Motor Insurance

Premium, Excess & Discounts Guide

Depending on the type of insurance you have chosen, this RACV Motor Insurance Premium, Excess and Discount Guide should be read with and
forms part of either:
• For Comprehensive Insurance, Third Party Fire and Theft Insurance, Third Party Property Damage Insurance, the RACV Motor Insurance
Product Disclosure Statement and Policy Booklet (PDS), prepared on 2 August 2022.
• For Complete Care® Motor Insurance, the RACV Complete Care® Motor Insurance Product Disclosure Statement and Policy Booklet (PDS),
prepared on 2 August 2022.
This guide applies to policies issued in Victoria with a commencement date on or after 1 April 2024 or with a renewal effective date on or after
1 April 2024 .*
This guide also applies to New South Wales, the Australian Capital Territory or Queensland customers who are identified as being eligible
in limited circumstances. Call 13 RACV (13 7228) for information about policies issued with a vehicle kept outside Victoria.
In this guide “Motor Insurance” refers to:
• Complete Care®
• Comprehensive
• Third Party Fire and Theft, and
• Third Party Property Damage.
This guide provides further information about the cost of your insurance and excess(es) you may need to pay if you make a claim.

How we work out your premium you may be eligible for may be reduced. When we determine your
premium on renewal, we may also limit any increases or decreases
Your insurance premium generally reflects the likelihood of a claim in your premium by considering factors such as your previous year’s
being made on your policy in the future. There are a number of factors premium amount.
we take into account when determining your premium.
Pricing Factors
We calculate your premium by combining and considering
the following: The premium you pay for your insurance reflects the likelihood of
• Pricing factors you making a claim together with the potential value of any claim.
• Choice of excess So, if you have a lower chance of making a claim then you will
generally pay a lower premium compared to someone who has
• Policy options
a higher chance of making a claim.
• Minimum and maximum premium
• Cost of choosing to pay by the month Our experience shows there are a number of factors that are a good
indicator of the possibility of a claim being made. We call these
• Discounts, and
pricing factors.
• Government charges.
Some pricing factors are more significant than others, and the impact
Other commercial factors affect the premium you pay, including costs
may vary according to your circumstances. For Motor Insurance
associated with operating our business. Each time you renew your
policies, pricing factors that may be taken into account in determining
insurance your premium is likely to change, even if your personal
your premium include a combination of some or all of the following:
circumstances have not changed. This is because the premium you
• policy type
pay is calculated based on a number of factors, including our updated
modelling, your circumstances and wider insurance trends. • level of cover
• optional coverages or benefits you have chosen
Minimum and Maximum Premium • whether you have nominated Agreed Value or Market Value for
your vehicle
Your premium, including any discounts you may be eligible for, are • any excesses or special conditions that apply
subject to minimum and maximum premiums. We consider the • value of your vehicle including external sources for values and
minimum and maximum amounts we are prepared to sell the policy specifications
for and may adjust your premium to ensure it does not fall outside that
• age, make and model of your vehicle
range. Any discounts will be applied to your policy, only to the extent
• where your vehicle is kept
any minimum premium is not reached. This means that any discount
• what your vehicle is used for

