12 tips to reduce your car insurance premiums

Defensive Driving Techniques to Avoid Accidents and Insurance Claims

If you want to reduce your risk of traffic accidents and the insurance claims that accompany them — which could cause your premium to go up — you need to drive defensively. Here are some driving tips to help you avoid crashes and stay safe on the road. Always Assume...

Avoid deadly distractions behind the wheel

Not texting is a start, but there's more to safe driving. Here’s the bad news: Distracted driving causes thousands of accidents every year, many of them fatal. The good news? If you're driving, it's 100% preventable. You've seen them around your city or town. You may...

10 Tips to Protect Your Car’s Suspension System

Your vehicle's suspension system ensures a smooth and safe ride, protecting critical components from wear and tear. Understanding and maintaining the components of the system is essential, not just for comfort but also for the stability of the car on rough roads....

The what, why and how of a Vehicle Identification Number

If you’ve ever bought motor insurance, you’re likely to have come across the terms Vehicle Identification Number or VIN and chassis number. You must wonder why insurance companies insist on having this information. That’s because VIN is like a genetic identifier for...

What Is ORVM In Car And How Does It Work?

When you adjust the side mirrors before driving, you deal with the Outside Rear View Mirrors (ORVMs). These mirrors are essential for safe driving, helping you see what’s happening beside and behind your car. This post will discuss what ORVMs are, how they function,...

How to Track a Vehicle with GPS: A Simple Step-by-Step Guide

GPS-based vehicle tracking is today, one of the most helpful tools since it can be employed by any individual or company who wishes to keep track of their cars, trucks or any other vehicle. Thanks to today’s cheap GPS tracking devices, a vehicle owner can easily place...

How To Rebuild Your No Claims Bonus After An Accident

If you’ve had an accident, it can feel like all the good work you’ve put into building your No Claims Bonus (NCB) has gone down the drain. But here’s some good news, you can rebuild it. Your NCB in car insurance works like a reward for safe driving, and that lovely...

Safety Tips For Driving In Floods

Often when we get stuck while driving through floods we panic and force through the water. Instead you need to stay calm and follow these instructions. Situation One: Water Level Is Above Tyre Level  When water level is above the tyre level it's no use forcing...

Car Defogger and How to Use Them?

Have you ever experienced your car windows and windshield suddenly fogging up? It can be scary since poor visibility may cause a dangerous road accident. Driving in the cold or rainy seasons can often lead to foggy windows. This is a common problem, and can quickly...

How to choose the right commercial insurance policy

Unpredictability is the only predictable thing about business right now. Over the past few unprecedented data breaches, and global pandemics have all taken front stage in the insurance industry. And no business is immune.  With the range of commercial insurance...

Subscribe With fluctuating fuel prices, interest rates and other living costs, people are trying to keep their budgets in line. Many consider cancelling their comprehensive insurance to afford other expenses, says Rudolf Mahoney, head of brand and communications at WesBank. Recent economic data shows that household debt levels, while declining, are still high. On average around 75% or more of household income is used to service debt. In the same vein, the most recent statistics from the South African Insurance Association (SAIA) indicates that only about 35% of vehicles on local roads are insured. This contrasts starkly in comparison to international markets where insurance is lawfully requirement. In Norway, Indonesia, the UK and USA, for instance, all road-going vehicles are legally required to have comprehensive insurance. Many other countries insist on a minimum of third-party insurance, to ensure that other road users are not exposed to financial risk should an accident occur. In the absence of such legislation in South Africa, consumers are urged to carefully consider the impact of having no comprehensive insurance policy in place for their cars – whether financed or paid-up. The risks of not having comprehensive insurance can be very costly should a driver get involved in an accident, Said Wesbank. Instead of cancelling comprehensive insurance policies, consumers can use the following tips from WesBank to assist in making their insurance premiums more affordable:

  • Check the market value of your car against the amount you are insured for – an annual call to your insurer can help adjust your premium in line with the market value of the car to account for depreciation.
  • Opt for a higher excess amount – this reduces your monthly premium, but remember that if you have an accident the pay-in amount for repairing your car will be very high and costly.
  • Install a tracking device in your car – this helps to lower your insurance because you have added another layer of security to your vehicle. Once you have a tracking device installed inform your insurer and request a revised quote.
  • Go for a certified, advanced driving course – these courses make you a safer driver and your insurance provider is likely to view you as a lower accident risk.
  • Don’t claim too often – If you have a high claim history, this will result in higher premiums. Claiming for minor damages, such as stone chips or parking lot dings, will drive up your premiums.
  • Tighten your vehicle security – keeping your car in a locked garage, or guarded basement, will keep it more secure. Insurance companies view this as a low risk when it comes to vehicle theft.
  • Always update your personal details – not only is this a requirement to maintain a valid insurance policy, but if you’ve moved to a safer neighbourhood with 24-hour security facilities it will assist in dropping your insurance premiums.
  • High performance cars will attract higher premiums – naturally, faster vehicles are seen as being driven by more enthusiastic drivers, who carry an increased accident risk. Keep this in mind the next time you’re considering an upgrade.
  • Driving experience counts – drivers who are younger and have less driving experience will be charged higher insurance fees. The key here is to build your driving experience while driving a vehicle that you can comfortably afford – as well as keeping it insured.
  • Combine your car and household insurance – a joint policy that covers both your household goods and car can result in a more attractive and affordable monthly premium for your comprehensive insurance policy.
  • Maintain an uninterrupted insurance history – cancelling your insurance will introduce gaps into your coverage history. A more complete picture of your insured history and claims can lead to a lower premium.
  • Compare comprehensive insurance quotes – it is always a good idea to shop around and compare insurance quotes to find the most affordable comprehensive insurance for your budget. If you think you are paying too much phone around for a few quotes and ask your current insurer if they can match or beat the offers you receive.

Monthly insurance premiums are one of the most important motoring costs for any car buyer. Any consumer who has vehicle finance has a contractual obligation to be comprehensively insured for the full duration of their finance agreement.