Prime Cover Refunds

Frequently Asked Questions

If you have recently received communication from RACV regarding a refund for your Prime Cover insurance, you can refer to the Frequently Asked Questions below or contact our dedicated team for more information. Our team is available over the phone on 1300 339 489 between 8.30am and 5.00pm Monday to Friday.

How did this happen?

The error happened because a premium reduction you were entitled to was not fully applied. When one or more policy holders reached the age of 50, we should have applied a reduced premium. However, we did not apply this reduction for some members. 

Will this error happen again?

Whilst we will no longer be offering the benefit of a reduced premium at the age of 50 for our home insurance policies, age is a consideration when calculating premiums and we will continue to offer competitive pricing and other benefits. 

How did you calculate the refunds?

Your premium has been re-calculated to determine the difference between what you paid and what you should have paid. This includes adjustment of relevant government charges plus interest. This is to put you back in the position you would have been in had the error not occurred.

How was the interest calculated?

The interest portion of the refund is determined by the length of time the reduced premium was not applied to your policy when it should have been, and has been calculated using a compounding formula. The interest rate we applied is in line with the Australian Financial Complaints Authority’s (AFCA) approach to calculating interest on refunds paid to customers. It has been calculated from the date you were overcharged until at least the date of refund payment.

Over what period was this review conducted?

We identified the error in early 2020 and conducted the review going back for at least 7 years. We will provide a refund for each year we found that your policies were impacted by this error. 

What if I want to make a complaint?

RACV is committed to a high level of service delivery to our members. If you are dissatisfied with our service in any way, contact us on 1300 339 489

If your complaint is not resolved to your satisfaction, you can lodge a complaint with the Australian Financial Complaints Authority (AFCA). AFCA provides a fair and independent complaint resolution that is free. Complaints to AFCA can be made by calling 1800 931 678 or via email to