I just put through my order for a model 3 and was wondering where the cheapest insurance is for NSW and can cover me under my parents name. I’ve checked around and it’ll be around 5K for my own name being 22.
Tesla Model 3 Performance Insurance
[Deactivated] on 08/05/2020 - 19:31
Last edited 11/05/2020 - 12:59 by 1 other user
Last edited 11/05/2020 - 12:59 by 1 other user
Comments
@[Deactivated]: you said "The deposit was $100k and the property value has not changed since purchase." - why would you lose 250k if you sold it if the property prices havent changed since purchase?
Yep you're going to need that insurance. In the UK, Tesla is in top 15 of cars in the past decade for unreliability mostly attributed to faulty electronics.
Does that cause crashes?
Teslas are statistically safer than regular cars by a large margin. They release a safety report each quarter, from the onboard data. I think autopilot is roughly 30% safer than a car not on autopilot on average (and yes there are exceptions, but stats don’t lie).
It can leave you stranded with no way to turn on your car.
Presumably faulty electronics wouldn't be covered by your car insurance?
So can a petrol car?
Link?
Well OBVIOUSLY you go to an insurance comparison site mate!
OMG I thought Ozbargainers were very INFORMED when it comes to getting the best prices
I know that a lot of the comments are bashing you about buying a Tesla, but Ubicar has from what I have found comparatively cheaper insurance than other big insurance companies because depending on how you drive they adjust your premium. I don't know how their repair policy is and how good they are in terms of paying out in the event of an accident, but unlike other providers they make you evaluate the car, as in how much you want to cover the car for in the event of an accident. From a rough estimate, and on a pay-per-kilometer plan you can get the cost to around 4.5k-5k per year with just yourself on it. Might be cheaper with a parent on it. The additional excess fee for being under 25 is also pretty good compared to others at 450.
Thank you for your suggestion. Have you had any claims made with them before? What was the experience compared to a major insurance company?
Nah sorry, I just switched to them recently, but I saw that for me I saved over $600 compared to Budget Direct and got excess free windshield replacement and hire car which I don't think I got with budget.
Suck it up. Don't cheap out on the insurance or you'll regret it when you need it.
Everyone with expensive cars when they were young paid the price for insurance.
As cool as it is, I wouldn't get that kind of car unless money was no object. Some people say rooftop solar isn't worth investing in, but it's the importance of promoting clean(er) energy even though it is perhaps not quite there yet, gives the government and the world and your friends the message that you do care. But in this case at age 22 personally I think it's a wrong move. Changing a headlight bulb is $500+ for starters. Plus really, you will get dents and scratches at your age. It is inevitable no matter how careful you are, and you will push the limits and get repair bills not covered under insurance which are as high as a romantic luxury weekend away… At your age is the time to buy cool cars, fun cars, why not consider a classic sports car,… Or if you want space try a 1960 Bentley S type…
Roof top solar is worth investing in with state grants and offset some of your own usage, shown over and over again.
These type of consumers will be the ones that help us to a v shape recovery.
not really. TSLA is wholely america owned. just helps the orange man out.
OP should just buy a Great Wall, help our new overlords.
TSLA is obviously not wholly American owned. It's a publicly listed company. Many people from all over the world own a chunk of it.
I m surprised nobody dig out his 2 months old post where he was not able to settle on a property because lack of cash…. and then he broke down a basic 2012 toyota corolla ?! Even if you skip all services and drive it like a rental all time, i m not sure it s possible…
Ahah, thx @porthos ! i scrolled too fast, i was shocked with so many people taking this post seriously
Why don’t you buy a more realistic car who’s insurance you can afford and forget about trying to impress a bunch of bankers.
Said it before and will say it again.
Bankers at CBA won’t, be impressed by a 22yo who lives at home, who hasn’t invested wisely, but brags about an $80k car their parents paid half of.
Take a walk in the GM parking at your local CBA building, you’ll see 70% of the cars are <$80k
Should of bought a nissan leaf
Have. If you don’t know the difference, you’re not in a place to give any advice.
