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Before switching companies, you may need to do a little research, and while it doesn’t sound like the most exciting way to spend your time, help is out there! Here’s some things you may want to consider.
First, let’s talk about why you might want to switch insurers. There could be a ton of different reasons why you might feel the need to switch insurers, for instance:
A policy comparison tool such as iSelect, can help make it easy to check out what kinds of Car Insurance options are available. This can save you from sifting through numerous insurance providers websites and will give you an overview of our range of plans and providers*. Time is precious, so let someone else do the heavy lifting!
Most of the time, making the switch is a pretty straightforward process (no, really!). However, it’s a decision that requires a bit of thought —after all, you don’t want to end up with a new policy that’s even worse value than your old one.
You’ll also want the transition between insurers to go smoothly. Fortunately, we’ve outlined a few steps below to make the process as easy as possible.
Before jumping the gun and switching to the first provider you come across, you might want to consider all your options. Here’s a few tips that can help you find your perfect match:
All of these little hacks can help you find a policy that offers the benefits you need and hopefully throw in some discounts you weren’t getting from your old insurer.
You probably don’t want a gap in your cover when you make the switch. Murphy’s Law means this is when you’d have an accident! That's why it’s important to make sure your new policy comes into play as soon as your old policy ends. Heck, even some overlap might be better than driving uninsured!
The good news is that it isn’t too hard to avoid a gap in your cover. For example, if your current policy expires on June 30 at midnight, you’ll want to activate your new policy on or before that date. Otherwise, you could find yourself in an insurance black hole, leaving you financially vulnerable if something goes wrong. Plus, you might need insurance for things like purchase contracts, which often require proof of coverage.
Okay, so after you’ve spoken to your old insurer and worked out a tentative date to shut down your policy, it’s time to contact your new insurer and get the cover you want.
This process will be pretty similar to what you went through the first time you applied for car insurance. The insurer will need your personal information and a bunch of details about your car, including the model, registration number and when it was manufactured.
If you’re gunning for a no-claim discount, you’ll usually need to supply some proof of your driver rating. This could be something like a renewal notice from your previous insurer. Most insurers will also let you choose the day your new policy begins, so you may want to consider co-ordinating this date with the end of your old policy.
Alrighty then! It looks like we’ve got an old policy to get rid of before wrapping everything up. Give your soon-to-be ex-insurer a call and get ready to say goodbye.
First off, you’ll want to see if you can get a pro-rata refund for the remaining days you have left on your paid premium. If you’re still in your insurer’s cooling-off period and haven’t made any claims, you might also be eligible for a full refund.
Secondly, you’ll want to ask what your old insurer needs from you to cancel the policy. You might need to confirm your intentions in writing and jot down the date you want your policy to end. You might also need to complete a policy cancellation form.
Just to make sure your insurer does their part too, you may consider asking for written proof of cancellation for your records. After all, it never hurts to have a paper trail!
So hopefully you know a little bit more about how to go about switching car insurance providers. But maybe still like a little extra help? Well, iSelect’s got you covered.
You can compare a range of policies* with us online and get an overview of the different benefits, prices and cover levels on offer. It’s easy, it’s simple and it can take a lot of legwork out of comparing policies. Feel free to use it and see if you can find a great deal!
1 Budget Direct - FAQs about Paying for Car Insurance
2 Budget Direct - Car Insurance
3 Virgin Money - Premium, Excess & Discount Guide (pages 3-4)
4 Budget Direct - How to Switch Car Insurance Providers
5 Pd.com.au - Comprehensive Car Insurance
6 Stella - Comprehensive Car Insurance | Product Disclosure Statement (Page 15)
7 Everyday Insurance from Woolworths – Everyday Drive Less Pay Less