Paying for home insurance
How can I pay for my home insurance?
You can pay your Budget Direct home and/or contents insurance premium by direct debit from your bank account, credit card, or debit card.
You can pay fortnightly, monthly or annually (the last option is the most economical).
When is my next premium instalment payment due?
To find out when your next fortnightly or monthly instalment is due:
- Log into your online account
- View your home policy.
- Click on or tap the ‘View/Change Payment Details’ or ‘Payment Details’ button.
Can I delay a home insurance payment?
Yes – you can delay a fortnightly or monthly instalment by up to 14 days, for example if you get a new job and your pay cycle changes; or if you’re temporarily short of funds.
What if I miss a payment?
If you miss a premium payment, we’ll send you a friendly reminder.
To pay your overdue premium, you can:
- click on the link in the SMS we send you and follow the instructions; or
- log into your online account and follow the prompts; or
- contact us.
What happens if I stop paying my home insurance premiums?
If you stop paying your premiums, we’ll send you friendly reminders.
If your premium payment is overdue by 14 days or more, any claim you make can be refused.
If your payment is overdue by a month or more, your policy can be cancelled.
Experiencing financial difficulty? Please call us on 1800 182 310 to discuss your options.
How is the cost of home insurance – the premium – calculated?
When calculating the cost of your insurance premium a number of different factors are taken into consideration. The information we collect about these factors may come from the questions we ask you and other sources.
The premium calculation takes into acount factor such as:
- all relevant government charges, taxes, and levies
- any optional covers you choose
- any previous claims
- people who live in your home
- the amount of your excess
- the location and characteristics of your home
- the security features you have
- your nominated sum insured
- any discounts that may apply
- whether you choose to pay by instalments or yearly
- the cost of claims we have paid to other customers and claims we expect to pay in the future
- our cost of doing business and other commercial factors.
In addition to these examples above, when renewing your policy, the premium on your renewal offer can also take into considerations factors such as:
- changes to your circumstances, including any claims made
- any amendments you have made, or changes to your sum insured
- external factors such as changes to labour, materials, and reinsurance costs
- any discounts, including those that were previously applied that no longer apply
- last year's premium amount
- changes in applicable government charges, taxes, or levies.
How can I get cheaper home insurance?
There are several ways you can reduce your Budget Direct home and/or contents insurance premium, including:
- Selecting the right level of cover: Our range of optional covers means you only have to pay for the insurance you need.
- Buying your policy online: If you get a quote and buy a policy online, you’ll receive a 15% (home or contents) or 30% (combined home and contents) discount on your first year's premium.
- Increasing your excess: Choose an excess between $100 and $5,000; by increasing your excess, you could lower your premium. Always choose an excess you’ll be comfortable to pay at claim time.
- Paying your premium annually: By paying annually instead of in instalments (i.e. fortnightly or monthly), you’ll pay a lower premium and avoid instalment processing fees.
