Different Types of Car Inusrance
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by: TomMartens
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Approximately 65 percent of South African drivers do not have auto insurance cover. That is an alarming statistics for the 35 percent of those who do. So, what is keeping that 65 percent from making the responsible decision and purchasing at least the minimum cover?
Lets start with an overview of the insurance types. In South Africa, auto insurance cover has three basic forms.
The minimum cover is Third Party. This covers your liability (costs) if you damage someone elses personal property in an car accident. This includes other cars or structural property that may also be damaged.
You also have the option of buying Third Party Fire and Theft which would cover incase of any damage to your vehicle by fire, theft or attempted theft.
Comprehensive cover is the one that is recommended for most South Africans. It has in it, Third Party Fire and Theft and also covers damage to your own vehicle in an accident that is deemed your fault. There is also an additional coverage in it which covers when you are driving someone else's car.
Drivers working in South Africa can obtain vehicle insurance options that can address the unique needs of operating a vehicle in this area. Such options include motorcycle, off-road, comprehensive cover, and caravan cover.
Because South Africa is a high risk insurance environment, premiums can be high. But you can take some steps to lower your premiums.South Africa is often a world leader in traffic injuries and fatalities and the roads are becoming increasingly dangerous. Car theft and hijackings are also all too common.
Start by shopping around and comparing quotes. It is easiest to research your options online, and you may also get a discount if you purchase your policy online depending on the company you decide to work with.
If you remain accident-free, you can expect to pay lower monthly premiums. If your current insurance provider does not offer discounts for safe driving, it might be time to shop around for better rates.
During the purchase of insurance, you should check the maximum amount that you are going to paid if claimed. If this excess amount is high, then premium will also be high. Selection of maximum amount depends on you. It gives you benefit on long run, if you can afford higher excess amount.
Are you an owner of an expensive or high performance vehicle, if so you will end up paying more for premiums. These luxury vehicles attract high rates to insure as it is expensive to replace or repair. Keep in mind when buying a car that insurance premiums adds to the value of owning it.
Receive discounts and pay lesser premiums by exceeding the security requirements mandated by your insurance company. So get your vehicle installed with security gadgets that exceeds the minimums specified by your insurer.
If you live in a high crime area, your car is at greater risk for theft or hijacking. Consider moving to get lower premiums. You can also receive a discount if you park your car in a locked garage or behind locked gates overnight.
Most of all, dont be afraid to negotiate. An insurance company that is interested in your business will be willing to work with you in order to earn your business.
About the Author
Tom Martens is the content syndication coordinator for Carinsurancesa.co.za. South Aricas leading car insurance portal.
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