Victorian motorists are driving less than their interstate counterparts, with an increased shift to work from home and staying in local neighbourhoods following the Covid pandemic, new Bupa Car Insurance data reveals.
The number of motorists choosing to limit their driving below 15,000km a year has steadily increased from 57% in 2022 to more than 75% of all new policies purchased in 2024, with the average being 8,400km.
The data, based on Bupa Car Insurance Pay As You Drive policies, also shows the cars sitting idle the most following changing driver behaviour with the Toyota Corolla, Mazda 3, Hyundai i30, Honda Civic and Nissan X-Trail all making the top 10 list.
Victoria has the highest number of policies choosing to limit their kilometres below 15,000, followed by South Australia, Queensland and New South Wales.
Drivers aged 30-39 were the most common age group to take out Pay As You Drive car insurance, which allows motorists to save money on annual policies by insuring themselves for only the kilometres they drive.
Bupa Car Insurance General Manager Lachlan Davidson said more than 75% of policies taken out nationally in 2024 had drivers limiting how many kilometres people were driving, reflecting current lifestyle trends.
“The pandemic changed many things about the way we live including working from home, driving less, staying closer to home and being more active,” Mr Davidson said.
“With Australians continuing to face cost-of-living challenges, many are finding Pay As You Drive cover affordable, while knowing they are covered should something happen.
“They can often be up to 30 per cent cheaper than traditional unlimited kilometre policies by simply limiting the number of kilometres you drive.
“We expect Pay As You Drive will continue to grow in popularity given its flexibility and that it is meeting the needs of today’s drivers.
“We know our customers want to save money on insurance premiums, and this is one way that just like your water or energy bill, you only pay for what you use.”
States where motorists are limiting their drive
- Victoria
- South Australia
- Queensland
- New South Wales
- Western Australia
- Tasmania
- Northern Territory
- ACT
*Based off Bupa Car Insurance Pay As Your Drive Policies purchased between Jan-Sep 2024
Most common cars insured for Pay As You Drive
- Toyota Corolla
- Mazda 3
- Hyundai i30
- Toyota Camry
- Mazda CX-5
- Nissan X-Trail
- Toyota RAV4
- Honda Civic
- Holden Commodore
- Honda CR-V
*Based off Bupa Car Insurance Pay As Your Drive Policies purchased between Jan-Sep 2024
ENDS
For more information, please contact:
Aleks Devic
Head of Media (Health Insurance) and Content
Email: aleks.devic@bupa.com.au
About Bupa Asia Pacific
Bupa is an international healthcare group which has been committed to a purpose of helping people live longer, healthier, happier lives and making a better world for more than 70 years.
Bupa Asia Pacific operates in Australia, New Zealand and Hong Kong, supporting about 7.3 million customers through a broad range of health and care services including health insurance, aged care, dental, medical, optical and hearing services.
Employing more than 22,000 people in the region, we believe that we can make a real difference to the lives of customers through our values, purpose and the way that we deliver personalised care.
Over the past 17+ years we have invested more than AUD$36 million in partnerships and programs focused on improving health of communities across Australia.
