Other Add-ons

Add-on insurance products have often been sold to consumers through car dealers when purchasing a new or used car. Many of these products provided poor value to consumers.

Examples of these products are as follows:

  • Tyre & Rim;

  • Scratch & Dent; and

  • Mechanical.

These policies are often something consumers did not need or could not claim on. There can also be overlapping cover with comprehensive car insurance.

Australians have paid $42.7 million in Tyre & Rim insurance.¹The average premium for Tyre & Rim insurance is $414.² Customers could receive up to this amount back in refunds plus interest.

¹ ASIC Report 492

² Ibid.

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