With the high number of car accidents and
vehicle thefts in South Africa, it is probably not surprising that
vehicle insurance is one of the most important and necessary forms
of insurance you can possible have.
It is crucial to insure your car against any form of loss, damage or
theft. In this country especially, insurance companies set stringent
requirements for vehicles to meet before they can be insured.
For example, it is standard for vehicle insurance policies to make
provision for the installation of car alarms, immobilizers, gear
locks and vehicle tracking systems. Without any of these anti-theft
devices, the chances of any insurance company giving you a policy
are slim to none.
The size of your car's monthly vehicle insurance premium is directly
proportional to the value of your car, which is determined by its
age, make, mileage, model and replacement value.
The excess you'll be required to pay in the event of a claim is
largely determined by your age and past insurance claim history.
In other words, if you have had no car accidents, thefts or losses
and therefore have not claimed from your insurance company before,
your excess will be considerably lower than that of someone who has
had accident number five and theft number four.
It's no secret that younger drivers who have recently acquired their
drivers licences, and are therefore considered a greater risk on our
roads, are charged higher monthly premiums than older, more
experienced drivers with good safety records.
The key for young drivers is to seek out insurance companies that
offer the lowest vehicle insurance rates such as Dial Direct.