Westpac Car Insurance NZ 2026: Review, Quotes, & Claims Process
Westpac is one of New Zealand's largest banks, with over 200 branches nationwide and a history in the country stretching back more than 160 years. Beyond banking, Westpac also offers car, house, contents, and boat insurance through a product called Westpac Home, Contents, Vehicle and Boat Cover, which is arranged by Westpac and underwritten by IAG New Zealand Limited (IAG). Westpac distributes and sells the product; IAG underwrites the policies.
IAG is one of New Zealand's most established general insurers, holding an AA (Very Strong) financial strength rating from S&P Global Ratings. IAG insures roughly one in two New Zealand households across its stable of brands, which also includes AMI, State, and NZI. This review breaks down what Westpac car insurance covers, what a sample quote looks like, how to claim, and whether it offers fair value compared to the wider market.
Important: In late 2025, Westpac announced it will be ending its insurance partnership with IAG and switching to Tower Insurance as its new underwriter from July 2026. Current Westpac/IAG policyholders do not need to take any action, and IAG has confirmed it will continue to underwrite existing policies and offer renewals at expiry. This review covers the current Westpac/IAG product, which remains in effect at the time of writing.
Already have a Westpac policy or a quote in hand? Run a free Quashed Market Scan to compare it against other NZ insurers in under two minutes.
1. What Does Westpac Car Insurance Cover?
Westpac offers three levels of car insurance, all underwritten by IAG under the Westpac Home, Contents, Vehicle and Boat Cover policy wording. Here is what each tier includes.
Feature | Comprehensive | Third Party, Fire & Theft | Third Party Only |
Damage to your own car from accidents, collisions, weather events | Covered (agreed value) | Not covered | Not covered |
Fire and theft cover | Covered (agreed value) | Covered (agreed value) | Not covered |
Legal liability (property damage) | Up to $20 million | Up to $20 million | Up to $20 million |
Legal liability (bodily injury) | Up to $100,000 | Up to $100,000 | Up to $100,000 |
Uninsured motorist (innocent party) protection | Full cover applies (no excess, no-claims bonus protected) | Up to $3,000 | Up to $3,000 |
Windscreen, window glass, and sunroof | Covered, excess free | Not covered | Not covered |
Keys and locks | Up to $1,000 (no excess) | Not included | Not included |
Rental car / alternative transport | Up to 14 days hire vehicle | Not included | Not included |
30-day free look | Yes | Yes | Yes |
Optional Extras
Auto Assist (roadside assistance): Available as an optional add-on for comprehensive cover. Provides 24/7 help with breakdowns, flat tyres, flat batteries, lockouts, and emergency fuel. This covers your vehicle regardless of who is driving it.
Under-25 driver exclusion: You can choose to exclude drivers under 25 from your policy to reduce your premium. Westpac notes this can save up to $100 per year.
Key Policy Detail: Agreed Value vs Sum Insured
On both comprehensive and third party, fire and theft cover, Westpac offers agreed value policies. This means your car is insured for the sum insured shown on your schedule, and that amount is locked in for the policy period regardless of market fluctuations. The difference between the two tiers is what triggers a claim: comprehensive covers all accidental loss, while TPFT covers fire and theft only. Westpac also offers standard (non-agreed value) policies, where the most they will pay is the lesser of the market value and the sum insured. The quotes we obtained were for agreed value policies. For third party only, there is no cover for your own vehicle except through innocent party protection, capped at $3,000. It is important to keep your sum insured up to date at each renewal to avoid being underinsured.
2. What Does Westpac Car Insurance Cost? Real 2026 Quotes
To give you a realistic picture of Westpac's pricing, we obtained quotes directly from the Westpac/IAG quoting platform in April 2026 for the following profile: 2013 Toyota Aqua (hybrid), Auckland, 30-year-old, clean driving history, $600 excess, and $9,000 sum insured (for TPFT and comprehensive).
Quotes
Cover Level | Fortnightly | Annualised |
Comprehensive | $41.20 | $1,071.20 |
Third Party, Fire & Theft | $19.80 | $514.80 |
Third Party Only | $11.73 | $304.98 |
Quotes obtained April 2026 from the Westpac/IAG quoting platform. The quoting system displayed fortnightly premiums only; annualised figures are calculated as fortnightly x 26 for comparison purposes. Actual annual premiums may differ slightly. Your premium will vary based on your vehicle, location, driving history, and excess.
Note on payment frequency: The Westpac policy wording confirms premiums can be paid fortnightly, monthly, or annually. However, the online quoting system only displayed fortnightly pricing at the time of our quote. If you prefer to pay monthly or annually, you may be able to select this during the purchase process or by contacting Westpac on 0800 809 378.
What Do These Numbers Tell Us?
For this profile, comprehensive cover is roughly 3.5 times the cost of third party only and about twice the cost of TPFT. That is a significant jump, and worth considering whether the additional cover justifies the price for a car valued at $9,000.
