Possibly Can Save Money with Low-Kilometer Car Insurance via Kogan / Real Insurance

wei13 on 28/04/2020 - 13:16
Last edited 11/05/2020 - 14:00 by 1 other user

For those like me whose vehicle usage has decreased significantly due to the shutdown, you may be able to save some money with low-kilometer car insurance.

I recently changed to Kogan pay-as-you-drive insurance (by Hollard, who also underwrites Real insurance). It's comprehensive insurance, except you limit the number of kilometers you intend to travel, in my case 5000kms. For me, by changing our two vehicles, I was able to save $400, get extra kogan credit, have higher cover and lower my excess.

Please check the cancellation costs of your existing insurance before switching. Also will need to provided ODO reading at signup. I also noted sometimes reducing the excess didn't always increase the premium. Prices seem to be the same whether through Kogan or Real, but Kogan offers $50 bonus kogan credit.

Not affiliated, just thought might help someone.
Also maybe someone can comment on the reputation of Kogan / Hollard.

Related Stores

Kogan Insurance

• 

  Bargain80 on 28/04/2020 - 13:21

  +1

  many other insurances now also price differently according to estimate KM you drive every year

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  bobbified on 28/04/2020 - 13:51

  -2

  I was able to save $400, get extra kogan credit, have higher cover and lower my excess.

  You'll find out how much you've really "saved" when it comes time to lodge a claim.

  It wouldn't surprise me if they had a clause in there that voided the entire policy if you go 1km over the km limit you specify.

  • 

    cloudy on 28/04/2020 - 14:11

    Just notify them if you are over or close to going over.

    You can’t expect to pay for 5km cover and then complain when you’re at 6km

    • 

      bobbified on 28/04/2020 - 15:44

      LOL - you've totally missed the point!

      • 

        cloudy on 28/04/2020 - 16:09

        -1

        Nar, just ignored it coz you have no idea how Hollard writes their insurance, plus you probably have no idea how many other retailers who are selling Hollard insurance, you might even be a customer but you don’t know it.

        I say that coz any interactions with your insurance will be with someone from Holland who begins the phone call with welcome to Kogan insurance

        • 

          bobbified on 28/04/2020 - 16:33

          +1

          @cloudy: Being "underwritten" by a large company doesn't mean you'll get the same service as you would dealing with that large company directly.

          Kogan and Holland will have different terms and conditions in their respective PDS'. They would be different products with different benefits and exclusions.

          You're dreaming if you think you're going to get exactly the same policy for a significantly cheaper price. Kogan has to make money too, so something's got to give.

          All insurers are the same when you pay your premium. What matters is how they deal with you when it comes time to making a claim.

          Based on the number of horror stories (even in this forum) from people who deal with Kogan, I can't imagine their claims service would provide a much different experience.

          • 

            cloudy on 28/04/2020 - 20:41

            @bobbified:

            You're dreaming if you think you're going to get exactly the same policy for a significantly cheaper price. Kogan has to make money too, so something's got to give.

            Did you read what I said, if you clam up Kogan insurance to make a claim you will be met with a Hollard (not holland) rep. Your claims are 100% false.

            Yes Kogan makes money selling the insurance, the reason being Hollard is a global underwriter. The cost in investing directly in their own brands is more expensive than the cheaper customer acquisition costs of established brands like Australia post woolies and Kogan.

            If you think Kogan Australia post and woolies have their own staff trained in taking claims calls you are the one who is dreaming.

            Don’t believe me? Buy insurance under any of those brands, it’s free coz you have 10 days cooling off period. Call up the claims line and speak to a operator and press them on who they really work for and you will find Australia post/woolies/Kogan has no insurance claims experts.

            • 

              bobbified on 28/04/2020 - 21:01

              @cloudy:

              …to make a claim you will be met with a Hollard (not holland) rep

              Being met with the same rep means absolutely nothing. In my office, we have one call centre that takes calls from stacks of corporate clients. But depending on which client it is, the reps pull up different reference documents. Why? Because all the products are different.

              And also, just because two companies share the same call centre, it doesn't mean they get the full functionality and capacity of that call centre. Companies can choose specific functionality to be available to their customers, but they have to pay for it. They can also go budget and some functionality won't be available to their customers.

              Shannons, AAMI, Bingle and a few other brands operate under the Suncorp umbrella. Each brand offers its own unique suite of products aimed at their target market so they will not be the same. One insurer might be happy okay to accept a claim that's one day late while their budget arm will tell you to get lost.

              Don’t believe me?

              I don't.. because I myself worked in car insurance claims for a number of years… and you don't seem to understand what happens beneath the surface of it all.

              • 

                cloudy on 28/04/2020 - 23:21

                @bobbified:

                Shannons, AAMI, Bingle and a few other brands operate under the Suncorp umbrella. Each brand offers its own unique suite of products aimed at their target market so they will not be the same.

                That's the point of multi branding, to capture different market segments.

                The point of Hollard reselling to different retailers is called white labelling. It's setting up a product, with no branding, and letting whomever wants to slap their name to the product use the same product. It makes no effort to write 10 different PDS's or 10 scripts or website designs.

                If you look at AAMI/Bingle etc, its all a different look and feel and as you say different product.

                But with Hollard, it's all the same. They just use AP/ wow/ Kogan for CA on a commission basis.

                You don't seem to understand corporate strategy

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  AnneThrope on 28/04/2020 - 15:26

  Good in theory and quoted premium is about 25% less than my current insurer but the maximum selectable 'market value' is substantially lower than redbook or anything similar currently on carsales - and less than half QBE agreed value.

  Not worth saving under $100 vs the risk of a payout being thousands short of the cost of a similar replacement vehicle.

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  Cluster on 28/04/2020 - 16:00

  A significant risk with low distance insurance is the lockdown finishes and you start driving more while forgetting to change insurance companies. Get into an accident later and oh, you've breached the contract. It may be buried on paragraph 9 of page 87 in the T&Cs that your insurance is void.

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  Samsungnote10 on 28/04/2020 - 20:22

  F me!

  I pay $1200 via youi for full coverage for my car

  Kogan was $3595 for 5000km or less

  Thanks ruslan