Moving on, Finder shows the following insurance companies operating in Victoria. The other states are not so different, save for state specific agencies and clubs.
1300 Insurance 1Cover Direct Insurance 1st for Women AAMI
AI Insurance Allianz Insurance ANZ AON APIA
Aust Seniors Insurance Agency Australia Post Bendigo Bank Bingle
BOQ Budget Direct Bupa Insurance CGU Coles Insurance
Commonwealth Bank GE Money GIO Guild Insurance
HBF Financial Services HSBC Hume Bank ibuyeco Just Car Insurance
Kmart Tyre & Auto Services (Mycar now?) NAB National Seniors OnePath
Over Fifty Insurance Ozicare People’s Choice Credit Union
Progressive Direct QBE RACV Real Insurance St. George Bank
Suncorp Bank Virgin Money Westpac Woolworths Youi
All are underwritten by one of Suncorp, Allianz, Hollard, Youi, QBE, and a small handful of others. When getting online quotes it becomes obvious there are not many, evidenced by the same underwriters ‘retailer network’ using the same quoting forms and same backend engine with different logos presented. The requirement to reveal the current insurer before getting a quote is dodgy as because they appear to avoid cannibalising themselves but will undercut to keep a customer regardless of with which of their retailers.
This superficially appears to be a fake marketplace, much like electricity and gas competition. The differences are in overheads and seller profit sinc e the PDS for policies from the same underwriter are all but clones of each other accepting minor differences exist. The sales offices can be brilliant but the claims experiences are usually managed by the underwriters and reliable claims reviews are not so easy to find. Productreview seems to have removed the ‘Claim made’ filter to make it more opaque than it need be, and one company that almost uniquely has great reviews are all from new customers on the basis of everything except claims. Choice can only report on the more popular companies.
After 11 quotes for as close to the same cover as could be entered, they ranged from $650-$1,400! As noted previously one must enter the current insurer to get a quote, so quote system knows if ‘their customer’ is shopping and seem inclined to marginally undercut themselves to keep the customer in their ‘group’. There are anecdotal reports the quote will change if one selects a different underwriter’s product as being the current insurer, but then one has falsified information and all bets are off.
Quotes from each ‘policy seller’ in any given underwriter’s group seem to be in fairly narrow bands so they limit competing with themselves while consuming lots of time and repetitive data entry by the consumer.
Other than musing (ranting?) about this, I have a few options and will save at least $160 lazy tax by getting an identical policy from the same underwriter from a different seller, or save $575 taking the lowest quote, eyes wide open the claims service varies from OK to ordinary from that underwriter, as best I can tell.
I hope someone got something useful from this.