Which Policies Cover Theft
- Comprehensive — covers theft of your car, plus damage caused during a break-in
- Third-party fire and theft — covers theft of your car (and fire damage), but not accident damage from your own driving
- Third-party property damage — does not cover theft of your own car at all
What Happens If Your Car Is Stolen
- Report the theft to police immediately and get a report number — insurers require this to process a claim
- Contact your insurer as soon as possible; most have a claims window and delays can complicate the process
- If the car is recovered damaged, your policy typically covers the repair (or write-off payout) the same as any other claim
- If it's not recovered within a set period (commonly 28-30 days, varying by insurer), it's usually treated as a total loss and paid out at your agreed or market value
New Car Replacement After Theft
Several insurers, including AAMI, offer hire car cover for up to 21 days following theft while your claim is processed, and new car replacement (no kilometre limit for vehicles under two years old with AAMI) if the car is written off or not recovered — worth checking whether your policy includes this before assuming a standard payout is all you'd get.
Reducing Theft Risk (and Sometimes Your Premium)
Parking in a garage or well-lit area, fitting an alarm or immobiliser, and choosing a model with a lower theft rate can all reduce your actual risk — and some insurers factor security features and parking location into the premium they quote.
This page is for educational purposes and isn't personalised financial advice. Premiums, terms and eligibility vary by insurer, state and individual circumstances — always check the Product Disclosure Statement (PDS) before buying.