A car insurance policy gives you financial protection in the event your vehicle undergoes any physical damage during a traffic collision. It also gives protection against any bodily injury or third-party liability that could arise from accidents. Depending on the type of cover you get, your car may also be protected against weather and natural disasters, keying and vandalism, or theft and hijacking.
The following may be included in a vehicle insurance policy, or will be available as add-ons:
- Medical payments
- Physical damage to your vehicle
- Any property damage you cause with your vehicle
- Property and physical damage to third parties
- Third party, fire and theft
- The cost of transport/renting a vehicle if yours is damaged
- The cost of towing your vehicle
- Scratch and dent cover
- Write-off protection
- Legal cover
- Extended warranty
- GAP insurance
Legal Regulations in South Africa
A percentage of the money motorists pay for fuel, goes to the Road Accident Fund to compensate third parties in accidents.
The excess or deductible is one of the biggest factors that determine your monthly premiums. This is the amount you pay should you claim from your insurer. There are two types of deductibles namely the compulsory excess and voluntary excess.
What Will Determine Your Car Insurance Premiums or Quotes?
- Type of vehicle
- The mileage on your vehicle
- The distance you travel every month
- Area (neighborhood) you live in
- Driving history
- Marital status
- Credit rating