Car collisions cost Aussies $6.5 billion in repairs over the last year

People organise car insurance after a road collision.

New research has found the average Australian driver faces a repair bill of $1,524 if their car is damaged in a road collision.

The May survey of more than 1,000 drivers was commissioned by dash cam manufacturer Nextbase and, when the responses were extrapolated across the national Aussie driver base, it found mechanic fees amounted to a total of $6.5 billion over the last year.

Notably, it found young drivers aged 18-24 reported the most minor collisions (15% of respondents) while motorists aged between 25 and 34 spent the most on repairs after a car crash.

When asked if they’d consider installing a dash cam if it meant their insurance company would offer a $100 discount on their annual car insurance premium, 40% said yes. This figure rose as higher discounts were suggested.

Nextbase managing director Richard Browning said dash cams can help “make all road users accountable for their actions and lead to a safer environment, with 26% of [survey respondents] saying they may change their driving behaviour when they know a dash cam is recording their driving.”

But if your provider doesn’t offer this kind of rebate, there are other discounts to consider when comparing car insurance policies.

Other ways to reduce car insurance costs

  • Online discounts: Simply by applying for your policy online (instead of over the phone or in person) you’ll often receive a discount between 5% and 20% on your first annual premium. Just remember, this is usually for new customers and doesn’t carry over at renewal time.
  • No claims and loyalty bonuses: Many providers will offer discounts when you stick with your policy for a certain timeframe, and this may increase as the years roll on. Similarly, if you don’t make any claims on your insurance for a set number of years, you’ll often be offered a steadily increasing no claims discount. This can be reduced or cut if you do make a claim (although some providers allow a set number of not-at-fault claims), but you can usually rebuild your no claims bonus over time. 
  • Multi-car and multi-policy discounts: If you live in a household with multiple cars, some insurance companies will offer you a discount for insuring them all under the one name, even if they’re owned and driven by different people. In the same vein, if you take out home and contents insurance with the same company as your car insurance, you may get a multi-policy discount.
  • Pay-per-kilometre plans: Pay-as-you-drive car insurance might suit you if you don’t drive very often. These policies generally offer a discounted premium for driving under a set kilometre range within a policy period, often between 15,000km and 20,000km. The catch is, if your odometer ticks over this number, you might have to pay a fee to bump up the range or risk a claim not being accepted if the incident occurred when you were over the allotted distance.

If you want to find more details on these and other ways to cut car insurance costs, read Mozo’s complete guide to car insurance discounts.

Compare car insurance features & discounts - rates updated daily

Search promoted car insurance below. Advertiser disclosure. Important information on terms, conditions and sub-limits.
  • Gold Comprehensive Car Insurance

    Monthly premiums
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    Yes Costs Extra
    Choice of repairer
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    Optional Extra
    Choice of excess
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    $500 - $1,850
    Agreed or market value
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    Agreed Or Market

    Available discounts

    • Online Discount Up To 15%
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  • Comprehensive Car Insurance

    Monthly premiums
    Calendar icon
    Yes
    Choice of repairer
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    No
    Choice of excess
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    $500 - $5,000
    Agreed or market value
    Car coin icon
    Agreed Or Market

    Available discounts

    • Pay As You Drive Cover With Pricing Tiers Available For Limited Kms.
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  • Comprehensive Car Insurance

    Monthly premiums
    Calendar icon
    Yes Costs Extra
    Choice of repairer
    tools icon
    Optional Extra
    Choice of excess
    coins icon
    $400 - $1,850 (varies By State)
    Agreed or market value
    Car coin icon
    Agreed Or Market

    Available discounts

    • No Claim Discount
    Go to site
    Details
  • Comprehensive Car Insurance

    Monthly premiums
    Calendar icon
    Yes Costs Extra
    Choice of repairer
    tools icon
    No
    Choice of excess
    coins icon
    $800 - $2,000
    Agreed or market value
    Car coin icon
    Agreed

    Available discounts

    • No Claim Discount
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    Details
  • Comprehensive Car Insurance

    Monthly premiums
    Calendar icon
    Yes Costs Extra
    Choice of repairer
    tools icon
    Optional Extra
    Choice of excess
    coins icon
    $400 - $2,200
    Agreed or market value
    Car coin icon
    Agreed Or Market

    Available discounts

    • Online Discount $75
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    Details

*Terms, conditions, exclusions, limits and sub-limits may apply to any of the insurance products shown on the Mozo website. These terms, conditions, exclusions, limits and sub-limits could affect the level of benefits and cover available under any of the insurance products shown on the Mozo website. Please refer to the relevant Product Disclosure Statement and the Target Market Determination on the provider's website for further information before making any decisions about an insurance product.

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