Finding the right car insurance policy can be a bit of a pain if you aren’t sure what you should be looking for. Many buyers simply end up choosing one of the first car insurance companies they come across because they simply didn’t want to take the time to find the right coverage. They know they could save money if they looked a little further, but sometimes the savings just doesn’t seem to be worth the hassle. To save money on your car insurance in South Africa, you are advised to consider these essential points.

1. Get many quotes

Get more than one car insurance quote. Do your homework. Read the fine print. Work out what exactly you need from your car insurance. For example: when buying a new car, especially if you are financing it, you will have to take the cost of comprehensive insurance cover into account when it comes to drafting your budget. Before you buy your new car, get insurance quotes from different insurance companies to get the best deal. Remember, the cover you decide to purchase depends on you, and what suits you best.

2. When to pick an insurer

Check what each insurer covers and whether cover that suits your car insurance requirements as well as your budget. Always read the fine print before signing the policy contract. If circumstances change in your life, and it may impact your insurance in which case you should evaluate your insurance policy: you could save money, or you may need to potentially change your choice of cover.

Factors that can affect how cheap your car insurance premiums can be

  • Where do you live? Does it pose a higher risk to your car?
  • Where do you work? Does it present a higher risk to your car?
  • Driving a high-risk car could affect your premium. Is your car’s make and model prone to theft/hijacking? If so, you could pay more for your insurance.
  • Putting in multiple claims over a short period of time will push up your premium.
  • Your age can also impact your premium, amongst other potential factors.
  • Who drives your car?
  • How far do you drive each month?
  • Your credit score could affect your premiums.
  • If your car is parked in a garage, your car is safer. You may pay less on your premium.

Ask car insurance companies for clarity on these factors or anything else that could affect your car insurance premiums.

3. Excess

Find an insurer that has an approach to excess payments that suits your wallet and needs.

Whatever your preferences may be, and your final choice, remember to shop around and always read the fine print before signing on the dotted line.

Find out more about cheap car insurance. By shopping around and finding the ideal car insurance for your car, you can save a lot of money in the long-term.

4. Report reduced mileage and remember what your garage is for

All insurers rate your risk and work out your premium accordingly. So, if you’re driving long distances in rush-hour traffic every day, your risk is high, and it affects your premium. But, if you clean out your spare bedroom and start working from home, your risk reduces and so should your premium.
While you’re at it, clean out your garage too, and park your car in it rather than on the pavement. Safer car = less risk = lower premium.

5. Combine your policies

Just like buying cheap toilet paper from Checkers, discounted baked beans from Spar and spaghetti that’s on sale somewhere else can end up costing more in the long-run, covering your car, home and portable possessions with different insurers isn’t necessarily the cheapest way to go. There can be massive cost-benefits to covering everything under 1 roof.
Some insurers even offer additional savings when you put more than 1 car on the same policy. Ask for ‘multiple car discount’ and factor in up to 20% off!

6. Look after your credit score

You really should look after your credit score as carefully as you would a cabriolet. Because having a great credit rating will positively affect your premium and could mean the difference between being able to afford a cabby rather than a Cub.

7. Get decreasing premiums

The value of every car decreases every month. So surely, all car insurance premiums should, too? After all, all insurers pay out the same value in the case of a total loss…

8. Rein your teen in

There’s a reason, of course, that teens are more expensive to insure: They have substantially more accidents. This argues for putting them in cars that are safe, but a bit seasoned. Obviously, the car your teen drives is ‘a big deal’ but, in insurance-speak, swapping out the GTI for an i10 is a no-brainer.

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