How does this compare to the market? According to the latest Quashed Index data (Q1 2026), the national average for comprehensive car insurance is $1,267 per year. In Auckland specifically, the average is $1,478 per year. Westpac's annualised comprehensive quote of $1,071.20 comes in below both figures, though it is worth noting that the Quashed Index benchmark is based on a standard driver profile using a $500 excess and the Westpac quote used a $600 excess. A higher excess will reduce the premium, so the comparison is not perfectly like-for-like.
The real question is whether Westpac's pricing is competitive for your specific profile. You can check this by obtaining a quote from Westpac and then comparing it to providers on the Quashed Market Scan. Our market scan takes under two minutes and compares your profile against other NZ insurers, so you can see exactly where Westpac sits.
3. How to Get a Quote from Westpac
Westpac car insurance quotes are generated through IAG's quoting platform. There are three ways to get a quote:
Online: You can get a quote and buy a policy online through the Westpac car insurance page. You do not need to be an existing Westpac banking customer to get a quote online. The process takes a few minutes and requires your vehicle details, address, and driving history.
Phone: Call 0800 809 378 to speak to the Westpac insurance team. Be ready with your vehicle details (make, model, year, registration), your address, and your driving history.
In-branch: Visit any Westpac branch and ask about car insurance. We recommend calling ahead on 0800 809 378 to make an appointment, so someone is available to assist you.
4. How to Make a Claim
Because Westpac car insurance is underwritten by IAG, claims are handled by IAG's dedicated Westpac claims team. Here is the process, based on the Westpac policy wording and claims page:
Step 1: Report the incident. First, ensure everyone is safe. Westpac advises that if anyone is injured, you should report the accident to the police within 24 hours, and if you suspect a crime has been committed, contact the police immediately. Then contact the Westpac/IAG claims team as soon as possible. You can lodge your claim online through the Westpac claims page or call 0800 309 378 (available 24/7).
Step 2: Provide your details. You will need your policy number, details of what happened, information about any other people or vehicles involved, and any photos or documentation of the damage. Take reasonable steps to obtain details of any other person, property, or vehicle involved, and any witnesses.
Step 3: Assessment. Once the claims team has all the information they need, they will assess the claim and decide the best way to advance it. Your claims consultant will contact you with the outcome and next steps. Westpac notes that for eligible claims, repairs may be handled through the AMI MotorHub network, which aims to complete repairs in an average of 3.5 working days.
Step 4: Pay your excess. If your claim is accepted, you pay your excess. The excess shown on your schedule is deducted from the amount of your claim. The policy wording also indicates innocent party protection: if you are involved in an accident caused by the driver of another vehicle, and you can establish their identity and address, and prove to the insurer's satisfaction that the other driver was substantially more at fault, then your excess is waived and your no-claims bonus is not affected.
What Not to Do After an Incident
The Westpac policy wording is clear on several points: do not admit responsibility for any claim situation, or try to negotiate, defend, or settle any alleged liability. Do not dispose of any property involved in a claim without the insurer's prior consent. Do not incur any expense without prior consent, except to minimise the claim. Do not make any fraudulent or untruthful statements in relation to any claim, as the insurer may decline the entire claim and cancel your policy.
Managing Your Policy
For policy changes, questions, or to update your details, call 0800 809 378 (Monday to Friday 7:30am to 6:30pm, Saturday 8:30am to 5pm) or email consumer@iag.co.nz.
5. Pros and Cons of Westpac Car Insurance
Pros
Banking and insurance in one place if you are already a Westpac customer
Backed by IAG (AA S&P rating), New Zealand's largest general insurer, which insures around one in two NZ households
Agreed value available on both comprehensive and third party, fire and theft cover, meaning your payout is set at the sum insured shown on your schedule for the policy period
Excess-free windscreen, window glass, and sunroof cover on comprehensive
Keys and locks cover up to $1,000 on comprehensive, with no excess and no impact on your no-claims bonus
Innocent party protection on all three tiers: up to $3,000 on third party only and TPFT, and excess waived with no-claims bonus protected on comprehensive (where your own damage is already covered)
Up to 14 days hire vehicle on comprehensive while your car is being repaired or remains stolen
30-day free look period on all cover levels, with a full refund if you change your mind
Online quoting and purchasing available to non-Westpac customers
Cons
No roadside assistance included as standard. Auto Assist is an optional extra on comprehensive only, and the cost is not disclosed upfront in the quoting process
The online quoting system only displayed fortnightly premiums during our testing, making it harder to compare with insurers that quote monthly or annually
No online self-service portal for managing your car insurance policy. While you can lodge claims online, policy changes and enquiries must be handled by phone or email.
