Car insurance is 1 of the great grudge purchases of our time. But in South Africa, car insurance isn’t a nice-to-have: It’s absolutely vital to protect yourself from a range of risks.
There are 3 main reasons why you need car insurance in 2025 (and, in fact, always)
Accident damage and total loss
There are about 12 million vehicles on South Africa’s roads. Of those, only about 3 million are insured. So, if you’re involved in an accident, you’ve got a 75% chance of the other party not being able to cover any of the damage. If you’re a responsible car owner, you insure yourself. In addition, 93 cars are stolen in South Africa per day. Crime data from the South African Police Services (SAPS) shows that 8,597 cars and motorcycles were stolen across all 9 provinces between July and September 2024. So ask yourself: If your car was stolen today, would you be able to replace it? If the answer is no, you should insure your car. If your car is financed, your lender will require you to have comprehensive insurance anyway.
Life’s little ‘oopsies’
Someone bumps your car in the parking lot at the mall. You get caught in a heavy hailstorm. A passing truck throws up a stone that shatters your windscreen. If you’re not insured, these could be costly little incidents but if you’re insured, then the worst of the pain will be soothed.
Third party liability
You swerve to avoid hitting a dog but, unfortunately, you side-swipe a car parked at the side of the road, and then crash through a wall, and end up in someone’s swimming pool. Oops! If you have third party insurance, you’re covered for the damage you’ve caused to the other car, wall, and pool.
Agreed value car insurance
Agreed value insurance covers you for accident damage, theft and hi-jacking, and for damage to other people’s property (which in the insurance world is known as third party liability) as the result of an accident that you’re involved in. The only difference between our agreed value and comprehensive options is that, with agreed value, the insured value that’s noted on your policy schedule is the amount that the car is covered for, for 3 years.
Comprehensive car insurance
As the name suggests, it’s comprehensive. It covers you for major and minor accident damage, write-off, theft and hi-jacking, and any damage that you may cause to other cars or property in an accident. And, with King Price, your premium decreases monthly, as your car loses value.
Theft and write-off car insurance
This covers you for the total loss of your car if it’s written-off, stolen or hi-jacked, and not recovered. It also covers any damage incurred during an attempted theft or hi-jacking. However, you’re not covered for the cost of fixing or replacing the property belonging to third parties following an accident you’re involved in… And this cost can easily run into millions of rands.
Third party, fire and theft car insurance
This covers you for a total loss due to theft and hi-jacking, as well as for damage caused during attempted theft and hi-jacking incidents. It also covers you for your liability to other people’s property as the result of an accident.
Third party car insurance
This covers you for liability for accidental damage you cause to other people’s property. However, there’s no cover for the loss of, or damage to your own car, no matter how it happens.
Hopefully, this info prompts you to move car insurance from your ‘nice to have’ 2025 list, to the ‘must have’ list. And of you already have car insurance, we hope that this info has helped you to decide whether your policy is right for you, your needs, and your budget. In either case, click here or WhatsApp King Price on 0860 50 50 50 for a commitment-free insurance quote.
Psst… This blog provides general info only, and doesn’t count as financial or product advice from King Price or our legal and compliance experts. Remember, all our premiums are risk-profile-dependent, and T’s and C’s apply. Our most up-to-date KPPD (policy wording) can always be found here.
Our website T’s and C’s can be found here. King Price Insurance Company Ltd is a licensed non-life insurer and registered financial services provider. (Reg no. 2009/012496/06 | FSP no. 43862)