And a Nissan Leaf is a rip off. They are $60k, don’t have good range or performance and have an air cooled battery which doesn’t charge quickly and is going to degrade very quickly. It’s a car for fools.
Managed to test drive a few. Biggest junk ever. More like a toy shop with flashing lights ensuring your range is short changed!
You're 22. You can have lots of fun now and enjoy to the fullest. I'll give you this to think about, so perhaps you can have much more fun fun in 10, 20, 30 years time than you thought was ever possible.
Looking at purchasing a 110K car - that's cool.
I don't know what cash you have available to purchase the car, but let's say you had to borrow 80k for the Tesla. Monthly repayment of 80k car loan over 60 months is $1,584/month at 6.99% - I just choose a number you can re-evaluate with a rate you'll be able to secure with your CBA contacts.
Now let's say you bought a 30k instead (a 'boring' and reliable Toyota, or something else a little more fun) and invested the monthly repayment you would have made on the car loan of 80k - the $1,584/month.
Here's a little scenario based on a 6% return over 60 months.
https://www.calculator.net/future-value-calculator.html?ctyp…
So instead of paying a bad debt of 80K + 15K in interest totaling 95k, you will now have an investment worth over $800,000 in 5 years. Yes that's right!
Food for thought. I've been through the fun and shiny toys over my life and at the same time have seen my friends being financially responsible. I see where they are now and I see where I am now - they are so far in front it's really not funny. And they are having more 'fun' than me now that's for sure.
Anyways, enjoy your life. You have only one - make the most of it.
I agree with your idea of good debt and bad debt, however your calculations are incorrect or are assuming a 6% return per MONTH. Tell me where you can get a reliable return like this and I am retiring tomorrow.
Maths doesn't add up. 6%/year not repayment. If that was the case it would be over 60 years.
Really stuffed the maths on this one mate… you need to put the interest in the same terms as your period, so 60 periods is presumably 5x12
so interest rate of 6% divided by 12 is .5
Low and behold $110k, (ie same 15-20k of interest) in his pocket instead of the finance company.
But yes I agree with you buying a Telsa @ 22 is ridiculous. my first car was 25K and I knew I overdid it…
If you can turn $80k into $800k in 5 years, you wouldn't be on here.
You'd be surorised who's on here.
Your concept is right, your maths is a horrible fail or your use of the compound calculator was anyway. works out about 110k at 5 years.
As far as I understand putting the insurance in your parents name won’t make a difference to the premium because you have to list all drives and the premium will be calculated off the youngest driver.
Can u get insurance that covers any driver ?
NRMA for example you don't have to list all drivers but there is a age excess for under 25's if they are not listed.
I just did a fake quote with NRMA. just picked a random Tesla model 3, for myself to insurance it at the age of 27 the yearly premium was $1800. I then added a additional driver to the policy with an age of 22 and the yearly premium went to $2373.
This is Ozbargin people here dont have insurance
Nooo… It's always our "friends" who don't have insurance 😂
Do you understand WHY? They are so high?
Get your mom to buy the insurance then pay for it.
This whole post is HILARIOUS.
Maybe OP just really loves the car and wants to spend his money on it? Nothing wrong with that, OP can lives how he wants. Anyways, good on you OP for being able to afford such a great car at that age. As for insurance, 5k doesn't sound too bad but I find that there isn't a 'cheapest' insurance company, it depends on so many factors. AAMI turned out the cheapest for me whilst budget direct for my sister. You just have to look around, try compare the market. You're driving a car in which repairs will be more expensive and you're still quite young. Don't commit insurance fraud otherwise if you do end up in an accident, you might have your insurance void and then you'd have been paying for nothing whilst having to repair your own car and the other persons car. Who know's, you might be earning 10x more than you do now one day and you will look back and realise this cost was nothing.
I'm sure he'll pay them back once he's a multi billionaire. Maybe this car is exactly what he needs to propel his career.
Save your money son. Now's not the time to be spending a tonne of money on a depreciating asset. If you can't afford the insurance in your name then you can't afford the car.
Fix up your corolla or buy another corolla and drop 80+k in ETF's. See what's worth more at then end of the life of a Tesla.
Thank me later.Now's not the time to be spending a tonne of money on a depreciating asset.
