Australia Post announced today it will enter the insurance sector by offering competitively-priced car insurance online and via the phone. Travel and home and contents insurance will also be on offer in the coming months.
As part of its expanding financial services, Australia Post will appeal to customers who are looking for ‘value for money’ insurance from one of Australia’s most trusted brands.
“We know many Australians are looking to move to more competitively-priced insurance but they still want a reputable company behind their policy,” said Group Manager Financial Services Andrew Wiseman.
“Australia Post has the trust and expertise to meet the needs of customers. We already handle 177 million transactions a year and provide financial services for more than 75 financial organisations.”
“For us insurance was a logical next step, we are a well-known brand and we have the expertise in the financial services area. The success of this model overseas gives us real confidence in the future of Australia Post Insurance.”
Other postal organisations offering insurance include France, NZ, Germany, Italy, the UK, Ireland, Singapore and Japan. In the UK, for example, one in every 200 homes and one in 50 cars are insured with UK’s Post Office.
The announcement comes at a time when vehicle owners are reacting to the financial downturn by reassessing their insurance needs.
According to a survey by Newspoll this month, vehicle owners in Australia have been hit by the global financial crisis, with as many as 15 per cent reducing their level of cover, switching to a less expensive product or cancelling their insurance altogether, over the last 12 months.
Australia Post car insurance features a life-time guarantee on all repairs, a Rating 1 protection option, flexible payment terms, choice of repairer, accident hire car option and allows choice of agreed or market value.
It will promote insurance throughout its extensive retail network – the largest in Australia. To take up insurance, customers can pick up a brochure at a participating Australia Post retail outlet, call the hotline or visit the website.
