Home and contents policy prices in Australia’s largest cities have increased 22.8% in the past year, according to Compare the Market’s new General Insurance Quote Index.  

The index – based on quotes from 14 of the country’s biggest insurance brands, both on and off the comparator’s panel – shows the average premium for a capital city four-bedroom home is $2833, a $535 increase on last September.  

The most significant rise was in Melbourne, where premiums grew 26.5% to $2590. Households in Sydney, Adelaide, Brisbane and Perth had premium increases greater than 20%.

The average comprehensive car insurance quote in the five capital cities was up about $311 compared with last year. The largest increases were in Adelaide and Perth, up 19.6%.  

The figures are for a 30-year-old male driving a 2020 Toyota Corolla.  

Compare the Market says the results show how economic inflation, material and labour expenses, and reinsurance costs have “taken a toll” on premiums.  

“On average, hundreds of dollars have been added to quoted premiums in the past 12 months,” economic director David Koch said.

“We monitor new advertised rates, but the situation could be even worse for customers who receive renewal notices after holding a policy for several years.”  

He says policyholders should shop around, and “a few quick checks could potentially save you thousands of dollars”.

See the report here.