Cheap Insurance Loophole

[AWD Chaser]

Hey all.

This morning, upon checking my insurance, I found how NRMA structures their comprehensive car insurance prices. Now this isn't anything secret - How Many Years Driving Experience You Have (excluding L's) determines the premium you pay each year.

Now what may not be so obvious is that if you got your license on the 10th of May 2003 - right now you would have 2 Full Years driving experience. Now if you sign up to NRMA comp. insurance today (April), you have to state that you only have a full 2 years, and you get you fall into that pricing category. However, when you come around to your license anniversary next month, you will have 3 full years driving experience, yet for the next 11 months, your policy pricing is based on your 2 years experience.
This is important to note because alot of people think it goes on age, and that is only a part of it, but not the main part.

The loop hole around this is to renew your policy the day after your license anniversary, and then each year you will not be paying higher insurance for a category that you don't fit in.

This is mainly for younger drivers as insurance premiums change each year so much for us till we are about 23. As far as I know, this "loophole" is applicable for comprehensive yearly insurance. I'm not too sure about month-by-month payments. I think it will still apply because the policy is for 12 months, but you just pay month by month.

By discovering this, I now save myself $200 this year and another $200 next year because I have dropped down into a lower age/pricing category.



It may be worth looking at doing for yourself!