OK – so this is old news to pretty much everyone. We all know that if you are a dummy and just renew your insurance each year without shopping around then you will be paying a high price. But I had not realised how much.
My epiphany came at dinner last night. I got my comprehensive car insurance renewal from AAMI. It broke $900 on a private use car, rating one, no accidents for at least a decade and agreed value of $15,000. I thought this was a bit steep and the subject came up at dinner. When I realised my price was higher than that for a 20 year old female (one accident in last 2 years and car worth more than $15,000) I thought I had better shop around on the net.
First, let’s see what AAMI on the net quoted? Hmmm. Problem – they ask for enough information to work out that I am an existing customer so the internet quote came in at $1500 plus!
OK, let’s try some others? Basically around the $600-$700 range – which sounds a bit better. So I went with one of them.
In 15 minutes I saved over $300.
The broader lesson – the internet makes search much easier. It is a great tool for consumers. And bricks and mortar retailers generally – not just insurance companies – hate it because it increases competition. Have a great Christmas and shop around on the net in the New Year!