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• whether you have finance on your vehicle and the type of finance
Comprehensive Motorcycle
• how you choose to pay your premium
Hire Car option $66 (excl applicable Discounts and
• your previous year premium if your policy is a renewal, and
Government charges)
• features including age, gender, driving experience and claims
history of the owners and drivers of your vehicle. Windscreen option $66 (excl applicable Discounts and
Government charges)
This is not an exhaustive list of our pricing factors
We collect information in relation to these pricing factors from you Costs of choosing to pay by the month
and other sources and we use our data, models, and experience to
If you choose to pay your premium by monthly instalments you
assess how important each pricing factor is for your policy. At any
may pay more than if you pay annually. Any additional premium
time we may change the relative importance of any of the pricing
when you pay monthly is due to this being a pricing factor and an
factors or how they combine to affect your premium, and we may
administrative cost.
add to or remove pricing factors from the calculation as we see fit.
When you first take out a policy, the number and type of claims and Any additional premium you are required to pay will be shown on
incidents that all owners and drivers have had in the last five years is your current Certificate of Insurance.
taken into consideration in determining the premium.
Government charges
When you renew your policy, the claims and incidents that occurred
in the prior 12 months are used to calculate the premium offered for Motor Insurance policies are subject to stamp duty imposed by
the renewal of that policy (but not any other RACV motor policies you State and Territory Governments in addition to GST.^
have). This is, in addition to any claims and incidents that were used
Government Charges VIC NSW ACT QLD
to determine the premium for the previous renewal of that policy (or
new policy if this is your first renewal). GST 10% 10% 10% 10%
Stamp Duty 10% 5% 0% 9%
Discounts
^In addition to stamp duty and GST an amount of your premium is
The following discounts are available depending on the type of also used by us to pay NSW Fire Services and State Emergency
insurance you have chosen: Services (SES) levies for any eligible policies issued in NSW.
• Multi-Policy Discount
• Years of Membership Benefit How we calculate your motor premium
• Flexi Excess Discount. Step 1
We calculate the discounts that apply to your policy before we tell First, we will combine the pricing factors.
you what your premium will be. Please see the ‘Discounts’ section
Step 2
of this guide on page 5 for further details.
Then we add the cost of choosing pay by the month (except for
Policy options Complete Care® Insurance).

Depending on the cover you have chosen, you may add the following Step 3
policy options to your policy by paying any additional premium that If you have chosen a higher basic excess to reduce your premium
applies: we will apply your Flexi Excess Discount to reduce or remove your
• Hire Car option basic excess we will add the additional premium.
• Windscreen option Step 4
• Any Repairer option
Comprehensive Insurance - We then add the cost of any options you
Any options you choose will be shown on your current Certificate have chosen (for example, Hire Car, Windscreen or Any Repairer).
of Insurance.
Step 5
Comprehensive Motor Vehicle We then work out any Multi-Policy Discount that you may be eligible
$91 (excl applicable Discounts and for and apply this to the amount from Step 4.
Hire Car option
Government charges) Step 6
$85 (excl applicable Discounts and We apply any Years of Membership Benefit you may be eligible for to
Windscreen option
Government charges) the amount in Step 5.
An additional premium will apply for this
Any Repairer option Step 7
option
We then add applicable government charges to work out the
If you have Complete Care® your policy automatically covers you for premium you need to pay.
a hire car after an incident, windscreen damage with no excess and
access to any licensed repairer of your choice at the time of a claim,
including our extensive network of quality RACV partner repairers.

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Excess What are the choices of basic excess for Complete Care®
or Comprehensive Motor Vehicle Insurance?
An excess is the amount you contribute towards the cost of You may choose one of the following excess amounts as your
your claim. basic excess:
There are three types of excess(es):
VIC NSW/ACT QLD
• Basic
$200 $100 $100
• Age
$500 $400 $400
• Special.
$900 $795 $700
Your current Certificate of Insurance shows the amount and types of
excesses that apply to your policy. $1,000 $950 $900

