If you’ve ever wondered why you need to have comprehensive car insurance and why it is important, then you’ve come to the right place. Sure, having car insurance may not be required by law but it is helpful to have if you own a car. It protects you from potentially suffering financial ruin should you be involved in an accident or should you be responsible for causing an accident and damaging other people’s property.
Although you’re not legally obliged to have vehicle insurance it is required by banks if you need them to finance you. This is so that they can protect their investment should anything happen to the vehicle upon leaving the showroom floor.
Comprehensive insurance, as the name suggests, offers protection against damage to your vehicle caused by accidents on the road as well as results of incidents that are unrelated to the road. It will also cover you for incidents such as damage to your car, theft, legal liability, third-party cover and accidental death or injuries of third parties.
We have compiled five key benefits of why we think it’s imperative to have comprehensive car insurance:
1. Replace your car should it get stolen
Car theft and hijacking is big business in South Africa and if you own a vehicle you run the risk of being an unfortunate victim of this crime. So the question you should ask yourself is, if your car were to get stolen, could you afford to buy another one of the same make and model?
If your answer is no, then you probably need to consider insurance. Keep in mind that if your car is financed and it gets stolen whilst not insured, you will still be required by your loan provider to continue paying off your debt.
Although comprehensive insurance won’t pay you out for a brand new vehicle, it will likely allow you to cover the outstanding amount that you owe the financial institution, allowing you to apply for a new car loan on a clean slate.
2. You’ll be covered for any damage caused by vandalism
If your car is parked near a pavement and a random passer-by decides to scratch it or there is a protest happening and it gets damaged by protestors, you can afford to get it repaired. If you don’t have comprehensive insurance for your car, though, you’ll have to incur the costs yourself or just continue driving a damaged car.
3. You’ll be covered for any weather-related damage
With the unpredictable weather we have here it helps to have comprehensive cover as it will protect your vehicle against any number of weather conditions that may cause damage. One minute it could be sunny and the next minute it could start pouring down with golf ball-sized hailstones so severe, it could leave visible damage to your vehicle. If you have comprehensive insurance you can be assured that at least you will be covered and will not be left stranded as it also covers you for weather damage.
4. You’ll get covered in the event your car gets damaged by collision with animals
Imagine driving along a quiet road and the next thing you see is buck running across the road at lightning speed and before you can hit your breaks you hear a thud; you’ve hit something. It may sound a bit far-fetched, but it is possible. If you are driving and collide with an animal, although the situation is awful to comprehend, having car insurance will ensure that you are able to get your vehicle fixed and back on the road.
5. You’ll be covered against flood damage and fire damage
If you think about it, your car is susceptible to all sorts of damage, from fires to floods. Having comprehensive insurance in place can ensure that, should there be flooding and your car’s mechanical components or interior get water damaged, you’ll be able to claim for replacement parts. And should it be declared un-roadworthy, you’ll be able to get some money to afford another set of wheels. The same thing applies if your car was to catch fire.
Sure, these scenarios may seem a little far-fetched, but they could happen. If you have comprehensive vehicle insurance you’ll at least know that you’ll be protected from incurring any financial losses associated with your car. With Auto & General, you can get online car insurance quotes – simply visit their website to find out more about how to do this: http://www.autogen.co.za/