Car Insurance Glossary of Terms

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  • Agreed Value

    With our comprehensive policies you can choose whether to insure your car for an Agreed Value or the Market Value. The Agreed Value is the amount we agree to insure your vehicle for during each term of insurance and the Market Value is the cost to replace the car with one of the same at the time of claim.

    A Market Value policy is generally the less expensive option when it comes to your insurance premiums.

  • Anti-Theft Device

    A safety feature fitted to your car to prevent theft, such as alarms, immobilisers, keyless entry systems or motion detectors. Adding an anti-theft device may lower your premiums for our comprehensive insurance policies.

  • Car

    The car specified in this policy including the manufacturers standard accessories forming part of the car and any other accessories or modifications that we have agreed to cover.

  • Certificate of Insurance (also known as Policy Document)

    A document outlining the contract of insurance between you and your insurer, and identifying the policy number, commencement date, cover end date, insured vehicle, named drivers and schedule of benefits, including benefit limits.

  • Claim

    A request to receive a benefit under the terms of your insurance policy. You will need to notify us of the event which gives rise to your claim and supply supporting evidence such as repair quotations and police reports.

  • Claim Repairs

    Repairs made to your vehicle which are covered by your insurance claim. Depending on the type of insurance we may organise the repairs for you or provide you with a list of authorised repairers. We guarantee the quality of authorised repairs for as long as you have the vehicle.

  • Commencement Date

    The date when your cover first starts, as shown on your policy document.

  • Comprehensive Car Insurance

    Full-featured insurance that gives you protection for any damage to your car if you have an accident, as well as for the cost of any damage your car does to other people's property. Our comprehensive policies also protect you against fire or the theft of your vehicle.

  • Cooling Off Period

    The period of time from when you buy your policy during which you can cancel your policy and receive a full refund of any premiums you have paid. All of our car insurance policies have a 21 day cooling off period.

  • Cover

    The insurance cover applying to your vehicle as shown on your policy document.

  • Duty of Disclosure

    When you apply for car insurance you will need to supply information about your vehicle and your driving history. You have a duty to provide us with complete, honest answers. If you conceal or leave out important information we may cancel your policy and we may not pay any claim you make.

  • End Date

    The date upon which your policy terminates and benefits cease. The end date is shown on your policy document. If the policy is cancelled, either by you or by us, then the date of cancellation will be deemed to be the end date.

  • Excess

    The amount (if applicable) that will be deducted from each claim you make during the policy period. Check the Policy Disclosure Statement and your policy document for details of the excesses that apply to your policy.

  • Exclusion

    Circumstances in which you will not be covered under your insurance policy, for which you are not able to claim any benefit. For example, you will not be able to make a claim if your car is involved in an accident while an unauthorised person is driving it.

  • Fire and Theft Cover

    Protection against the cost of repairing or replacing your car if it catches fire or is stolen. Fire and theft cover is a built-in feature of our comprehensive car insurance policies. It is also available in our Third Party, Fire and Theft policy.

  • Hire Car Cover

    Reimbursement for the cost of hiring a replacement vehicle while your car is undergoing repairs, or while you are waiting for your insurance claim to be paid. This is a standard benefit of some types of car insurance and can be added as an optional extra to other policies. Check the PDS for details.

  • Household Member

    A person who normally resides with the regular driver.

  • Market Value

    The reasonable cost to replace your vehicle with one of the same make, model, age and condition as your vehicle at the time of the loss or damage. This does not include any allowance for warranty, stamp duty, transfer costs or dealer profit.

  • Modification

    Any alteration to your vehicle's standard engine, exhaust system, body, suspension, wheels or paintwork. You will not be covered for the additional value of any modifications which have been made to your car unless we have agreed to cover them in your insurance policy.

  • No Claim Discount (also known as No Claim Bonus)

    A discount on your car insurance premium. Your No Claims Discount is calculated based on your years of driving experience and your claims record. As you gain more years of claim-free driving experience you receive a greater discount on the full priced premium, until you reach the maximum discount (Rating 1).

  • No Claim Discount Protection

    An optional extra to some types of car insurance which allows you to protect your Rating 1 (maximum No Claims Discount). It allows you to have one car insurance claim per 12-month period, or up to 2 claims in 3 years, without affecting your rating.

  • No Fault Accident

    An accident where it can be determined that the driver of another vehicle was entirely at fault, and you tell us their full name, residential address and vehicle registration number.

  • PDS (Policy Disclosure Statement)

    Document setting out in detail the exact terms and conditions of an insurance product, including any exclusions. It is vital that you read and understand the PDS before taking out any form of insurance. You can download the Policy Disclosure Statements for all our car insurance products here.

  • Policy Document (also known as a Certificate of Insurance)

    A document outlining the contract of insurance between you and us, and identifying the policy number, commencement date, cover end date, insured vehicle, named drivers and schedule of benefits, including benefit limits.

  • Policy Period

    The time during which we provide cover, as specified in your policy document. The first policy period starts on the commencement date and ends on the end date.

  • Premium

    The amount you pay for your insurance cover. Depending on the type of cover you may be able to pay your premium monthly or annually. The cost of your premiums will depend on the type of insurance you take out, the age and value of your car and the age and driving history of everyone who drives it.

  • Rating 1

    The maximum level of No Claims Discount. A discount on your car insurance premium calculated based on your years of driving experience and your claims record. As you gain more years of claim-free driving experience you receive a greater discount on the full priced premium, until you reach Rating 1, the maximum discount.

  • Regular Driver

    The person who drives the car most frequently. The person you disclosed will be shown on your Policy Document.

  • Substitute Car

    A vehicle you have hired or borrowed because the car is being repaired, serviced or has had a mechanical breakdown, and is of a similar type as the insured car.

  • Third Party Car Insurance

    Affordable car insurance that protects you from your liability for any damage your car does to other people's property if you have an accident.

  • Write Off

    If your car is so badly damaged that the cost to salvage and repair it would be more than its market value, it may be written off. This means that if you have comprehensive or fire and theft cover we may choose to pay you the agreed or market value of your car rather than pay for repairs if you make a successful claim.

  • Windscreen Replacement

    Replacement of your windscreen following damage as a result of an accident or sudden impact (such as a stone hitting the screen). If you choose our comprehensive insurance cover you can opt to reduce the excess on windscreen replacement claims.

    Windscreen replacement claims do not usually affect your No Claim Discount.

1300 Insurance's car and home and contents insurance is offered by 1300 Insurance Pty Ltd (ACN 124 845 727; AR No 327609) as an Authorised Representative of Auto & General Services Pty Ltd (ABN 61 003 617 909; AFSL 241411). Auto & General Services arranges the insurance on behalf of the insurer, Auto & General Insurance Company Limited (ABN 42 111 586 353; AFSL 285571). Because we don't know your financial needs, we can't advise if this insurance will suit you. You should consider your needs and read the Product Disclosure Statement and Financial Services Guide before making a decision to buy insurance. Not available in NT.