Car Insurance Advice
Finding the right car insurance at the right price is not impossible, even in South Africa. Be sure you know your cover options and how you can save on car insurance premiums.
Third Party Fire and Theft adds to the minimum by including cover for damage caused by theft, attempted theft and fire. Comprehensive Cover includes all of this and pays to cover damage to your own vehicle in an accident that is your fault.You can choose from three basic types of car insurance cover: Third Party, Third Party Fire and Theft and Comprehensive. Third Party is the minimum cover and pays for damage to other people’s property caused by an accident that is your fault.
While Comprehensive Cover costs the most, it also provides the greatest amount of coverage. Most South Africans should probably get this kind of insurance to cover all of the risks that they face. Now how do you get this insurance at the best price? These are ten tips that can reduce the cost of your insurance. Not all of them will work for you, but at least some of them will be effective for everyone.
First, shop around and compare quotes. You can find substantial savings just by taking this step to educate yourself about your options. It’s easy to do this research online or through a broker. You can also get a discount if you purchase your policy online. Check with individual companies for this option.
Each policy comes with a deductible, which is the amount you have to pay if you file a claim. People save money by selecting a higher deductible. Make sure if you ever file a claim you a sure to pay the deductible.
You may gain lower premium with yyour current insurance company by being a safe driver. Each year that passes in which you don’t file a claim you may also be eligible to get better rates with another company.
Whenever you are looking at insurance companies always consider the different prices. Higher performance and expensive cars always are a higher cost due to their risk profile and expensive parts. When you are shopping for a car, include the insurance premium in your budget.
If you live in a high crime area, your premiums will reflect that due to the increased risk of your car being stolen or hijacked. Consider moving, not only for better premiums, but for your own personal safety.
You may be eligible for a discount if you park in a locked garage or behind a locked gate overnight. By not having your car on the street, you reduce the chances of it being stolen or damaged and this, in turn, reduces the cost of your premium.
Most insurance companies will have minimum security requirements for the vehicles it insures. You can add security devices such as gearlocks or global tracking devices that exceed the minimum requirements and receive a discount.
Keep the number of people allowed to drive your car at a minimum. This helps the insurance company more accurately calculate their risk, keeping your premium lower.
Don’t be afraid to negotiate. Many insurance companies are flexible about their premiums and will be willing to work with you in order to earn your business.
Tom Martens is the syndication coordinator for Carinsurancesa.co.za. South Arica’s leading car insurance portal.