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What to look for when buying car insurance

When you’ve found a set of wheels it’s important to sort out your car insurance before you hit the road.

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What is car insurance?

Car insurance falls into a few different categories - Comprehensive, Third party fire and theft, and Third party cover. You choose how much cover you need. When you’re comparing policies, make sure you check the policy wordings for more details.

We’ve put together some general information to help you choose what policy is right for your needs. It’s important to do your own research so that you can choose the right policy for you.

Comprehensive

Covers your car and the damage you may do to others. Additionally, it covers damage done to your car by uninsured vehicles.

If you have an accident and you want your car repaired, comprehensive is the only policy that covers this. Most of our customers choose comprehensive cover.

Third party fire and theft

Covers your car if it's stolen or damaged in a fire. It also covers you for damage you may cause to other people's car or property.

There is limited coverage if your car is damaged by an uninsured vehicle, and no cover for your car for accidental loss or damage if you are at fault. It's a lower level of cover which means the cost of this insurance will be less than Comprehensive cover.

Third party

This is the minimum (and also cheapest) level of cover available. It covers damage your car causes to other people's car or property.

Often mistaken for low value vehicle insurance, it's important to remember that if an accident occurs this covers the costs for other people's repairs which can be expensive.

Things to consider

Agreed value

Agreed value is a sum you choose to insure your car for at the time you buy your policy. Your agreed value is typically locked in for 12 months but it's not fixed for life. As the value of your car will change over time, at each renewal your insurer may change the agreed value of your insurance to reflect this.

Market value

Market value is insuring your car for the amount it is worth at the time you claim, in the event of total loss. It is worked out by a registered valuer, based on factors like type of car, mileage, and condition. Market value is often slightly cheaper than agreed value but it's a personal preference. Some insurers may not offer both covers.

Where do you drive your car?

Do you drive around the city or are you driving on unsealed roads? Consider taking out windscreen excess buyout cover as you may be more prone to getting chips in your windscreen.

Using you car for business?

Our private car policies cover you for driving to work, but won't cover using your car for work. Our Commercial vehicle insurance might be right for you if you're an on-road salesperson or tradesperson.

Your excess

The excess is the amount you'll pay if you make a claim. The higher your excess, the lower your premium will be, and vice versa. It's important to choose an excess amount that you can pay should an event happen that requires a claim.

Keeping your cover up to date

It's important to let your insurer know if your circumstances change to keep your cover up to date, for example:

  • If you move to a new house
  • If you want to change the main driver of your vehicle or your level of cover
  • If you modify the appearance or performance of your car

Check with your insurer if you're unsure and make sure you read your policy wording for full details.

Tower's car insurance policies include

This is a summary only. For all of these benefits, please make sure you read the policy wording to understand the terms, conditions, limits and exclusions that may apply.

