Types of Car Insurance in SA
Roughly 65 percent of South African motorists don’t have car insurance. That is extremely worrying for the minority who do. What is preventing all these people from assuming responsibility and buying at least the basic cover?
Lets start with an overview of the insurance types. In South Africa, auto insurance cover has three basic forms.
The minimum cover is Third Party. This covers your liability (costs) if you damage someone elses personal property in an automobile accident. This includes other vehicles or structural property that may also be damaged.
You can add to the minimum by purchasing Third Party Fire and Theft. This will cover you in the event that your vehicle is damaged by fire, theft or attempted theft.
Comprehensive Cover is the recommended cover for most South Africans. It includes Third Party Fire and Theft and also covers damage to your own vehicle in an accident that is deemed your fault. It also includes additional coverage such as extending cover when you drive someone elses car.
Other vehicle insurance options are designed to meet the needs of drivers operating in the unique South African driving environments. These include motorcycle cover, off-road comprehensive cover, and caravan cover.
Because South Africa is a high risk insurance environment, premiums can be high. But you can take some steps to lower your premiums.South Africa is often a world leader in traffic injuries and fatalities and the roads are becoming increasingly dangerous. Car theft and hijackings are also all too common.
Start by shopping around and comparing quotes. It is easiest to research your options online, and you may also get a discount if you purchase your policy online depending on the company you decide to work with.
Safe drivers pay lower premiums. If your current carrier will not reward you for claim-free years, check for better rates with another company.
During the purchase of insurance, you should check the maximum amount that you are going to paid if claimed. If this excess amount is high, then premium will also be high. Selection of maximum amount depends on you. It gives you benefit on long run, if you can afford higher excess amount.
If you own an expensive or high performance vehicle, you will pay more for your premiums. These cars cost more to insure because they are considered a higher risk and are expensive to replace or repair. So when you car shop, keep in mind that your insurance premiums will add to the cost of owning the vehicle you choose.
Insurance companies often have minimum security requirements for the vehicles it secures, so if you add security devices that exceed the minimums, you could receive a discounted premium.
Living in high crime areas leaves you at risk for a car theft or high jacking. Considering a possible relocation could bring your premiums down a substantial amount.Parking your car in a safer enviroment such as a locked garage or behind locked gates could also give you a discount.
Don’t be afraid to negoiate a deal with your insurance company, because they are very interested in keeping your business and willing to work out a deal with you.
Tom Martens is the content syndication coordinator for Carinsurancesa.co.za. South Aricas leading car insurance portal.
Because he vowed that he would not return until he was the World Champion!
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Call up icbc
MARTYN AND CRAZY YOU DONT KNOW WHAT YOUR TALKING ABOUT GET YOUR FACTS STRAIGHT.
ICBC.. DO YOU KNOW WHAT IT IS???
Yes, more direct government intervention into markets is obviously the corrct answer. Yes, more like this, please.
My neighbor commutes long distances to his work. He is a very conscientious and safe driver, but he must be punished by government mandated increases to his automobile insurance premiums because he is a CO2 violator. Automobile insurance premium hikes are the obvious and fair way to combat this problem.
Please think before you post.