Car Insurance

[buraddo]

So a quick look at the search results for 'Insurance' suggest that up until a couple of years ago at least car insurance was pseudo-optional, with loans requiring insurance but otherwise third party insurance was included in the road tax. Is this still the case? Given the ridiculously low price for fully comp (it sounds like under £1k / year) is there any value in getting a letter from the current insurers documenting my no claims bonus (I think I have 17 years protected no-claims)? Does it make a difference? Are there insurers who will credit overseas drivers (assuming you convert your license to NZ one)?

[dharder]

So a quick look at the search results for 'Insurance' suggest that up until a couple of years ago at least car insurance was pseudo-optional, with loans requiring insurance but otherwise third party insurance was included in the road tax. Is this still the case? Given the ridiculously low price for fully comp (it sounds like under £1k / year) is there any value in getting a letter from the current insurers documenting my no claims bonus (I think I have 17 years protected no-claims)? Does it make a difference? Are there insurers who will credit overseas drivers (assuming you convert your license to NZ one)?

I got the 'no claims' letter from the UK insurance, but didn't convert my driving license, it still made a difference.

Daniela

[kiwieagle]

I didn't convert my license and it made no difference on the premium but my deductible (or whatever you call it here) was higher.

[indo_americano]

When we moved i got that no claims letter from prev. insurer and it had an additional discount of ~15% of first year premium.

Deductible in US is excess here

deductible (or whatever you call it here) was higher.

[LVKris]

On this topic, Are there any station wagon cars that can be recommended which are good on fuel cost and not on the expensive side to insure?

[Manks]

Insurance is not compulsory on any motor vehicle. This is mainly because of the ACC scheme (but explanation of that is a whole other post!). Because of ACC, you cannot sue (or be sued) for damages/loss of earnings etc. So you are only liable for the cost of the repairs to your own vehicle. If you're insured and someone crashes into you, costs will be recovered from the other driver - providing they are insured. If not, it's your insurance coughing up.

To get our no claims bonus, we got a letter from our previous insurer to prove our status. The insurance companies (we have both AA and AMI) applied this straight away. AMI even increased the amount of discount when I told them that a full no-claims discount in the UK was 60%! Your excess will be higher if you have an accident on a foreign licence, but it makes no difference to the price of the premium. It is also covered for any driver over 25. Drivers under 25 will incur an additional premium and a greater excess for them.

We have a 2005 Subaru Wagon 2.0 that costs around NZ$500 a year to insure fully comp.

[LVKris]

Thanks! Exactly what I needed to know.

[buraddo]

Thanks! Exactly what I needed to know.

Me too. This is really helpful information.

[mylesdw]

Because of ACC, you cannot sue (or be sued) for damages/loss of earnings etc. So you are only liable for the cost of the repairs to your own vehicle.

This is not strictly true. ACC only covers personal injuries. You certainly can be sued for other damages to property and so on. If you drive uninsured and cause an expensive crash it could easily bankrupt you.

[Manks]

This is not strictly true. ACC only covers personal injuries. You certainly can be sued for other damages to property and so on. If you drive uninsured and cause an expensive crash it could easily bankrupt you.

Sorry, you are correct. ACC only covers the personal injury/loss of earnings part. But I imagine that is the most common type of damages claim that gets brought in other countries rather than to damage to property.