More than 70% of Cars in South Africa are Uninsured

    July 31, 2016

    Not only are there more than 70% of South Africa’s cars uninsured, but there are also thousands of unlicensed drivers on the roads.

    Clueless drivers are precisely why South Africa’s roads rate amongst the deadliest in the world. If you read the newspapers, you’ll see that traffic officers bust these unlicensed drivers and then what? They pay a small fine and simply take to the roads again. Add to the fact that it’s not mandatory to insure your car.

    Uninsured drivers and unlicensed drivers in South Africa couldn’t care less 

    Uninsured

    A ‘couldn’t care less’ attitude is why there is so much road rage in South Africa, because when uninsured people smash into your car, and they’re unemployed, you can wave goodbye to getting any money from them.

    If you are driving an uninsured car, the Automobile Association does its duty to warn motorists of the negative consequences of being uninsured. If you’re unemployed or earning a next-to-nothing salary, what adverse effects are waiting for you in a country that is lenient towards offenders? Very few.

    Another problem to add to unlicensed drivers and drivers who are uninsured is that according to the AA, thousands upon thousands of vehicles in South Africa are also classified as unroadworthy which means that having an accident in South Africa is further increased.

    Most Drivers opt to Not Insure

    Most South Africans will tell you that they’re battling to put food on the table, so why should they pay for insurance when they don’t have to. They may argue that the costs of insurance are too high, but the cost of not insuring could, unfortunately, be higher.

    If they are uninsured at the time of an accident, they may well be held accountable for the repair costs of the vehicle they damaged putting them into massive debt.

    If you are unable to pay for repairs to the car you collided with, you could find yourself listed with South African credit bureaus, which could jeopardise your chances of getting finance for a new car in the future.

    Uncaring, uninterested, Uninsured, unlicensed and Drunk

    The compliance manager at MUA Insurance Acceptances has said that 70% of successful motor claims were related to theft and hijackings. Lately, though, the insurance industry pays about the same percentage of motor insurance claims for repairs to cars which have been in accidents.

    The statistics show that only 3 out of 10 cars are insured which means that insurers and underwriters can’t recover much of the damages caused by third party drivers whose fault it is.

    Being uninsured is all a big Joke

    Arrive Alive said the South African crime rate relating to vehicle hijackings provide all the evidence you need about how important car insurance is.

    Not only that, with South Africa having more drunk-driving related deaths than anywhere else in the world, the Manager of Insurance Risks at the South African Insurance Association (SAIA), warns drivers to take caution with this alarming fact.

    A person has a 26.6% chance of dying in a road accident in South Africa, and the country remains one of the worst for road safety. The insurance industry currently insures around R46 billion worth of cars.

    Pay your Way out of Trouble?

    South Africa scores a pitiful 4 out of 10 in its capacity to enforce laws. The nation is waiting to see if the demerit system will work or if paying a bribe will get you off the hook when pulled off the road for being a drunken driver in an unlicensed car driving an uninsured car.

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    All info was correct at time of publishing