From insurance and deductibles to vehicle registration and car insurance, insurance covers almost every part of your life.
And it’s only getting more expensive, with a range of premiums ranging from as little as $20 per week to as much as $250 per year.
But how much do we actually have to pay?
The answer depends on how you live your life, the type of car you drive and the type you drive it.
As we’ll see below, there’s also an extra level of cost for injuries and illness.
Insurance premiums for the typical driverThe cost of car insurance is the price you pay when you buy a car.
Your insurance company will calculate the cost for you based on your age, how much you earn and what your income is.
For example, if you’re 50 years old, your average car insurance premium would be about $500 per year, with an average annual rate of about $200 per year per person.
That’s a huge amount of money to pay when the insurance company is only estimating your total costs.
But if you live in a state where insurance is more expensive than in the US, for example, you’ll be paying a bigger price for the same car.
In a state like New South Wales, where the average car is a four-door sedan, the average rate for a driver of that vehicle would be $550 per year for a minimum of two years of insurance.
In Victoria, the cheapest option is a two-wheeler, which is $450 per year and averages $350 per year to cover all your medical expenses, plus a $50 annual deductible.
And in Queensland, a three-wheelers insurance is $550 for a two year term and costs $350 a year.
You’re not aloneIf you’re in a relatively low-cost state, you might be able to get away with not paying much.
Insurance can be a good way to make sure you’re covered, particularly if you work in a low-income area.
But you should always check your policy before buying, as some policies are not as cheap as they seem.
If you can’t afford itIf you live somewhere with low car insurance rates, it’s important to make an effort to get the cheapest rates possible.
If you live with an older or disabled family member, or if you don’t live near a doctor or hospital, your insurance might be cheaper if you pay the cheapest rate.
If your car has to be replaced regularly, it may be cheaper to get your own insurance rather than a new one from a private insurer.
In some states, it might be a better idea to buy an extended coverage policy.
Extended policies are similar to a life insurance policy but cover you for longer periods, typically for a few years.
In Queensland, for instance, the policy lasts for 10 years and covers a maximum of two people at the same time.
It’s a big difference between paying $150 per week for an extended policy and paying $400 per week on an extended car insurance policy.
The good news is that most states have a similar standard for car insurance premiums.
So if you can, make an offer to get a better rate if you have a family member or a disabled person in your home, or try and save money by shopping around and looking for the cheapest policies.
If your car is not insuredThe price you can expect from your insurer depends on the car you own.
If it’s a four door sedan or a three wheeler, the standard rate will be $100 per week.
For a two wheeler you could pay as little or as much.
In Queensland, the insurance policy average is $175 per week and costs about $150 a year for an average two year contract.
If the car is an SUV or a pick-up truck, the premium is $350 to $500 a year, and the standard is $250 to $300.
Insurers don’t always cover the full price of the car, however, so if you plan to buy a new car, you should get the best price you could get from the insurance provider.
Insurer rates vary by stateInsurer premiums vary from state to state, but if you look at the best available rates, you can see where to go.
You might be surprised to find that your rates might be lower in some states than others.
If they’re less expensive in your state, try and get a deal from the insurer and then negotiate a lower price.
If they’re more expensive in the other state, look for a better deal elsewhere.
You should always talk to your insurance company if you think you may be at riskIf you buy insurance from a commercial insurer, the commercial insurer will probably be the best option for you.
But if you buy from an independent insurer, you may need to negotiate a cheaper rate.
Some independent insurers charge you moreThe average premium for a commercial insurance policy in Queensland is $150 to $200.