How Much Is Insurance for a Used Car in Australia?
In a Nutshell: Insuring a used car in Australia costs, on average, $300–$900/year for comprehensive cover (vs $800–$2,500+ for a new car). The exact cost depends on the car's age, model, value, and your personal profile. For older, lower-value cars, third party property or third party fire and theft cover can reduce costs to $150–$400/year.
Average Used Car Insurance Costs by Value
| Used Car Value | Typical Comprehensive (Safe Driver, 40yo) | Third Party Property | Third Party Fire & Theft |
|---|---|---|---|
| Under $5,000 | $400–$650 | $180–$300 | $250–$400 |
| $5,000–$10,000 | $500–$800 | $200–$350 | $300–$450 |
| $10,000–$20,000 | $650–$1,000 | $250–$400 | $350–$500 |
| $20,000–$30,000 | $800–$1,200 | $300–$450 | $400–$550 |
| $30,000–$50,000 | $1,000–$1,600 | $350–$500 | $450–$650 |
Average Premium by Car Age
| Car Age | Typical Comprehensive Premium | Market Value |
|---|---|---|
| 1–3 years | $900–$1,500 | 70–90% of new price |
| 4–6 years | $700–$1,100 | 50–70% of new price |
| 7–10 years | $500–$850 | 30–50% of new price |
| 10–15 years | $400–$700 | 15–30% of new price |
| 15+ years | $300–$550 | Under 15% of new price |
💡 Key insight: A 10-year-old Toyota Corolla costs about $450–$650/year for comprehensive, while a new one costs $850–$1,100. The savings from buying used extend to insurance.
Should You Go Comprehensive or Third Party?
| Car Age | Car Value | Recommendation |
|---|---|---|
| 0–5 years | Over $15,000 | ✅ Comprehensive |
| 5–10 years | $8,000–$15,000 | ✅ Comprehensive OR Third Party Fire & Theft |
| 10–15 years | $4,000–$8,000 | ✅ Third Party Fire & Theft |
| 15+ years | Under $4,000 | ✅ Third Party Property |
Quick calculation:
- Car value: $6,000
- Comprehensive premium: $700/year (11.6% of car value)
- Third Party Fire & Theft: $350/year
- You choose: Third Party Fire & Theft — reasonable protection without over-insuring.
Cost Examples by Popular Used Models
| Used Car | Age | Value | Comprehensive (Safe Driver) | Third Party Fire & Theft |
|---|---|---|---|---|
| Toyota Corolla Ascent | 2018 (8yo) | $14,000 | $650–$850 | $380–$480 |
| Mazda 3 G20 | 2019 (7yo) | $16,000 | $700–$900 | $400–$500 |
| Hyundai i30 Active | 2020 (6yo) | $17,000 | $700–$920 | $400–$510 |
| Ford Ranger XLS | 2019 (7yo) | $28,000 | $950–$1,300 | $500–$650 |
| Toyota Camry Ascent | 2017 (9yo) | $13,000 | $600–$800 | $350–$450 |
| Subaru Outback 2.5 | 2018 (8yo) | $22,000 | $800–$1,100 | $450–$580 |
| BMW 3 Series 320i | 2017 (9yo) | $25,000 | $1,100–$1,600 | $550–$750 |
💡 Tip: Always get an insurance quote BEFORE buying a used car. The difference between models can be $300–$500/year for the same value car.
How to Save on Used Car Insurance
| Strategy | Saving | How |
|---|---|---|
| Choose a standard model (Corolla, Camry, i30) | 20–40% | vs luxury/performance used cars |
| Increase excess | 15–30% | Raise from $500 to $1,000 |
| Drop to TPF&T if car is under $8,000 | 30–50% | vs comprehensive |
| Check for aftermarket parts | Variable | Aftermarket parts increase premium — choose original |
| Garage parking | 5–15% | Off-street parking discount |
| Multi-policy | 10–15% | Bundle with home or contents |
| No-claim bonus | Up to 60% | Build it up over time |
Key Takeaway
- Used car comprehensive insurance: $300–$1,200/year (far less than new cars).
- Used cars under $8,000 are often better with Third Party Fire & Theft cover.
- The cheapest used cars to insure are standard models like Corolla, Camry, i30, Mazda 3.
- Used luxury and performance cars can still be expensive to insure.
- Always get a quote before buying — the difference between similar-priced models can be $300+/year.
- The "10% rule" applies: if comprehensive costs >10% of the car's value per year, drop to third party.
Last updated: July 2026
Disclaimer: This article provides general information about used car insurance costs in Australia. Individual premiums vary by insurer, driver profile, and specific vehicle. Always get personalised quotes.