We are all on the lookout for ways to stretch our Rands and often look to insurance first to make budget cuts. However, be careful of choosing car and home insurance solely on price as cheaper is not always better.
Here are the factors to consider when choosing a short term insurance provider.
3 questions to ask before choosing a cheaper short-term insurance provider:
- How affordable is my insurance at the moment?
- What is the likelihood of my insurer paying out my claim?
- Which other benefits does my insurer offer me?
Insurance to suit your pocket and needs
Your insurer should be able to structure and adjust your policy according to your needs. This means that you must be able to actively manage your cover and have the flexibility to change it whenever the need arises. If you for instance decide to remove additional cover from your policy so that it better suits your circumstances or decide to increase your excess to see how much it could lower your monthly premium, you should be able to do so.
There is a reason why claims are often called the moment of truth
You should be able to rely on your short-term insurer for a positive claims experience. They should be looking for reasons to pay, rather than reasons not to.
They should be available if you have an emergency
Your insurer must be able to assist you in times of crisis – from roadside, route planning and chauffeur-driven support to legal and medical advice.
These benefits are important:
- Road assistance – a 24-hour contact for roadside emergency services.
- Home assistance- a 24-hour helpline to assist policyholders at home with the call-out of service providers such as electricians and plumbers.
- Home Drive assistance – take you home in your own or their vehicle if you had more to drink than the legal limit.
- Route assistance – a 24-hour directions helpline.
- Medical assistance – assists with telephonic medical advice, transport by ambulance to hospital, arrangements for family to be notified and trauma counselling.
- Legal Advice – assists with advice on matters such fines, contracts, accidents and more.
The bottom line
Now you know, cheap insurance may come at a cost. Insurance is about having peace of mind that you are adequately insured with a company that offers you the best service, a competitive premium and value beyond measure. If you want advice specific to how you can stretch your budget, speak to your intermediary.
Article credit: https://www.santam.co.za/blog/what-we-do/is-cheap-insurance-the-right-insurance-for-you/
