Car insurance in South Africa is one of those expenses that we all despise paying for, although it can really be a lifesaver, even with a lower coverage amount or a high deductible. Each year about 1.3 million people die in car accidents worldwide, with an additional 20 to 50 million becoming injured or disabled. This goes to show that there is a relatively high probability of being involved in an accident sometime in your life, whether it’s minor or serious.
One of the obvious tips is to go out and compare car insurance quotes, but what if it was easier than that? On LikeMoney you can compare all car insurance companies in South Africa that have been rated by the South African public and receive quotes from leading insurers.
It is illegal to pretend that another driver is the primary driver of your car. Adding a more experienced driver to the policy as a secondary driver, however, can help reduce rates. This is especially helpful for a driver with little experience or a spotty driving record. You must make sure to get the person’s permission to be added to the policy first. You should only add an experienced driver with a clean driving licence and a decent no-claims history.
Another way to get cheap car insurance is to pay your car insurance all at one time instead of paying it in instalments. The simple reason why this is the case has to do with the time value of money, a rand value today, is worth more than a rand in a few months or a year. Car insurance companies can invest the entire premium for a longer period of time, which allows them to give you a discount.
Searching around for and switching car insurance two weeks before your renewal date, rather than on the day, has been found to save you an average of about R5000. This is particularly true for younger drivers.
There are so many ways to get cheap car insurance, in addition to what has been mentioned above, living in a specific area, your driving record and the car you drive all pay a role in your rate.