Learner Driver Insurance: Answers to Common Questions

Educational

Oct 16th, 2020

Learner Driver Insurance: Answers to Common Questions

Insurance is one of those things that you keep furthest from your mind until such time that you need it. It doesn't matter if we're talking about medical insurance or car insurance; people generally have a mixed view on the entire concept of paying for protection that you might never use. Sure, they know that it’s ‘important’, but many think it’s a waste of money. This is true especially for other types of insurance that a few people know about, such as the learner driver insurance.

Do you know what it is? A few people realise that they can also buy learner driver insurance as an optional add-on to the standard car insurance they have. Suppose you’re a parent, an older sibling, or just a learner driver who wants extra protection because you know your driving skills aren’t up to par yet, then you should consider buying a learner driver insurance. 

So, in this article, we’re going to go over everything you need to know to get started with learner driver insurance.

Why do you need learner driver insurance?

To understand the importance of learner driver insurance, let’s look at regular auto insurance first. No matter how much of an expert driver someone might be, there’s always a risk of a car accident or collision taking place out on the road. If this happens, you could be liable to property damage, injuries to you or others, and potentially even death. With auto insurance, you don’t have to worry about fixing up your car with your own money, because the insurance company will fund the repairs for you. Plus, if you get injured, the insurance company will also fund at least part of your medical expenses.

Now, if seasoned drivers face these kinds of risks to the point that the government makes auto insurance a legal requirement, it’s easy to imagine that the danger is much more significant when it comes to learner drivers. 

Think about it. As the name suggests, learner drivers are still learning the basics of operating a motor vehicle out on the open road. Young drivers haven’t fully-developed their decision-making abilities and reaction times yet, and that makes them a much more significant danger on the road.

So, as parents, older siblings, or even learner drivers yourself, you’d want the peace of mind that comes with having enough insurance coverage to match the risks that you face. While insurances can’t prevent accidents, they sure can ease a part of your worries. Regular auto insurance might provide enough coverage for everyday drivers; learner drivers should get a little extra.

What are your options for learner driver insurance?

There are two ways you can get learner driver insurance. First, you can get it as an add-on to whatever existing auto insurance you may already have. For instance, your family may already have an insurance policy for the family vehicle, which the learner will use to practice. If this is the case, all you'd have to do is call up your insurance company and get a quotation to add on some coverage for the learner driver in your family.

Second, you can get a learner driver insurance as a standalone policy. A standalone type is preferred if the learner driver is using another car regularly to practice driving. If the learner driver is someone young, this could be an excellent opportunity to teach them about financial instruments like insurance policies. Plus, as you might know, insurance companies reward policyholders for not filing any claims. So, the earlier in life they start with their insurance policy, the more that no-claim bonus/reward will grow.

What’s covered in a learner driver insurance policy?

A learner driver insurance policy is pretty much the same as regular auto insurance. Depending on the type that you choose, it will usually cover the cost of repairs after an accident. On top of that, the policy will usually cover the car against theft and natural disasters like floods and fires. You can also get Third-Party Insurance coverage to pay for the other vehicle's damage if you ever get into an accident and are at fault.

What do you need to consider before choosing an insurance provider?

No matter what kind of insurance you're buying, you have to understand that it's a complicated financial instrument. So, before you even sign on the dotted line, be sure to read the fine print. Your insurance agent is a useful reference, but you should always read for yourself what the document says. Here are a few things you need to be aware of before you sign up with any insurance provider:

What is covered and what's not

People often make the mistake of assuming that the insurance company will pay for absolutely everything in the case of an accident. That’s not always true, as it depends on what your insurance policy says. For example, ask yourself whether or not the insurance policy protects against damage to the windscreen (not all do!). Be sure to find out precisely what's covered by your learner driver insurance policy and what's not, so there will be no surprises later on.

What steps you must follow in case of an accident

Immediately after an accident, there is a process you must follow. Usually, it starts with a phone call to the insurer’s hotline to inform them that an accident has taken place. Simply put, it's not enough to know that you have insurance coverage. You should also know how to use that coverage when you need it the most.

What the claims process is like

Different car insurance providers will have slightly different processes you need to follow to make a claim (i.e. to get the money you need to fix your car after an accident). You might have to pay for it first and claim it back from them later. Or, the insurance company will tow the car to their approved workshop and fix it without you having to do anything at all. Again, whatever the case may be, make sure you know what the process is before you sign up.

What other people have said about the insurance provider

These days, you can find reviews for anything online, even for insurance providers. Do a quick search and find out what other people have to say about dealing with the insurance provider. Remember: insurance companies will always show themselves in a positive light. But what separates the good ones from the bad are the experiences that customers have when filing claims after a car accident.

Get the Best Advice from Carpart.com.au

Learner driver insurance, or anything else related to cars for that matter, can seem intimidating and confusing. But with the right knowledge and guidance, you’ll see that it’s not that difficult to manage. To learn more, check out Carpart.com.au’s Blog where you’ll learn everything you need to know to become a well-informed car owner and driver. It’s an all-in-one website where you may also request for any auto part you need to keep your car in the best shape. Get a quote now!


By Ray Hasbollah