehensive Insurance

Now we come to the cream of the crop. Comprehensive Insurance covers everything mentioned above, but can also help cover the cost of repairs to your own car if you get into an accident in your 4WD, whether you’re the one at fault or not. Plus, you’ll often get cover for hail and storm damage. You can also choose to include optional extras like a hire car or roadside assistance.

Will 4WD Insurance cover beach or off-road driving?

Some insurers offer Comprehensive Car Insurance Policies that cover 4WDs for off-road and beach driving. However, they might require that reasonable precautions are taken to prevent damage, and that the 4WD isn’t used for racing, tests, trials, rallies or contests.

However, this also depends on the terms of your policy. Insurers differ when it comes to what kind of things they’re willing to cover. You’ll always want to start with the Product Disclosure Statement (PDS) for your policy – read it carefully and check if any exclusions on off-road driving might apply.

Are 4WDs always more expensive to insure?

Some 4WDs can definitely cost a small fortune to insure – but this doesn’t apply to every 4WD. In fact, when it comes to price, there’s a simple factor that’s probably more important than whether or not the car is a 4WD: how expensive the car is. A car with parts that are cheaper to repair or replace will usually cost less to insure. For instance, sports cars with expensive, high-performance parts may cost more to insure than a 4WD with cheaper parts.

Of course, when it comes to 4WDs, there are often also modifications to consider. You might think mods will make your 4WD more expensive to insure, and that’s often true – if mods increase the overall value of your car, that can carry through to your premiums.

What else affects the premium for my 4WD?

There’s a number of other things that can affect how much you’ll pay for your Car Insurance. If you’re after a cheaper premium, a few small tweaks might end up saving you a decent amount of cash:

• Excess: An excess is how much you pay out-of-pocket when you make a claim on your insurance. If you volunteer to pay a higher excess, this will usually result in lower premiums.
• Parking: Keeping your 4WD in a garage or carport overnight protects it against thieves and vandals. As an added bonus, it can also reduce your premiums.
• Age restrictions: Some insurers will let you place a restriction on your insurance where no-one below a certain age can drive your car. These restrictions often provide a discount to how much you pay.

Just remember that different insurers have different ways of calculating premiums. Some will even offer policies where the premiums are based on how many kilometres you drive each year. So have a look at what kind of policies are out there and compare the various benefits and premiums.

What else should I consider when selecting a policy?

A low premium isn’t the be-all and end-all when it comes to Car Insurance. Okay, it’s pretty darn important, but it isn’t the only thing that’s worth your attention. You’ll also want to make sure that you’ve got the right amount of cover. For this reason, it might be a good idea for 4WD owners to consider the following:

• Has the vehicle been modified?

From special tyres to suspension upgrades, you’ll need to declare all of the modifications to your 4WD. Keep in mind that certain modifications – such as lowered suspension – may make the car ineligible for cover with certain insurers.

• Is the windscreen covered?

Some Comprehensive Policies will help cover the costs of repairing your windscreen. While this may require you to pay an excess, some insurers allow you to select a reduced excess for window glass claims (at an additional cost).

• Do I want agreed or market value?

Many Comprehensive Policies offer a choice between Agreed and Market Value cover. This will decide what you get if your car is stolen or written off. An Agreed Value Policy will pay out a fixed sum, while a Market Value Policy is based on how much your car is worth at the time of the accident.

Again, a lot of this information will be covered in the Product Disclosure Statement (PDS) for your Car Insurance Policy. It should note the kinds of modifications that won’t be covered and all the optional extras that you can get.

How do I compare Car Insurance for my 4WD?

As luck would have it, iSelect can help you find a policy for your 4WD. Compare with us online or give us a call on 13 19 20 and you’ll get your pick of policies from a range of providers. Just provide the details of your 4WD and we’ll give you a list of insurers who can get you covered. It’s that easy.