Is It Important To Insure A Cheap Vehicle?

February 15, 2021

Some of our clients often wonder whether it is important or necessary to insure a cheap vehicle. The same question could be asked regarding cheap equipment, cheap machinery and workers or activities in a low-cost project.

At Statewide Insurance Solutions, we believe that insurance is important for all significant financial investments. Certain assets and items, like vehicles and machinery, are at particular risk of damage considering the nature of the environments they are used in.

There are several reasons why insurance is important, even for low-cost vehicles and assets:

  • Your vehicle may cause damage to a third party vehicle and, without insurance, you will be responsible for covering all costs associated with the damage
  • The costs associated with repair can be expensive
  • The costs associated with removal and disposal can also be expensive
  • There could be benefits with your chosen insurance package
  • There may be losses to your business revenue if an unusable vehicle or damaged equipment causes downtime on site
  • An insurance broker can help you through the process of repairing or claiming a damaged vehicle or asset, whereas no insurer means you will need to navigate the complexities of the industry singlehandedly

To work out whether insurance will be worth it for you, you can speak to an experienced insurance broker to receive a quote. Once you have your quote, you can analyse whether the cost of insurance outweighs the cost of the vehicle. Generally speaking, the asset may not be worth insuring if the cost of annual insurance is more than what you paid for the asset.

If you are looking to save costs on insurance, you might prefer to have third party insurance instead of comprehensive insurance. Your insurer may also be able to value your car or machinery and provide an insurance package based on its worth. If you have several insurance packages with the same broker, you may be eligible for a discount.

Some insurers may also be able to reduce the cost of your insurance if you can prove that you or your company has previously had few claims. Safe drivers may receive a discount if they have not had any collisions or traffic offences in the past few years.

 

What can Statewide Insurance Solutions do for you?

As experienced insurance brokers, we can offer a wide range of insurance packages the meet the needs of businesses and individuals. Our services are trusted by hundreds of clients across the country, including several highly reputable corporations. Some of the key insurance products we can offer are:

  • Mobile plant and equipment insurance (earthmoving equipment, machinery, marine, workmanship)
  • Vehicle and transport insurance (personal car, commercial car, transport, products liability)
  • Business insurance (liability, products, professional indemnity, corporate travel, cyber)
  • Personal insurance (car, caravan, home and contents, travel, personal accident and illness)
  • Niche and speciality insurance (asbestos, prize indemnity, medical, manufacturers)

To learn more about Statewide Insurance Solutions and our comprehensive insurance packages, visit our website today. You can also request a call back via our website or contact our team directly.

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Statewide Insurance Solutions Pty Ltd ABN: 24 646 940 874 (CAR 1238373)
Corporate Authorised Representative of Acumen Insurance Pty Ltd
AFSL No: 481393 | ABN 40 607 665 207

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Statewide Insurance Solutions Pty Ltd ABN: 24 646 940 874 (CAR 1238373)
Corporate Authorised Representative of Acumen Insurance Pty Ltd
AFSL No: 481393 | ABN 40 607 665 207

General Advice Disclaimer

The information on this website is to be regarded as general advice. Your personal objectives, needs and financial circumstances were not taken into account when preparing this website content. We recommend that you consider the suitability of this general advice, in respect of your objectives, financial situation and needs before acting on it. You should obtain and consider the relevant product disclosure statement and Financial Services Guide from Acumen Insurance Brokers before making any decision to purchase a financial product.

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Copyright State Wide Insurance Solutions PTY LTD. All rights reserved. Website Developed By Generate Your Audience