With South Africa’s high accident and car-theft rate, you simply have to make sure your vehicle is insured even if it’s a no frills car insurance plan.
The South African Insurance Association says that only about 35% of road users in South Africa are insured.
However, insurance is expensive, and insurance companies have strict terms, conditions, and exclusions attached to each policy.
So how do you find a basic, no-frills car insurance? How do you find insurance that will give you some peace of mind when you’re out on these busy highways?
Types of car Insurance and no frills car insurance
Comprehensive Cover is the most expensive, but also has the widest cover. All damages caused by accident, theft, or the hi-jacking of your vehicle is part of the policy. Comprehensive also covers any damage and injuries to other parties involved in the crash.
Third Party, Fire, and Theft covers theft of a vehicle, damage, and injuries to other people and property involved in the accident but does not cover the damage to your car when you are involved in an accident.
Third Party Only pays out accident damage to other parties or property and is the closest you can get to no frills car insurance.
Some Things that will influence your car Insurance premiums
- Because of inflation, labour, and the cost of importing parts, some vehicles cost much more to repair.
- As far as theft is concerned, some vehicles are typically high-risk compared to others.
- Airbags might push the premiums up, as they are more expensive to replace.
- If the vehicle is old, contrary to popular belief, your premiums may be higher than a newer model because there is difficulty in getting spare parts for older cars.
- Sporty vehicles have higher premiums as the drivers are usually young and less responsible. They are often unable to handle the power and speed of these engines.
- Having tracking devices installed may lower your premiums.
- Your location will also play a part in reducing your premiums. Do you live in a security estate? Are you residing in an area where there is a lot of criminal activity?
- Is your car parked in a locked garage?
- First-time drivers are penalised with higher premiums until they can prove they are safe and responsible drivers.
- People older than 25 get a discount on their premiums as they have more driving experience.
- Your premiums will also be dependent on the amounts of excess you have negotiated. The higher the excess, the lower the premiums.
- Cars used for business or delivery purposes usually have higher premiums.
Tips towards No-Frills Car Insurance
- Make sure you have a good driving record, with no accidents and no convictions
- Don’t drink and then drive.
- Choose a vehicle that doesn’t have a high risk of theft
- Select a vehicle with good security features
- Shop around for good insurance quotes
- Look for cash-back benefits that reward you for being a good driver, and for not claiming
Arrive Alive explains to you how to go about looking for no frills car insurance. They tell you that if you consider yourself a good driver who hasn’t claimed on their insurance, you should be able to find cover where you don’t have to pay for all the unnecessary stuff.
To request a car insurance quote, please complete and submit the form on this page