Most of us have car insurance, but do you know what cover you have? You may know who your insurer is, but do you know what you are covered for in the event of an accident.
Getting an experienced broker like EU Brokers can help explain car insurance in South Africa and what you are covered for.
Car Insurance in South Africa: Cover Options
There are multiple covers to suit your needs. These do differ from insurer to insurer. It is also important to take note of what type of insurance is required if you are financing the vehicle.
Third-Party Cover – This cover covers the third party (i.e. other cars) in the event of an accident. Depending on your cover this can include damage to buildings and people as well. This is a very important insurance to keep as it can help you stay out of trouble if you mistakenly bump a Ferrari! Some insurers do put a limit on third party cover, and this is something you should discuss with your Financial Advisor or Insurance Broker.
Collision, Fire & Damage Cover – This is the cover for your own vehicle in the event of damage or a collision. This amount will cover the repairs of your vehicle or as stipulated in your insurance contract. It is important to note road and driver restrictions as this can play a major role in the price of your cover.
Good In Transit – This is one people don’t often know about. This is the cover for your stuff in your car such as your sell phone, laptop, or sports equipment being carried. This is an extra often found in car insurances. It is important to note what type of items are covered at some insurers do not cover electronics for example.
Theft Cover – this is as it says. If someone steals your car, they will help you recover it and/or pay you out. This is dependent on your cover.
Personal Liability – this cover is for yourself and others in the car. This will cover you and/or them in the event of injury, disability or death.
A lot of these cover options are bundled into one contract or product such as Comprehensive car insurance or Theft, Fire & Third-Party Cover. However, it is important to read through your contract and understand what is and is not included in the cover.
Get a Broker!
A broker is the best person to analyse and match your needs to the best product for you. They can also help find the right price and cover option to suit your needs.