Things to know

Administration fee

If you choose to pay your premium monthly by direct debit, an annual administration fee of $78.00 (or $6.50 per month) may apply. If you have more than one policy and payment is collected from one source (the same bank account or credit card account), then only a single monthly administration fee applies. Please note, our premium discounts do not apply to such fees.

There are no admin fees when you pay your annual premium in full, via a single direct debit.

What you need

You’ll need to give us the BSB and account number of your bank account. If you are paying monthly by credit card then you’ll need to give us the cardholder name, card number, expiry date and card security code. If you’re unsure whether your account or credit card allows direct debiting, please contact your bank or financial institution.

Annual renewal process

We’ll send you a renewal notice before your policy expires so you can check the details. However, your monthly payments will continue to be debited unless you notify us that you wish to change your policy or the way you pay your premium. 

Returned or dishonoured direct debits

If debits from your bank account are returned unpaid by your bank or financial institution, we’ll try it again – or we’ll get in touch to arrange another way for you to pay your premium. We reserve the right to cancel the direct debit arrangement if three or more debits are returned unpaid by your bank or financial institution.

We may cancel your direct debit arrangement if the debit from your credit card is returned unpaid from your bank or financial institution.

Fees may be payable to your bank or financial institution if debits are returned or dishonoured.

Changing your account or card

If your account or card details change we will need time to update your information. It takes at least two days for credit cards and 14 days for account details to be changed between our systems and your bank or financial institution. Please let us know of your new account or card details with enough time to ensure your next payment is processed. If you don’t then your payment may be returned or dishonoured.

Overdue payments

If a monthly payment is overdue by 14 days then we may refuse a claim. If a payment is overdue by a month then we may cancel a policy. We will try to contact you before doing taking these steps.

Non business days

Where the due date falls on a non-business day (i.e. weekend and public holidays in Sydney or Melbourne, where bank processing is done), we will debit the amount on the next business day. If you are uncertain when the debit will be processed to your account, you should contact your financial institution directly.

Stopping or cancelling your direct debit 

To cancel your direct debit request, or to stop or defer an individual debit, please call us on 13 1905 or write to us at: 
Reply Paid 4 
RACQ Insurance Limited
Pay by the Month
Springwood Qld 4127

So we can process your request in time, we need this notification at least 14 days prior to the next debit due date. 

Direct debit request service agreement 

You have requested RACQ Insurance (User ID Number 045108) (we or us) debit, through the Bulk Electronic Clearing System (BECS), any payments for your insurance contract(s) that may from time to time become payable from the account nominated in your direct debit request. We advise you: 

a) That direct debiting through BECS may not be available on some accounts. Additional charges may be applied by your financial institution for direct debits.
b) To confirm the account details by checking a recent statement from your financial institution. 
c) That your request must be signed in the same way as the account signing instruction held by your financial institution. 

If you are uncertain about any of these items please check with your bank or financial institution before completing your direct debit request. You are responsible for ensuring that the account or credit card you nominated has sufficient cleared funds available to pay each debit when it becomes due. You must tell us if you close or change the account or credit card you nominated.

If you believe that a debit has not been correctly processed, please call us immediately on 13 1905. If we are unable to help, you should contact your bank or financial institution.

Important information

The information below also forms part of our Product Disclosure Statements.
  •  If you make any changes to your policy which affect your premium, then we may increase or decrease your payment amount in line with your new premium. You may need to make an additional payment.
  •  If your premium changes when we offer to renew your policy, then we may increase or decrease your payment amount in line with your new premium.
  •  When you pay the first instalment, your insurance cover starts from the first day of the period of insurance shown on your Certificate of Insurance.
  •  We continue to deduct monthly payments from your account until you tell us to cancel or change that arrangement. 
  •  If your financial institution rejects a payment request, we will either try to debit the payment from your account again or contact you to arrange another way to pay it. 
  •  The date of our second payment request is fixed and can’t be changed.
  •  If another payment falls due after your financial institution rejects a payment request but before you pay the missed instalment, we may deduct 2 instalments on your next payment date. 
  •  We may cancel the direct debit arrangement if your financial institution rejects:
o One payment request from a credit card account, or 

o Three or more payment requests from any other type of account. 

  •  If your bank account details change, you need to tell us at least 14 days before your next payment date.
  •  If your credit card details change or your credit card is renewed, you must tell us at least two business days before your next payment date.
  •  If a monthly instalment is overdue for 14 days, we may refuse to pay a claim.
  •  If a monthly instalment is overdue for one month, we may immediately cancel your policy. 

We keep all information relating to your account  private and confidential. You consent to us using or releasing your account information to investigate any claims relating to possible incorrect debits. You fully indemnify us against any losses, costs, damages and liability that we suffer as a result of you giving us incorrect or false information in your direct debit request. Your indemnity continues after this agreement is ended.

These arrangements are subject to change.

We will provide 14 days notice of any changes to these terms.

Insurance products (excluding Travel Insurance and the Life and Income Protection Insurance suite of products) are issued by RACQ Insurance Limited ABN 50 009 704 152 (RACQ). Conditions, limits and exclusions apply. This is general advice only and may not be right for you. This information does not take your personal objectives, circumstances or needs into account. Read the PDS, and any applicable Supplementary PDS before making a purchase decision on this product. You can also access our Target Market Determinations on this website.