There never was a time in the history of the Galaxy when it made sense.
Too expensive a car not to have insurance. Why don't you just get a whole bunch of online quotes? I have a quick-ish car and I got quotes ranging from $3,500 to $600 but its not worth anywhere near yours so I am not surprised yours is pricey. And you are very young, shouldn't have been a massive surprise, yeah?
Op, are you in Melbourne? Saw a P-plater driving a Telsla model 3 on Beach road yesterday. Was it you? If it was, just a refresher :
At intersections without traffic lights, signs or road lines:
you must give way to any vehicle entering or approaching the intersection from your right.
if you are turning right, you must give way to oncoming vehicles going straight through the intersection or turning left (except if they are using a slip lane).
If not, enjoy your new car :)
He only just put in an order so it can't be the OP…
Good to know.
Tesla used to have fairly competitive insurance underwritten by QBE, but QBE pulled out last year and the replacement underwriter was something like double the premium. Many insurers charge a lot on Tesla as they consider they high performance vehicles. Maybe also because they perceive a lot of risk in insuring Teslas? I dunno.
But try GIO, they seem to charge a reasonable premium on Teslas.
from what i have seen the parts are not readily available here, so there are lengthy delays involved in repair work where new parts are required.
Model x is notoriously difficult to repair if the damage affects the gulwing doors.
@daveymatey dont listen to all of this FUD.
The car is beyond incredible and costs almost nothing to run or maintain.
Over a 10-15 year period of ownership its gonna cost you a similar amount to buying another corolla.
Got my insurance with CBA. paying 2300 per year at age 28, i would recommend maxing the excess.
Hopefully Covid has passed by the time your car arrives. if i was you i would wait for the worst to pass.
take care my friend. message me if you need any help
i like the idea of maxing the excess but if someone does a hit and run i don't want to be stuck paying $2.5k for something that wasn't my fault. or a kangaroo
"Over a 10-15 year period of ownership its gonna cost you a similar amount to buying another corolla."
I very very highly doubt this.
insurance on replacement corolla….maybe $600-800…? vs the $5k here a year…yikes! Telsa dont even hold their value particularly well from what ive seen. Imagine how amazing they will be in 5 years. What is this can going to be worth then…? $50k? Electricity prices keep going up and up, meanwhile petrol is plummeting!
You sir are in denial. A corolla isn’t going to cost $80 thousand in repairs ever. You don’t even include far far higher repair costs of the Tesla and higher insurance costs.
Soooo you reckon a corolla costs around 7k+ a year to run? what the hell do you do with it?
When I purchased my last car I first checked the insurance cost for the cars I favoured and then went shopping. One vehicle ended up being almost triple the cost of another. That swayed the decision.
Buy the car. Pay insurance in instalments if it’s too expensive. Please keep the economy running.
Don’t forget about the paint protectionDude asks for advice and rightly so gets grilled for buying a Tesla.
Surely CBA employees get a deal through CommInsure. Was told they were price competitive for Teslas.
Rule of thumb is to spend 10-15% of your gross salary on a car. Maximum 25% if it's important and high priority for you.
That means your gross salary is between $400k - $1m. If your salary is below this, then you're making a terrible financial decision.Going by your logic, one will need to be making $300k to be able to afford a Camry then?
Assuming that a Camry is $30k, and if you have your financial priorities sorted and car is very important for you (I.e. heavy usage and would rather sacrifice your laptop/phone quality or whatever for better car), then a maximum $30k car purchase on a minimum $120k salary is ok.
Cars are depreciating assets and one could minimise their losses by spending conservatively. The money saved can be invested elsewhere. If you land an $80k job as a graduate as splurge $50k on a car then sorry but you're just an idiot. You've taken a few steps back financially.
Is this why CBA is so uncompetitive? Daddy gets everyone there a job and buys them a Tesla? Why would you buy a Tesla before moving out of home, what a weird guy. Now, you’re trying to nickel and dime insurance.
High disposible income and lives at home. Car instead of hard drugs.
@[Deactivated]: Not everyone's parents can just give them a year's salary for half a car mate.