To save money on car insurance, consider buying a cheaper car, as lower-value vehicles cost less to insure. Annually reviewing your policy makes sense too as cars depreciate over time and your circumstances may change as well.
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With under 35% of South African motorists insured, it's essential to grasp the intricacies of car insurance coverage. Here's a comprehensive overview to ensure you're not one of the many drivers left vulnerable in times of need.
Many South African vehicle owners lack insurance knowledge, which can lead to significant financial challenges during accidents or vehicle thefts. The Automobile Association (AA) reports that less than 35% of vehicles in South Africa are insured, indicating a substantial gap that needs to be addressed.
Siyakha Masiye, spokesperson for MiWay, highlights four key values you can choose for insuring your vehicle:
Masiye advises motorists to assess their financial situation and the condition of their vehicle when selecting an insurance value. Understanding each option will help you make an informed decision that suits your circumstances.
Looking to cut costs on your car insurance? Here are some effective strategies:
Masiye stresses that many drivers choose market value for its balance of costs and expected payouts. However, understanding the implications of the chosen option is vital. If your vehicle is written off or stolen, your payout hinges on the insured value.
With an estimated 65% of motorists in South Africa uninsured, the need for proper coverage is paramount. Many drivers remain unaware of the various insurable values, which can lead to unexpected financial circumstances at the claim stage. Regular policy reviews are essential to align coverage with your financial situation and risk tolerance.
