Australia markets open in 9 hours 56 minutes

    -110.10 (-1.73%)

    +0.0013 (+0.19%)
  • ASX 200

    -104.60 (-1.70%)
  • OIL

    +0.11 (+0.29%)
  • GOLD

    -0.20 (-0.01%)

    +348.48 (+1.89%)
  • CMC Crypto 200

    +3.16 (+1.20%)

Car colour costing Aussies $178 more on insurance

Lucy Dean
·3-min read
Australian highway with cars, Australian cash suggesting car insurance Images: Getty
What colour is your car? Images: Getty

Australians driving black cars are paying up to $178 more than those driving green cars, new car insurance analysis has revealed.

In fact, black car drivers are paying the most, with their average quote at $1,070.40 compared to green car drivers’ $898.76, the Mozo analysis released on Tuesday revealed.

Image: Mozo
Image: Mozo

Mozo’s 2020 car insurance report analysed 10,007 customer scenarios and found that there’s an average price difference of $902 a year between quotes for comparable cover, but one-in-three drivers have always been with the same insurer.

That’s despite more than half of car owners surveyed knowing that comparable policies vary in price.

“It’s clear many car owners are driving blind when it comes to car insurance, with their loyalty to an individual insurer or relying on word of mouth to inform their choice, costing them dearly,” said Mozo director Kirsty Lamont.

“While insurers try to make car owners stay with them through loyalty and rewards programs, if you want to drive home a better deal on your insurance you would be much better off comparing premiums from a range of insurers and switching to the best deal you can find,.”

Around a quarter of Australians will choose their insurer based on brand recognition and another third go off word-of-mouth.

Who’s paying the most on car insurance?

In addition to drivers of black cars, Australia’s youngest drivers are paying the most, with their annual average premiums at $1,608.

Image: Mozo
Image: Mozo

Insurers also consider men to be riskier drivers, with men quoted $90 more for insurance than women, at $991 compared to $902.

And even where you live can play a part: insurers make decisions based on factors like the likelihood of your car being robbed and whether you can park in a garage.

Victorian drivers pay the highest insurance in the country, with those drivers forking out $229 more than the national average of $952, despite most Victorian drivers being stuck at home.

“Victorian motorists should be in the driver’s seat at the moment when it comes to negotiating reduced premiums,” Lamont said, noting that 70 per cent of Victorian drivers haven’t asked for a discount.

“While you may not have qualified for premium reductions in the past, now is the time to make your insurer aware of your situation.”

The lesson for all drivers is to compare, Lamont said.

“Your gender, age, car colour and the state you live in can significantly impact the price of your premium but the fact is the simple act of comparing quotes can avoid overheating your premium.”

Make your money work with Yahoo Finance’s daily newsletter. Sign up here and stay on top of the latest money, news and tech news.
Follow Yahoo Finance Australia on Facebook, Twitter, Instagram and LinkedIn.