What is car insurance?

Car insurance is financial protection against unforeseen damage to your vehicle. It can be regarded as a safety net that is there to protect you and offer financial security. This insurance offers protection from incidents such as theft or damage to your car or injuries in the event of a car accident.

In South Africa there are 3 broad car insurance types:

Comprehensive– This covers just about any risk that your car is exposed to. This could include theft, hijacking, damage caused by accidents, fire, hail, water damage etc

Third Party, Fire and Theft– This insurance covers you for when your vehicle is hijacked, stolen or attempted to be stolen.

Third Party Only- This is cover against damage you cause to other vehicles or people when you have an accident.

Policies range in price and cover.

How are car insurance quotes calculated?

Car Insurance premiums are calculated depending on a range of factors, including:

  • The age of your car
  • The model of your car
  • Your age
  • Your marital status
  • Your job
  • How the car is used
  • Where the car is parked
  • How long you have been driving

It’s widely known that older cars (unless they are collectors’ items) may have a cheaper insurance premium than a new car.

By getting car insurance quotes from a range of insurance companies you may be able to make significant savings. Some insurance companies offer discounts to individuals who opt for getting a car insurance quote online.

Other individuals are able to get better car insurance premiums by simply making the necessary car insurance quotes.

It’s always advisable to compare car insurance quotes at least yearly to make sure that you have the right kind of cover for your specific individual needs.