Why you should never cancel your car insurance
40 people die on our roads every day
With its high accident and theft rates, hijackings, poor condition of some highways and other related risks, the South African car owner can barely afford not to have comprehensive vehicle insurance. When your household budget is under pressure, you may be tempted to decrease, or completely eliminate, expenses which you think you can do without. Financial products such as savings, insurance and investments typically fall into this category, probably due to its intangible nature. You can’t touch or hold peace of mind or financial well-being. Yet, these very products will support you best when you need it most.
In most cases, insurance contracts can be amended to suit your changing requirements but the best time to do this is before a claim event. Consumers need to pay closer attention to the contract and conditions of their insurance policies. Car insurance policies often have very strict conditions which are directly related to soaring crime rates and a very high number of unlicensed road users.
In addition, the cost of vehicle repairs and spare parts have increased drastically over the last few years and along with rising vehicle theft, higher average cost per claim and road accident rates, it’s no wonder that the cost of insuring a vehicle has increased.
Less than 35% of vehicles in SA are insured
You will be at great financial risk if you drive your vehicle without any insurance. In this scenario, being involved in a car accident where you are at fault will not only leave you liable to fix and replace your own car but will also render you responsible for the cost of the others cars involved in the accident. This kind of financial pressure could certainly cause any household serious, unwanted debt obligations.
The reality is that the annual death toll on our roads are nearing 18 000 and with 65% of all drivers being uninsured, you are at high risk just being on the road.
Comprehensive car insurance will take care of the financial pain while you deal with the trauma of having been in an accident, especially if there are injuries notwithstanding the inconvenience of making alternative arrangements for transports, etc. One of the most important advantages of good vehicle cover is the peace of mind it provides regarding the safety and protection of you and your family.