Hire vehicle benefit requires a $25 per day contribution from you, paid directly to the hire vehicle supplier
Westpac is transitioning to Tower Insurance as its underwriter from July 2026. Existing IAG-backed policies will be honoured and renewed, but the product, pricing, and policy wording may change for new policies or future renewals once Tower takes over.
6. Is Westpac Car Insurance Worth It?
Westpac car insurance is a legitimate product backed by New Zealand's largest general insurer. The policy wording is solid, the cover on comprehensive is competitive (agreed value, excess-free windscreen, keys and locks, hire vehicle), and IAG's AA financial strength rating means claims-paying ability is not a concern.
If you already bank with Westpac and value the convenience of managing your insurance through the same institution, it is a reasonable option. The comprehensive quote we obtained ($1,071.20 annualised at a $600 excess) came in below the national average of $1,267 per year, though direct comparison depends on your specific profile and excess.
That said, convenience does not always equal the best price. Like any single provider, it is worth checking whether another insurer could offer you better value. The only way to know is to compare.
A free Quashed Market Scan checks your profile against other NZ insurers in under two minutes. Based on our latest Q1 2026 data, Kiwis who compared their comprehensive car insurance through the Quashed Market Scan found a cheaper policy 81% of the time, with average savings of $377 per year. If Westpac is already your best deal, the scan will confirm it. If it is not, you will know exactly how much you could save.
Related Reading
AMI vs State Insurance NZ 2026: Car, House & Contents Compared Side by Side. Compare the two biggest IAG brands and see how they stack up.
Comprehensive vs Third Party Fire & Theft vs Third Party (Full NZ Breakdown). A clear breakdown of the three cover tiers and when each makes sense.
How to Find the Cheapest and Best Car Insurance in NZ 2026. Data-backed strategies for balancing price and cover quality.
Average Cost of Car, House, and Contents Insurance in New Zealand. The latest Quashed Index data on what Kiwis are paying across all three policy types.
Cheap Car Insurance NZ 2026: Proven Ways to Lower Your Premium. Practical, proven tips to reduce your car insurance costs without cutting essential cover.
Your Guide to Picking Excess. How to balance premium and out-of-pocket risk when choosing your excess amount.
Frequently Asked Questions
Who underwrites Westpac car insurance in NZ?
Westpac car insurance is underwritten and issued by IAG New Zealand Limited. Westpac arranges the insurance and receives commission payments. IAG holds an AA (Very Strong) financial strength rating from S&P Global Ratings. From July 2026, Tower Insurance will replace IAG as Westpac's underwriter for new policies.
How much does Westpac car insurance cost?
Premiums vary by vehicle, location, driver profile, and excess. As a benchmark, a 2013 Toyota Aqua hybrid in Auckland for a 30-year-old driver with a $600 excess was quoted $41.20 fortnightly for comprehensive ($1,071.20 annualised), $19.80 fortnightly for TPFT ($514.80 annualised), and $11.73 fortnightly for third party only ($304.98 annualised) in April 2026. Use the free Quashed Market Scan to compare Westpac's pricing against other providers for your specific profile.
Can I get a Westpac car insurance quote online?
Yes. You can get a quote and purchase a policy online through the Westpac car insurance page. You do not need an existing Westpac bank account. You can also call 0800 809 378 or visit a Westpac branch.
Does Westpac car insurance include roadside assistance?
Roadside assistance (called Auto Assist) is available as an optional extra on comprehensive cover only. It is not included by default. Contact Westpac on 0800 809 378 to add it to your policy.
How do I claim on Westpac car insurance?
Lodge your claim online through the Westpac claims page or call 0800 309 378 (available 24/7). You will need your policy number, incident details, and any supporting photos or documentation.
Can I pay Westpac car insurance monthly or annually?
The Westpac policy wording confirms premiums can be paid fortnightly, monthly, or annually. The online quoting system displayed fortnightly pricing during our testing, but you may be able to select your preferred payment frequency during the purchase process or by contacting Westpac on 0800 809 378.
What excess do under-25 drivers pay on Westpac car insurance?
The following additional excess charges apply on top of your standard excess: any driver aged under 21 pays an additional $700; any driver who has not held a full NZ driver licence for more than 12 months pays an additional $700; and any driver aged between 21 and 24 pays an additional $450.
What is the difference between Westpac and AMI car insurance?
Both Westpac and AMI are currently underwritten by IAG. While the underwriter is the same, the policy wording, pricing, and included benefits differ. For example, AMI now includes free Roadside Rescue on all comprehensive car insurance policies, while Westpac charges extra for its Auto Assist add-on. Comparing across providers is the best way to ensure you are getting fair value.
Is Westpac switching car insurance to Tower?
Yes. Westpac announced in late 2025 that Tower Insurance will replace IAG as its underwriter from July 2026. Current Westpac/IAG policyholders do not need to take any action. IAG has confirmed it will continue to underwrite existing policies and offer renewals at expiry.
