Best Car Insurance for Drivers with Bad History in Australia (2025 Guide)

For many Australians, finding affordable car insurance for drivers with bad history can feel impossible. If you’ve been in multiple accidents, had previous claims, licence suspensions, or even a DUI, insurers see you as a high‑risk driver — and premiums reflect that.

But even with a poor driving record, you can get insured, and there are smart strategies to lower your costs.

In this guide, you’ll learn everything you need to know about securing car insurance with a bad history in Australia. We’ll cover the best insurers, what they offer, how much you might pay, and practical tips to improve your chances of getting affordable cover.

Why Is It Hard to Get Car Insurance with a Bad History?

Insurers use your past behaviour to predict how risky you are to insure. When your record shows claims, traffic violations, or cancellations, it signals a higher likelihood of future claims — which costs them money.

Examples of what insurers consider “bad history”:

• Multiple at‑fault accidents

• Frequent claims

• Speeding tickets and traffic offences

• Licence suspension or cancellation

• Drink‑driving (DUI) or dangerous driving charges

• Insurance policy cancellations due to fraud or non‑payment

But having a bad record doesn’t mean you’ll be denied outright. It usually means you’ll pay more, or have fewer insurers willing to cover you.

How Much Does Car Insurance for Drivers with Bad History Cost?

In Australia, drivers with clean records might pay between $800 and $1,500/year for comprehensive car insurance.

With a bad history, expect to pay anywhere from $1,800 to $5,000/year, depending on:

• The severity and recency of your offences

• The type of offences (a DUI is worse than a minor speeding ticket)

• The insurer’s appetite for high‑risk drivers

• Your vehicle type and value

• Where you live and park your car

Some insurers specialise in covering high‑risk drivers at more competitive rates.

Best Car Insurance Providers for Drivers with Bad History in Australia (2025)

Below are insurers and brokers that are more open to working with high‑risk drivers in Australia.

1. Shannons Insurance

• Why it’s good: More flexible towards drivers with classic cars and imperfect histories.

• Average cost: $2,000 – $4,500/year

• Key benefits:

  • Case‑by‑case assessment

  • Will consider older drivers and enthusiasts

  • Flexible policies

2. Youi

• Why it’s good: They personalise quotes and ask detailed questions to get a fairer premium.

• Average cost: $2,200 – $4,000/year

• Key benefits:

  • Customised cover

  • Some tolerance for minor offences

  • Discounts if you can demonstrate changed behaviour

3. RAA Insurance (South Australia)

• Why it’s good: Known to consider higher‑risk applicants.

• Average cost: $2,000 – $3,800/year

• Key benefits:

  • Local expertise

  • Flexible excess options

  • Roadside assist available

4. Specialist Brokers (like Austcover or MGA)

• Why they’re good: They access underwriters who specifically work with high‑risk cases.

• Average cost: $2,500 – $5,000/year

• Key benefits:

  • Broader market access

  • Advocate on your behalf

  • Tailored solutions

5. Bingle

• Why it’s good: Basic, affordable cover if you have only minor issues on your record.

• Average cost: $1,800 – $3,500/year

• Key benefits:

  • Online‑only, budget‑friendly

  • Fewer questions asked

  • No‑frills policies

Summary Table: Best Car Insurance Providers for Drivers with Bad History in Australia (2025)

How to Improve Your Chances of Getting Insured

Even if your record isn’t perfect, there are steps you can take to make insurers more willing to cover you and reduce your premium.

Prove Improved Behaviour

• Complete a defensive driving course.

• Provide proof of attending a drink‑driving rehabilitation program (if applicable).

• Show a clean record for the last 1–2 years.

Opt for a Higher Excess

Agreeing to pay a higher excess (the amount you pay if you claim) can lower your annual premium.

Drive a Cheaper, Safer Car

Insurers charge less to insure cars that are:

• Older but still safe.

• Lower market value.

• Equipped with safety features (like airbags, ABS, immobiliser).

Reduce Kilometres Driven

Low‑kilometre drivers can often access special policies or discounts.

Shop Around

Some insurers are more forgiving than others. Always get at least 3–4 quotes before deciding.

Why Some Insurers Decline Coverage

If you’ve been refused insurance before, it may be because of:

• Too many claims in a short period.

• Serious criminal charges or fraud.

• Non‑payment of previous premiums.

• Being dishonest on your application.

Be upfront about your history — withholding information can lead to cancellation.

What Coverage Options Are Available?

You can still choose between:

• Comprehensive: Protects your car, others’ property, and more.

• Third Party Property: Cheaper, but only covers others’ property.

• Third Party Fire & Theft: Adds protection if your car is stolen or burns.

For high‑risk drivers, comprehensive might be more expensive but worth it for full protection.

What to Look For in a Policy

When comparing policies:

• Look for insurers that specialise in high‑risk drivers.

• Read the Product Disclosure Statement (PDS) carefully.

• Check what’s excluded — some won’t cover drivers with certain offences.

• Look at customer service and claims experience.

What You Should Do Next

• Gather your driving history, including offences and claims.

• Request quotes from at least three insurers listed in this guide.

• Be honest about your record to avoid policy cancellation later.

• Consider speaking with a broker if direct insurers decline your application.

Frequently Asked Questions

1. Can I still get car insurance with a DUI on my record?

Yes, but you may need to go through a broker or specialist insurer, and premiums will be higher.

2. How long does a bad driving record affect my premium?

Most insurers look at the past 3–5 years. If you keep a clean record, your premium can drop over time.

3. Will all insurers cover me if I’ve had my licence suspended?

Not all. Some may refuse outright, but others (like brokers) can find options for you.

4. Does it help if I drive an older, cheaper car?

Yes. Insurers may charge less for vehicles that cost less to repair or replace.

5. Should I tell the insurer everything about my record?

Yes. Being honest avoids issues with claims later. If they find out you hid details, they can deny coverage.

6. Are there discounts available for high‑risk drivers?

Some insurers still offer discounts for low kilometres, paying annually, or bundling policies.

7. Can I switch insurers if I find a better deal?

Yes. But be sure the new policy accepts your history before cancelling your current one.

8. Is third‑party insurance a good option?

If your car isn’t worth much, third‑party cover can still protect you from large liabilities at a lower cost.

9. Can I use a broker to find insurance?

Absolutely. Brokers often have access to underwriters who specialise in high‑risk policies.

10. What happens if I don’t disclose my full history?

The insurer may refuse your claim or cancel your policy for non‑disclosure.

Final Thoughts: Car Insurance for Drivers with Bad History in Australia

Even with a poor driving record, you still have options for car insurance in Australia. While you might pay more initially, there are insurers and brokers who understand your situation and can offer you fair coverage.

By comparing quotes, being honest, and showing improved driving behaviour, you can find a policy that protects you without breaking your budget — and over time, your premiums can decrease as your record improves.

Take the next steps today:

• Collect your driving and claims history.

• Get quotes from the insurers and brokers listed here.

• Choose a policy that balances affordability and protection.

Remember, the sooner you secure the right policy, the sooner you’re protected on the road — and on your way to rebuilding your driving reputation.