Understanding Car Insurance in South Africa
As a driver on South African roads, it’s essential to have car insurance. Statistics say that there are about 10 million cars on the roads and only a third of these are insured. With the poor condition of some roads and the chance of being involved in a car accident increasing with each new driver, you’ll do well to make sure that you are sufficiently insured.
The first step towards understanding car insurance in South Africa involves learning more about the different types of car insurance cover that is available.
Type of car insurance in South Africa:
Comprehensive car insurance is the most extensive type of cover. You are covered for theft and hijacking, accidents, fire and natural disasters. You are basically covered for all eventualities.
Third Party, Fire and Theft car insurance is similar to comprehensive cover, but it does not provide cover for accidental damage to your vehicle.
Third Party only cover only provides cover for any damage you may cause to someone else’s vehicle.
How much does it cost?
The cost of car insurance in South Africa is a common reason cited for the lack of interest from many motorists. The reality is that the cost is based on a range of individual factors, including:
- The type of car your drive
- Your age
- Your driving history
- Your claims history
- Where you live
- What you use the car for
Additional factors that come into play include the cost of repairs for the type of car you drive, as well as your car’s replacement value.
There are also ways to lower your car insurance premiums:
- Build a good driving history
- Don’t drink and drive
- Keep in mind that if you buy a vehicle with a high theft rate, your premiums will be higher
- Don’t be afraid to compare
- Look for discounts on bundled policies