The type of excess you need to pay depends on what your claim $1,200 $1,100 $1,100
relates to and who was driving your vehicle. Also, you may need to $1,700 $1,500 $1,500
pay more than one excess. $2,200 $2,000 $2,000
When you make a claim, an excess may apply. If so, we will: If you choose a higher basic excess on your policy, you can decrease
• deduct the excess from any claim payment, or your premium. You should make sure the basic excess you choose
• request you pay the excess to us, or to the repairer or supplier. is appropriate for you, taking into account the limits of your cover,
If we request you pay the excess, we will tell you who to pay and including any additional covers or options.
may require payment as part of the finalisation of your claim. The Your basic excess amount will be shown on your current Certificate
circumstance(s) when an excess does not apply are set out in this of Insurance.
Excess section.
Age excess
Basic excess
This excess is paid in addition to any basic excess and applies to:
If you make a claim, a basic excess may apply. • any driver under 25 years of age, or
We determine the basic excess that will apply at the time a policy is • any driver 25 years of age or over with no more than
taken out based upon the type of insurance you have chosen and 2 years driving experience after obtaining a provisional or
whether you are insuring a motor vehicle or motorcycle. probationary licence
The basic excess amounts for VIC, NSW, ACT and QLD are as but does not apply to:
follows: • a learner driver who was accompanied by a fully licensed driver
aged 25 years of age or more.
Insurance Type VIC NSW/ACT QLD
The following three tables explain what age excess may
Motor Vehicle Complete Care® $900 $795 $700 apply at the time of a claim:
Motor Vehicle Comprehensive $900 $795 $700
If you have named an under 25 year old as a driver on your policy:
Motor Vehicle Third Party Fire
$900 $795 $700
& Theft Age Excess
Motor Vehicle Third Party NSW/
$900 $795 $700 Disclosed Excess Amounts VIC QLD
Property Damage ACT
Motorcycle Comprehensive $700 $795 $700 Motor Vehicle Complete Care® $400 $400 $400
Motorcycle Third Party Property Motor Vehicle Comprehensive $400 $400 $400
$700 $795 $700
Damage
Motor Vehicle Third Party Fire & Theft $400 $400 $400
In some circumstances, factors such as: Motor Vehicle Third Party $400 $400 $400
• what you use your vehicle for, for example private or business use, Property Damage
• the type of the vehicle you are insuring, and
Motorcycle Comprehensive $400 $400 $300
• the age of the drivers of your vehicle
Motorcycle Third Party $400 $400 $300
will result in a higher basic excess amount than shown above. In Property Damage
these circumstances you will not be able to choose any other basic
excess amount.

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If the driver of your motor vehicle or motorcycle is under 25 years When an excess does not apply
of age and you have not named an under 25 year old driver on
There are a number of instances in which you will not be required to
your policy:
pay an excess when we pay your claim:
Age Excess Then you will
Insurance
NSW/ If you make a claim for NOT have to pay
Insurance Type VIC QLD Type
an
ACT
Complete
Motor Vehicle Complete Care® $1,600 $1,600 $1,600
Care® or Theft or attempted theft Age excess
Motor Vehicle Comprehensive $1,600 $1,600 $1,600 Comprehensive
Motor Vehicle Third Party Fire $1,600 $1,600 $1,600 Complete Windscreen, sunroof or Basic, age or
& Theft Care® window glass damage only special excess
Motor Vehicle Third Party $1,200 $1,200 $1,600 Windscreen, sunroof or Age or special
Comprehensive
Property Damage window glass damage only excess
Motorcycle Comprehensive $1,600 $1,600 $1,600 Basic, age or
special excess
Motorcycle Third Party $1,200 $1,200 $1,600 Windscreen, sunroof or
Comprehensive when you have
Property Damage window glass damage only
chosen the
If the driver of your vehicle is 25 years of age or over with no more Windscreen option
than 2 years driving experience after obtaining a provisional or Complete
Age or special
probationary licence: Care® or Storm, flood or fire damage
excess
Comprehensive
Insurance Type VIC NSW/ACT QLD/TAS Complete
Age or special
Care® or Vandalism or a malicious act
Motor Insurance $400 $400 $300 excess
Comprehensive
You cannot pay an additional premium to remove an age excess. Complete
Damage to the vehicle while Age or special
Care® or
it is parked excess
Special excess Comprehensive
An incident that we are
We may decide to apply a special excess to an individual owner or
satisfied was not in any way
driver, or in relation to a specific incident, taking into account such
the fault of you, the driver of,
factors as the type of vehicle and owner or driver incident, claims or Complete
or a passenger in your vehicle Basic, age or
traffic offence history. Care® or
and you can provide the name special excess
Comprehensive
and residential address of a
The amount of the special excess will be shown on your current
person(s) we are satisfied is
Certificate of Insurance and generally ranges from $200 to $2,500.
at fault
A special excess is payable in addition to your basic or age excess Third Party Fire Age or special
where applicable. Fire
& Theft excess
You cannot pay an additional premium to remove a special excess. Third Party Fire
Theft or attempted theft Age excess
& Theft
Third Party Fire Age, basic or
Insured Motorist Damage
& Theft special excess
Third Party Fire Age, basic or
Uninsured Motorist Damage
& Theft special excess
Third Party
Age, basic or
Property Uninsured Motorist Damage
special excess
Damage

