Queenslanders urged not to set and forget insurance
While rising premiums are putting pressure on household expenses, a recent RACQ survey found insurance remained a priority, with 82% of Queenslanders ranking it as an important purchase compared to other household bills1.
The latest research also revealed almost seven in 10 Queenslanders would rather have peace of mind that their home or car is insured rather than reduce their cover or void their policy due to affordability concerns.
RACQ General Manager Member Assistance Distribution David Harrys said that although many people research insurance when they first purchase a policy, they often do not review it regularly to reflect any changes.
"It's usually at the point of making a claim that people realise their coverage isn't what they expected," Mr Harrys said.
“That’s why it’s so important to check your insurance policy every 12 months, particularly before Queensland’s storm season, which typically begins in October.
“An annual check ensures you have the right type of cover for events like flood, fire and theft, and that your sum insured reflects rising building costs.”
Mr Harrys said contents insurance should also be reviewed regularly, especially after major purchases.
“Online insurance calculators are a great tool for people to do a sense check on how much their home and contents are worth,” Mr Harrys said.
“Concerningly, our survey found more than one in three renters did not see the importance of taking out contents insurance.
“Even though you might not think insurance is worthwhile if you’re renting, household items, like furniture, appliances, electronics, clothing and jewellery can all add up and be costly to replace.”
For those feeling the pinch, Mr Harrys said there were ways to manage insurance costs without risking underinsurance.
“If your premium is putting pressure on your household budget, there are options to reduce costs without cancelling your cover altogether,” he said.
“One option is increasing your excess, which is what you pay when you make a claim.
“Being underinsured can leave you significantly out of pocket, particularly in the event of a total loss or rebuild.”
What you can do to manage your premium:
- Choose a basic excess that suits your individual needs:
- Increasing your excess will reduce your overall premium, however you may incur a higher cost when you lodge a claim
- Decreasing your excess will increase your overall premium, however, may lower your out-of-pocked costs when you lodge a claim
- Review your optional extras and ensure they are suitable to your needs
- Check your sum insured or agreed value amount is right for you and won’t leave you underinsured
- If paying the premium annually in a lump sum is not suitable, you can opt to pay monthly to spread the cost over a 12-month period (an additional admin fee will apply)
Queenslanders are encouraged to check their coverage and calculate their insurance costs via an online calculator.
Find out more about how your insurance premium is calculated.
1Survey findings from RACQ Quarterly Consumer Omnibus, FY26 Q4, n=506
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Things to note
The information in this article has been prepared for general information purposes only and is not intended as legal advice or specific advice to any particular person. Any advice contained in the document is general advice, not intended as legal advice or professional advice and does not take into account any person’s particular circumstances. Before acting on anything based on this advice you should consider its appropriateness to you, having regard to your objectives and needs.
Insurance Products (excluding Travel Insurance) are issued by RACQ Insurance Limited ABN 50 009 704 152 (RACQI) and arranged by RACQ Distribution Services Pty Ltd (RDS) ABN 35 116 361 650, AFSL 567130 and RDS' authorised representatives (including RACQ Operations Pty Ltd ABN 80 009 663 414, AR No. 234978 (RACQO)). Conditions, limits and exclusions apply.
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RDS receives a commission from RACQI for the policies it arranges. RACQO receives fees paid for services it provides to RDS. Further details about remuneration are available on request prior to purchasing.
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RACQ Operations Pty Ltd (ABN 80 009 663 414 AR 000234978) and Members Travel Group Pty Ltd (ABN 45 144 538 803 AR 000432492) are acting as an Authorised Representative of the issuer of the insurance, Tokio Marine & Nichido Fire Insurance Co., Ltd. (ABN 80 000 438 291 AFSL 246 548). Any advice set out above is general in nature only, and does not take into account your objectives, financial situation or needs. Before purchasing any travel products, please consider the RACQ Travel Insurance Product Disclosure Statement (PDS) and the Target Market Determinations (TMDs) that apply to these products. Whilst the PDS outlines the Terms and Conditions of these products, the TMDs outline the intended class of customers that comprise the target market for these travel products. This will allow you to consider which products best suit your objectives, financial situation and needs and consider the products appropriateness to your personal circumstances. TMDs also outline matters involving the distribution and the review of these products. The PDS, Supplementary PDS and TMDs for each travel product can be found here.