Comprehensive

Third party, fire and theft

Third party

Earn Airpoints Dollars 
You’ll receive 1 Airpoint Dollar™ for every $100 you spend on your premium each year when you purchase or renew your policy. Ts&Cs apply.
Earn Airpoints Dollars
Earn Airpoints Dollars
Earn Airpoints Dollars
Damage by an uninsured vehicle 
We'll repair your car if it's damaged by an uninsured vehicle for comprehensive covers. For third party fire and theft and third party covers we'll repair your car if you can identify the person at fault and the fault was at least 50% theirs.
Damage by an uninsured vehicle
Damage by an uninsured vehicle Up to $4,000
Damage by an uninsured vehicle Up to $4,000
Damaging someone else’s car or other property 
If you're in an accident and you cause damage to someone else's car or property, we'll cover you for your legal liability to repair it.
Damaging someone else’s car or other property
Damaging someone else’s car or other property
Damaging someone else’s car or other property
Claims that were not your fault 
You’ll keep your no claims bonus and you won’t pay an excess if you’vebeen involved in an accident during the period of insurance, and 1. you’ve identified the party at fault (name, phone number, and registration number of that other party’s vehicle), and 2. we’re satisfied that the other party was more than 50% at fault.
Claims that were not your fault
Claims that were not your fault
Claims that were not your fault
Towing 
We’ll pay for removing your car to the nearest repairer or place of safety if it can’t be driven after a loss covered under this policy.
Towing
Towing
Towing
Fire damage and theft 
We’ll cover your car if it’s damaged by fire, stolen or someone attempted to steal it.
Fire damage and theft
Fire damage and theft
Fire damage and theft
Natural disasters 
We’ll pay for natural disaster damage to your car during theperiod of insurance.
Natural disasters
Natural disasters
Natural disasters
Repair guarantee 
If you use one of our recommended repairers for your car claim, we’ll guarantee the repairs for life.
Repair guarantee
Repair guarantee
Repair guarantee
Replacement and additional cars 
If you replace your car or buy a new one, we’ll automatically cover it for 14 days. If you paid more than $125,000 for the car, this benefit doesn’t apply, so please call us to arrange insurance before you purchase the replacement car.
Replacement and additional cars
Replacement and additional cars
Replacement and additional cars
Child car seats 
Cover for child car seats if they’re damaged in a car accident, or while they’re stored at home.
Child car seats Up to $750
Child car seats Up to $500
Child car seats
Transport costs 
We’ll cover your travel and accommodation expenses to complete your journey or return home after an accident, or if your vehicle is stolen.
Transport costs Up to $500
Transport costs Up to $250
Transport costs
Lost or stolen keys 
We’ll replace your keys or remotes if they’re lost, stolen or you think they’ve been illegally duplicated, and you won’t have to pay any excess for the first claim.
Lost or stolen keys Up to $1,000, excess free
Lost or stolen keys
Lost or stolen keys
Two year replacement from new 
We'll replace your car with a new car of the same make, model and variant, (for example a Toyota Corolla GX) subject to current availability if your car becomes a total loss.
Two year replacement from new
Two year replacement from new
Two year replacement from new
Pay only one excess 
Pay only one excess when claiming on multiple policies for a single incident at the same address.
Pay only one excess
Pay only one excess
Pay only one excess
No claims bonus 
If you haven’t had a claim with us (or another insurer) during the last year of your insurance, you’ll receive a discount on your premium.
No claims bonus
No claims bonus
No claims bonus
OPTIONAL BENEFITS
OPTIONAL BENEFITS
OPTIONAL BENEFITS
OPTIONAL BENEFITS
RoadWise® roadside assistance 
Our 24/7 roadside assistance service covers the car, not the person, so anyone driving the car can use it across NZ. It includes three free call-outs per year. Learn more
RoadWise® roadside assistance
RoadWise® roadside assistance
RoadWise® roadside assistance
Windscreen excess buyout 
Windscreen and window glass are automatically covered, but if you choose this benefit, you won’t have to pay any excess for any windscreen claims.
Windscreen excess buyout
Windscreen excess buyout
Windscreen excess buyout
Rental car 
If your car is stolen or undriveable after an accident, we’ll cover the cost of hiring and insuring a similar car.
Rental car Up to $1,000
Rental car Up to $750
Rental car
Policy wording
Download Policy wording
Download Policy wording
Download Policy wording
Learn more
Learn more
Learn more
Get a quote
Get a quote
Get a quote

Extra ways we reward you

Earn Airpoints Dollars™ every year

You’ll receive 1 Airpoints Dollar™ for every $100 you spend on your premium each year when you purchase or renew your policy.
Ts&Cs apply.
Find out more

Save up to 20% with our multi-policy discount

You can save up to 20% when you buy multiple car, house, contents, landlord or boat policies.
Ts&Cs apply.
Find out more

Save on your excess with GoCarma

Save up to $300 on your car insurance excess with GoCarma. The safer you drive the more you can save. Download the app today.
Ts&Cs apply.
Find out more

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