On the Car Insurance Blog we strive to assist vehicle owners in avoiding accident claims, to provide information on what to do in the event of an accident and also to advise when those accident claims are rejected by their car insurers.
Perhaps the most important aspect remains however to increase awareness of the relationship between car insurance and road safety, and to urge vehicle owners to insure their vehicles against the risks of property damage and loss!
In South Africa car insurance is not enforced through legislation – and the sad truth is that only approximately 30% of vehicles on our roads are in fact insured!
Where do I start if I need car insurance?
The good news is that you have already started! By reading this blog post you confirm that you have either considered finding car insurance – or you are trying to find out more about car insurance. We could briefly summarize the early steps as follows:
Considering what is car insurance
There is no value in searching for something if you have no idea what you are searching for. We cannot guide you to right place to find something if you do not know what to look for when you get there.
You would either have been asked about whether your vehicle is insured, were urged by someone to find car insurance or have experienced a situation prompting you to find car insurance.
For anyone who has become a vehicle owner, it is most important to understand the basics of car insurance and to start the process of discovery that will ultimately lead to the correct car insurance product for that owner!
Why do I need car insurance?
In South Africa we are threatened daily by the risk of property damage and loss. We have grown up in this reality and live in gated communities, have alarm systems installed in our houses and observe security guards patrolling our neighbourhoods and shopping centres.
It is only logical that a vehicle owner will also reflect on his car and how to protect this car. Not only should it be protected from criminals and vehicle theft through layered vehicle security systems – but also through a car insurance policy!
With 10million vehicles on our roads, many driven by unlicensed drivers – the risk of accidents are considerable! In 2008 we suffered no less that 14,057 road fatalities – and tens of thousands more accidents took place on our roads.
Past versus present car insurance
The process of finding car insurance might differ significantly to that of the vehicle owners of 20 years ago. In the early years of vehicle ownership there were only a few well known brands around – and they were the trusted brands for our parents. You would most probably have approached an insurer on the recommendation of a parent or friend who have been loyal to that brand for a number of years.
There were only limited choices available amongst both providers and products. This has changed significantly with the development of the internet and online businesses.
Today we find hundreds of insurers competing for a limited number of vehicle owners. We can find car insurance through brokers, direct insurers, insurance aggregators, comparison websites etc. You can do so by meeting with a broker, requesting a quote online or merely making a telephone call!
Car Insurance has become a maze of products and providers. Even though competition is good for the consumer, and every owner should be able to find the appropriate product for his specific needs – this might be challenging for the less skilled vehicle owner. There are simply too much jargon, clauses, and finer technical details to allow for easy comparison of terms, conditions and benefits.
We will strive to assist our vehicle owners in a short series of blog posts titled “Finding car insurance”, and discuss the process of finding car insurance in an easy to understand manner from the very start to signing on the dotted line!!