Australia Post will enter the insurance sector by offering competitively-priced car insurance online and via the phone. Travel and home and contents insurance will be on offer in the coming months.
Australia Post will offer insurance under the Australia Post Insurance brand in conjunction with specialist provider, A&G Insurance Services.
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.
“We know many Australians are looking to move to more competitively-priced insurance but they still want a reputable company behind their policy,” said Andrew Wiseman, group manager financial and agency services said.
“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.”
According to Australia Post, the announcement comes at a time when vehicle owners are reacting to the financial downturn by reassessing their insurance needs.
Australia Post's expansion follows the success of other postal organisations offering insurance in countries such as 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.
It will promote insurance throughout its extensive retail network - the largest in Australia.