No excuses, just answers…
Can my age affect my premium?
Statistics show that driving risk reduces with age, older driver have fewer accidents than young or new drivers. So we charge premiums according to a sliding scale, where an 18-year-old driver will pay the highest premium and the premium loading reduces over the years.
Why does my premium increase every year even though the value of my car is depreciating?
You are not only covered for the theft of your vehicle but also for the repair of your vehicle. The cost of repairing your vehicle and parts used increase every year so your premium unfortunately has to increase in line with these costs. The depreciating value of your vehicle is however taken into account when reviewing your premium.
Is it true that my marital status can affect my premium?
Yes. Statistics show that married or co-habiting policy holders pose a lower risk than single or divorced people do. This is possibly because single people often go out, on the road and leave their residences left empty.
If I cannot afford my premium this month, can I pay double next month?
Sometimes, not often though you may find it difficult to meet the premium payments on the first working day of the month. In order to assist you if you do find yourself in this position, can set aside a "Special Deduction" on a date which is more convenient. However, if the premium is not received by this date, you will have no cover for that period for which the premium was due and the policy will lapse. This means that, although the contract is still in force, there is no cover for that period. If we do not receive payment for that month, you unfortunately do not have cover.
Why do women enjoy a discounted premium?
It has been proven statistically that women are better drivers and are involved in less motor accidents than men. In addition, the cost of repairs to vehicles crashed by women, is on average, lower than the cost of damage caused by men.
What do I need to do to cancel my policy?
You can cancel without any period of notice, but you can give notice to cancel on a future date. This needs to be confirmed in writing. However, if you cancel during the month, we are not obliged to refund any premium. We will confirm the cancellation in writing.
What factors are taken into account in determining what premium I pay?
Numerous things are taken into account, for example, the make and model of your motor vehicle, where you live, where your vehicle is kept at night and under what circumstances, who the regular driver of the vehicle is, what purpose your vehicle is used for and your previous claims history. Because your premium is calculated on these facts, amongst others, it is very important that you are honest when answering these and any other questions. If you are not sure about an answer, rather tell the consultant this and get back to them later. It is important to be honest in your dealings with your insurer or broker, including when you claim.
What is an excess?
An excess is the first amount payable in the event of a loss. The excess serves to prevent customers from submitting minor claims as well as fraudulent claims and assists in keeping the premiums down. When you submit a claim you will have to pay an excess, irrelevant of who was to blame for the accident. It is important to read your policy documentation regarding excesses as there may sometimes be additional excesses depending on the facts of your claim, e.g. who was driving your vehicle at the time of the loss, etc. We will do our best to try and recover your excess from a guilty third party even though there is no legal obligation on us to do so. This service is free of charge.
What is a No Claim Bonus?
This is the discount allowed to drivers who have enjoyed continuous comprehensive cover and have submitted no claims for a certain amount of years. An interruption of insurance for no more than 39 days will still qualify as continuous cover and claims for window glass, car sound equipment and hail do not affect the No Claim Bonus.
How can I reduce my excess?
By paying a higher premium.
When my vehicle is damaged in a collision, can I have it repaired at the panel beater of my choice?
Our policy stipulates that we will repair your vehicle using a supplier on our panel. Our motor body repairers guarantee their workmanship, once the vehicle has been repaired. This allows us to constantly monitor the quality of the repairs carried out by the motor body repairers that we work with. However, should you insist that you want your vehicle repaired by a panel beater of your choice we will give you a cash settlement in lieu of the amount that it would have cost us to repair your vehicle. In such an event, we can obviously not guarantee the repairs of the vehicle.
Why do I need to install a tracking device in my vehicle?
Installing a tracking device in your vehicle can greatly reduce the chances of it being stolen, and certainly assists in the recovery of your vehicle if it is. As the risk is reduced, in the event that you claim for a stolen vehicle, you will enjoy a reduced theft excess.
Am I entitled to a pro rata refund if I cancel my policy in the middle of the month?
Our policies are payable monthly and you pay for cover a month in advance. We are therefore not able to refund you if you cancel the policy during the course of a month.
If someone drives my vehicle without my consent and is involved in an accident, will you still pay my claim?
Yes, provided that you lay a criminal charge against that person with the police, within 48 hours. You may not withdraw the charge.
Why do I have to pay an excess if I was not at fault?
An excess is payable whenever a claim is submitted and is the first payment that needs to be made in the event of a claim – regardless of whether you are guilty or not. The administrative cost of a claim is the same, regardless of who is at fault. If you are not at fault, you can claim the amount back from the other party. Unfortunately, this can take a long time, especially if the guilty party isn't insured. Our legal recoveries department will do their utmost to recover your excess free of charge.
There are certain circumstances when an excess can't be recovered, for example:
- the insured doesn't have any third party details
- the third party doesn't have any income or assets to attach
- the legal costs outweigh the recovery costs
- the third party can't be traced
- the merits of the claim don't justify the recovery
Why do I have to pay more than one excess?
Your insurance contract covers various levels of risk. This means for instance that, if your vehicle is involved in a motor vehicle accident, and the person driving the vehicle at the time is not the regular driver, we will charge an additional excess as that driver is not the driver on whom the premium is based. These levels determine the excess that needs to be paid.
Where can I learn more about Insurance?
You can download the SAIA's (South African Insurance Association) educational pamphlet or their educational book.