Types of Car Insurance in South Africa and their benefits

Car insurance is essential before you take out your car on road to cover the damage that you may cause to third party property and life. There are various financial institutes in South Africa providing car insurance. Let’s see what all kinds of insurance are available in the market and how they would suite your needs.

Essential Car Insurance –

This is a kind of insurance which just covers third party property and life in case you meet with an accident and covers your car against theft. This kind of insurance is low on budget and good when you don’t want to invest much into your car insurance. You should go for essential insurance when your car’s cost is less than R100,000, or its older than five years and not financed.

Comprehensive Car Insurance –

This kind of insurance covers almost everything on your car. Fast processing and easy payouts are some of the features of a comprehensive car insurance. Plus, if you do not make any claim in period of twelve months, you get discount while renewing your car insurance in next year. This insurance covers any kind of harm or damage done to your car which may include theft, hijacking, fire and liability claims. This kind of insurance also covers accidental, flood, hail and intentional damages caused by someone else.

Car Insurance for Women –

Many car insurance companies in South Africa offer special premium rates for comprehensive car insurance for women car owners. You enjoy same or extra benefits for same premium amount. These insurance covers you for essential liabilities, third party fire, third party vehicle, third party life with any damage done to your car.

Benefits of getting insured –

Car insurance is typical in nature as it covers not only damage to your car and life but it also covers the interest of other people and vehicle on the road. In case you meet with an accident then your car insurance covers the damage done to life and property of any third party. It’s illegal to take your car out on road without a car insurance as the person driving the car may not be capable enough to pay off the loss of third party damage by himself.

  • A car insurance covers the survivors in case the accident results in death.
  • It covers the bills of vehicle repairs for the damage done to the cars due to accident.
  • A comprehensive insurance will also cover he damage due to natural calamities like terrorist attacks, theft, riots, earthquake, cyclone, hurricane etc.
  • You get a no claim bonus when you pay regular premiums all through the year and do not claim any amount in that period.
  • You may get additional discounts in your premium in case of theft of your car or when you get more than one car insured by same insurance company. Depending on the insurance company you go for , having multiple cars insured can reap you many additional benefits including people that are driving your car with your permission.