Many Penrith motorists are paying way more for their motor insurance than they should. According to the Australian Bureau of Statistics, 20% of Penrith residents work in the Penrith area and as a result travel, on average, 34% less than the rest of Australia.

 

Says Roger Grobler, CEO of Real Insurance: “Of those Penrith residents commuting to work outside of the Penrith area 12% drive to public transport.

 

“The double whammy of those Penrith residents who travel 34% less than the rest of Australia and those taking public transport means that there are a lot of motorists in the area who, in some instances, could be saving as much as 50% on their annual car insurance premiums.

 

“Furthermore, three out of five Penrith households have more than one car and one suburb in particular; Orchard Hills has the highest multi-car ownerships per household in the Sydney Metropolitan region. 

 

“This means that if you live in Penrith, currently drive less than the norm for your demographic profile or you are using one of your cars less than the average, you are probably paying the same as those who drive more – effectively subsidising their premiums.

 

“If you do fit into this category you would far better off exploring pay-as-you-drive insurance whereby you only pay for the kilometres you drive,” says Grobler.

 

Pay-as-you-drive motor insurance only works for those people who drive less than the average for their area and their demographic profile compared to their peers.

 

Grobler gives the example of a 48 year old male living in Penrith who could save up to $474 a year by going onto a pay-as-you-drive policy.  He drives a 20009 Holden Commodore Omega Sedan Auto and he would traditionally pay motor insurance of around $701 per annum. On Real Insurance’s Pay-As-You-Drive he would pay $403 for 5,000km, $ 431 for 7,000kms or $474 for 10,000kms of insurance purchased.