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Determining fault in an incident Years of Membership Benefit
When determining the excess that will apply to your claim, we may This discount applies to all types of Motor Insurance#.
need to decide if you or someone else is at fault. To do this we may
We reward you with a Years of Membership discount which is
request reasonable additional information from you – for example
linked to the colour of your RACV membership card. RACV Years of
witness statements or photographs – and consider any laws, bylaws
Membership Benefit increases the longer you are with us.
or rules that apply to the claim circumstances.
If we are not satisfied or unable to determine that someone else was Membership Card Years of
Annual Discount
Colour Membership
at fault, the excess is payable.
Blue 0-4 years 0%
Discounts Bronze 5-9 years 5%

We offer the following discounts that you may be entitled to: Silver 10-24 years 10%
• Multi-Policy Discount Gold 25-50 years 15%
• Years of Membership Benefit
Gold 50 51 years or more 20%
• Flexi Excess Discount
# Excludes Travel, Business, and Farm Insurance products.
The way in which the discounts are applied to your premium is set
out in the ‘How we calculate your motor premium’ section of this The way in which your Years of Membership Benefit is applied
guide on page 2. to your premium is set out in the ‘How we calculate your motor
premium’ section of this guide on page 2.
Multi-Policy Discount
Flexi Excess Discount
A Multi-Policy Discount rewards you for holding multiple
RACV policies. If you choose a higher basic excess on your Complete Care® or
Comprehensive Motor Vehicle Insurance, you can decrease your
See if you qualify for a Multi-Policy Discount#:
premium. This means that, although you pay less in premium, you
How to qualify Multi–Policy Discount will have to contribute more to any claim you make where an
excess applies.
Hold two or more of the Save 10%
following: The following excess amounts you may choose to decrease your
On your Home, Landlord, premium are:
Home, Landlord, Motor, Motor, Caravan & Trailer, Boat
Caravan & Trailer, Boat or or Veteran, Vintage and Classic Flexi Excess
Veteran, Vintage and Classic Vehicle Insurance.
Vehicle Insurance. $1,000

To receive a Multi-Policy Discount, the eligible policies must $1,200

be current. $1,700
If you take out a new eligible policy the Multi-Policy Discount will be $2,200
applied to that policy.
The way in which your Flexi Excess discount is applied to your
For your existing eligible policies any change to your Multi-Policy
premium is set out in the ‘How we calculate your motor premium’
Discount generally applies from the next renewal after you qualify.
section of this guide on page 2.
If you become eligible for an updated Multi-Policy Discount around
If there is anything you don’t understand about this RACV Motor
the time your existing policies are due for renewal, the updated
Insurance Premium, Excess & Discounts Guide, please call us on
Multi-Policy Discount may not be applied to those renewing policies
13 RACV (13 7228) or visit your nearest RACV Shop.
(the updated discount will be applied on the subsequent renewal).
You should contact us if you believe you are eligible for a higher
Multi-Policy Discount on a policy and it is not noted on your
Certificate of Insurance.
The way in which your Multi-Policy Discount is applied to your
premium is set out in the ‘How we calculate your motor premium’
section on page 2
# Excludes Travel, Business, and Farm Insurance products.

RACV Motor Insurance is issued by Insurance Manufacturers of Australia Pty Limited ABN 93 004 208 084
AFS Licence No.227678 of GPO Box 244 Sydney NSW 2001.
RACV Motor Insurance is distributed to members of Royal Automobile Club of Victoria (RACV) Ltd, by RACV Insurance
Services Pty Limited ABN 74 004 131 800 AFS Licence No. 230039. G015560 03/24 Page 5 of 5