Household Insurance Online :: News

Share this news item!

Car Collector Fails in Bid for $122k Insurance Windfall

The information on this website is general in nature and does not take into account your objectives, financial situation, or needs. Consider seeking personal advice from a licensed adviser before acting on any information.

A car enthusiast's efforts to boost his insurance payout from $78,000 to $200,000 after his rare vehicle was destroyed by fire have been thwarted.

The dispute began when the owner's 2005 HSV Coupe GTO Z Series succumbed to flames in March of the previous year. RACQ Insurance accepted the total loss and initially valued the vehicle at $68,000.

However, the unsatisfied owner declined this offer, leading to an independent valuation which described the car as being in “good condition for its age and mileage” despite its 315,000km on the odometer.

Although comparable lower-mileage vehicles were advertised above $81,000, the heavy usage severely reduced its collectible appeal, the independent valuer noted. Conclusively, the evaluator deemed the insurer's offer reasonable.

The car owner contested this, alleging RACQ Insurance's assessment was flawed, particularly regarding the engine type and the car's rarity as one of only 60 manual transmission models, asserting its condition was excellent.

In response, RACQ revised their offer to $78,000 factoring in the vehicle's unique modifications and reconditioned engine, but the claimant stood firm in his refusal.

The Australian Financial Complaints Authority (AFCA), upon review, sided with the insurer. AFCA deemed RACQ Insurance's valuation and the independent assessment to be “logical, well-considered and helpful.”

According to Glass's Guide referenced by the AFCA, the vehicle's maximum estimated market value could not exceed $58,100, considering its age and mileage. Although rare, evidence was insufficient to justify a $200,000 evaluation.

The AFCA stated, “The complainant has not provided persuasive evidence to demonstrate the vehicle's worth is beyond what the insurer offered. Under such conditions, adjusting the settlement upward would not be justifiable.”

Reference: Original findings from the Australian Financial Complaints Authority's ruling were sourced from RACQ Insurance's appeal letter. Read more about the decision here.

Published:Wednesday, 24th Jul 2024
Source: Paige Estritori

Please Note: If this information affects you, seek advice from a licensed professional.

Share this news item:

Insurance News

Envest Group Unveils TLI Underwriting for Heavy Motor Fleets

04 Jan 2026: Paige Estritori

Envest Group, a prominent player in Australia's insurance sector, has announced the launch of TLI Underwriting, a new agency dedicated to providing specialised insurance solutions for large truck fleets. This initiative marks a significant expansion in Envest's offerings, aiming to address the unique challenges faced by substantial fleet operators. - read more

AFCA Mandates Insurer Payout for Overheated Truck Engine Damage

04 Jan 2026: Paige Estritori

The Australian Financial Complaints Authority (AFCA) has recently ruled in favour of a truck owner, ordering an insurer to pay out a claim for engine damage caused by overheating. This decision underscores the critical importance of clear policy terms and the responsibilities of both insurers and policyholders in the claims process. - read more

Insurers Highlight Elevated Road Risks Amid Holiday Freight Surge

04 Jan 2026: Paige Estritori

As the Australian summer school holidays approach, insurers and transport specialists are raising concerns about heightened road risks resulting from the convergence of increased holiday travel and peak freight activity. This period sees a significant uptick in both passenger vehicles and heavy trucks on the roads, amplifying the potential for accidents and necessitating heightened vigilance among all road users. - read more

Australian Super's Claim Delays Raise Concerns Among Members

03 Jan 2026: Paige Estritori

Australian Super, one of the nation's largest superannuation funds, is facing criticism over significant delays in processing insurance claims, particularly those related to income protection and total and permanent disability (TPD). Members have reported prolonged waiting periods, leading to financial hardships and uncertainty. - read more

Club Marine Revamps Commercial Boat Insurance Policies

03 Jan 2026: Paige Estritori

Club Marine, Australia's leading provider of recreational boat insurance, has announced significant enhancements to its commercial boat insurance offerings. This strategic move aims to better align commercial policies with the company's recreational insurance products, providing comprehensive coverage for vessels used in both business operations and occasional leisure activities. - read more

Click for more Insurance News

Household Insurance Articles

Protecting Your Home: The What, Why, and How of Home Insurance

As Australians, our homes are often at the heart of our livelihoods and hold significant emotional and financial value. Protecting this important asset is more than just a precaution; it's a necessary step in safeguarding our future. Home insurance acts as a shield against unpredictable events that can have devastating effects on our property and peace of mind. Whether it's from natural disasters or unforeseen accidents, the significance of home insurance cannot be understated. - read more

Tips and Tricks for Fitting Insurance Premiums into Your Monthly Budget

Understanding the significance of insurance in managing your finances is crucial. It acts as a safeguard, providing a buffer against unexpected losses or damage to your most valuable possessions. However, the costs associated with this necessary protection can be challenging to manage, especially when it comes to fitting insurance premiums into a monthly budget. - read more

Understanding the Basics: What Does Home Insurance Really Cover?

Home insurance is an essential safeguard for homeowners in Australia, acting as a financial shield against unexpected damages and losses. It offers a sense of security, knowing that your largest asset is protected should the unforeseen occur. With the diverse range of natural perils that Australians face, from bushfires to floods, securing a home insurance policy is not just wise but almost indispensable. - read more

How to File a Home Insurance Claim in Australia - A Step by Step Guide

Experiencing damage or loss to your home can be a stressful and overwhelming experience. However, having home insurance provides a safety net for homeowners who need to file a claim. - read more

10 Tips for Lowering Your Home and Contents Insurance Premiums

One of the best ways to lower your home and contents insurance premiums is to shop around for the best deal. Insurance companies often have varying rates, discounts, and offers that could save you a significant amount of money. Start by researching different insurance providers and their policy offerings. Make sure to compare not only pricing but also features, coverages and deductible amounts. - read more

Knowledgebase

Beneficiary:
The person or entity designated to receive the death benefit from a life insurance policy.

This website is owned and operated by Clark Family Pty Ltd (ACN 010 281 008) as Trustee for the Clark Family Trust (ABN 35 957 893 714), 43 Larch Street Tallebudgera QLD 4228. Clark Family Pty Ltd is an Authorised Representative (AR 1298860) of Unique Group Broker Services Pty Ltd (AFSL 509434) for financial product referrals and an Authorised Credit Representative (ACR 401491) of Saccasan Pty Ltd (ACL 386297). Check our licensing details on the ASIC registers: Clark Family Pty Ltd ACR, Clark Family Pty Ltd AR, Saccasan Pty Ltd, Unique Group Broker Services.

IMPORTANT: We do not provide financial product advice or credit assistance. We act solely as an introducer and refer enquiries to licensed third-party intermediaries, insurers, and lenders - with whom you can then deal directly. We may receive a fee or commission from these third parties in consideration for the referral. Before any action is taken to obtain a product or service referred to by this website, advice should be obtained (from either the third party to whom we refer you or from another qualified intermediary) as to the appropriateness of obtaining those products having regard to your objectives, financial situation and needs. Whilst we have our own process for validating the legitimacy of our referral partners, you should always verify the credentials of your financial adviser before proceeding with recommendations that they may present. Visit the ASIC website for further information.