All You Need to Know About Car Transport Insurance in Australia

When transporting your vehicle interstate, it’s essential to understand the role of car transport insurance and how it protects your vehicle throughout the journey. In Australia, many people see their car as their second most valuable asset after their home so it only makes sense to ensure it’s properly covered during transport.

However, not all customers realise that insurance coverage can vary significantly when your vehicle is loaded onto a transport truck.

Below is a helpful breakdown of what you need to know about Australian car transport insurance, from your responsibilities to what to expect from your provider.

Note: This is a general approach and each carrier and service company handle things differently.

• Reputable Australian car transport companies are required to hold public liability and transit insurance, and should provide proof upon request.
• Most insurance policies exclude loss or damage to belongings left inside the vehicle, so it’s best to remove all personal items before shipping.
• Take detailed, time-stamped photos and be present during the pre-transport inspection to support any future damage claims.

Understanding the Role of Car Transport Insurance

Insurance, at its core, provides protection against damage or loss that occurs during your car’s journey. If something goes wrong, whether it’s accidental damage, a fire, or an unexpected incident during transit, insurance ensures that repairs or replacements are covered by the responsible party, not by you.

However, it’s important to understand the limitations of this coverage and how it differs from your everyday car insurance.

1. Proof of Insurance is Mandatory

Every reputable Australian car transport company is required to hold valid insurance coverage. This includes public liability insurance and goods-in-transit cover, among others. Always request to see proof of insurance before committing to a booking.

A reliable company will gladly provide documentation outlining their level of cover, helping you make an informed decision.

2. Always Request a Written Agreement

When booking a transport service, be sure to obtain written confirmation of the terms, especially if anything discussed is outside the standard service contract. This can include things like delivery timelines, handling of non-standard vehicles, or any inclusions such as additional insurance options.

Having written proof protects you in the event of a dispute or unexpected damage claim.

3. Check with Your Personal Car Insurance Provider

While most carriers have their own insurance, some vehicle owners assume their personal car insurance automatically covers transport-related damage, but this isn’t always the case. It’s a good idea to contact your insurer to ask whether your policy offers cover during vehicle transit.

If it doesn’t, you may wish to explore additional cover either through your transport provider or an external insurer.

4. Empty Your Vehicle Before Transit

Most carriers  and their insurers won’t cover the loss of personal belongings left inside the vehicle during transport. To avoid disputes or risk of theft, remove all loose items from the cabin and boot. This includes electronics, documents, or accessories that aren’t securely mounted.

An empty vehicle is safer, lighter, and easier to inspect before and after the journey.

5. Conduct a Pre-Transport Inspection

Prior to collection, a professional transport company should complete a condition report detailing any existing scratches, dents, or damage. It’s best to be present for this inspection and take your own time-stamped photos of the vehicle from multiple angles. These photos serve as proof of condition if you need to lodge a claim later on.

6. Know What’s Covered and What Isn’t

Transport insurance typically covers:

• Physical damage caused during loading, transit, or unloading
  
• Theft or vandalism that occurs while the car is in the carrier’s possession
  
• Accidents caused by the transport vehicle
  

It usually doesn’t cover:

• Pre-existing damage
  
• Mechanical faults or wear and tear
  
• Loss of personal belongings
  
• Cosmetic blemishes not directly caused by transit
  

Knowing these limitations helps set clear expectations and ensures you’re not caught off guard.

Ready to Protect Your Vehicle During Transport?

Car transport insurance is a critical part of any vehicle relocation process, and understanding how it works can save you from stress, delays, and financial loss. The key takeaway? Always ask the right questions, inspect your car thoroughly, and work with a reputable provider who is upfront about their insurance policies.

At Car Transport Express, we ensure your vehicle is moved safely, securely, and with full transparency. If you have any questions or want tailored advice, feel free to reach out. We’re here to help make your car transport experience smooth and secure.