05 Oct 2016

Pet Insurance: Why your fur-baby needs it

by Bernard | with 1 Comment | in News, Pet Insurance

Pet Insurance is just as much about peace of mind as it is about cash. You may pay insurance premiums for years and never make a claim. But, could you afford an expensive vet bill if your animal became sick, or was hurt?

It’s more likely that you’ll need pet insurance than you think:

Your kitten accidently eats something that it shouldn’t , and needs her stomach pumped
Your dog is poisoned in a house robbery and needs to be rushed to the vet
Your puppy has hip dysplasia and needs corrective surgery
Your cat has diabetes.

Sadly, these are some of the situations that thousands of pet parents without pet insurance have experienced, while those with pet insurance will be covered; from pet costs and saying goodbye to their little family member.

Still not convinced?

“But is pet insurance really for me?” No, it’s for your pet and to help you to financially take care of your animal:

It’s about the unexpected, not routine check-ups. Policies that cover your standard vet visits carry higher premiums, stick to covers that handle the unexpected
Disasters can happen at any time, can you afford that? If you think of your pet as a part of the family and don’t want to choose between a R5 000 or R10 000 vet bill. Pet cover is for you. As pets age, expensive surgeries start. Pet Insurance handles the financial consideration and helps you do what’s right for your pet, as you would for your family
Start from day one: Pre-existing conditions are often not covered. The vast majority of dogs have problems after the age of seven. Get cover while you’re still eligible.

Ways to reduce your costs beforehand

Once you decide on pet insurance, these two things are important:

Get your animal spayed as this will help to lower insurance costs
Insure your pet when it’s young and healthy, as you have to disclose any existing medical issues, and this will hike up your premium.

Most Pet Insurance providers have different plan levels and options that allow for some flexibility in the premium you pay, but you should expect the actual coverage to remain the same across all plans. A good value plan will include comprehensive coverage at all levels, with the only variables being the deductible or the maximum annual coverage allowance.

So is it really worth it?

Is pet insurance really necessary? The answer is YES. Even the most devoted pet parent can’t always protect their pet from injury or illness. When you’re standing in your vet’s office with a R10 000 estimate in your hand, having Pet Insurance means that your animal can live a longer, fuller life. With the right plan in place, both you, your fur-baby, and your finances will be covered.

12 Aug 2016

Funeral Cover: Why do you need it?

by Bernard | with 102 Comments | in Funeral Cover, Life, News

A financial burden is the last thing you need when a loved one passes away. Funerals can be rather expensive, so buying a funeral policy can relieve financial pressure in the event of a death. Taking out funeral cover for you and your family should never be seen as a grudge purchase. Wouldn’t you want to protect your family against the financial burden of funeral expenses?

So why do you need funeral cover?

Are you the sole breadwinner in the house? Does your salary pay for things like your home, groceries, water, electricity, school fees, etc.? Think about what would happen if you were not there anymore. Your family would have to deal with losing you, and they’ll have to take care of your funeral. If there is no funeral plan or money that’s readily available, your family will also have to deal with the pressure of paying for your funeral.

A good funeral plan can give you peace of mind – you know that there will be money to pay for your funeral, or for the funeral of a family member that you’ve covered in your funeral policy.

How much does a funeral plan cost?

If you are a married male between the ages of 30 and 40 years old, and require funeral cover of R15 000 to R20 000, you can expect to pay anything between R70 and R110 per month. Some of the benefits that you’ll enjoy from reputable insurance companies are:

Funeral cover for your spouse, children (up to four or five), and extended family members
No medical tests or medical questions asked
You could extend some covers to include your parents, parents-in-law and domestic workers
Successful claims should be paid out within two working days
Deaths related to HIV/AIDS could be covered
With some policies, double the maximum compensation amount will be paid out if a death is due to an accident

What does a funeral plan usually cover?

A funeral policy can offer short-term funding for the costs of arranging and providing a funeral. It usually covers things like caskets, tombstones, flowers, transportation, catering, etc.

In most cases, a funeral plan will pay out a lump sum at the time of the claim. This is paid to a nominated beneficiary (e.g. your spouse), who can then manage the funeral expenses. Good funeral cover can provide a dignified funeral, especially if money is needed quickly.

What are the advantages of having a funeral policy?

If one of your family members passes away, a funeral policy will pay out a lump sum, so they can be buried with dignity
There is no added pressure on your personal finances in the event of a death in your family
The amount of cover on a funeral plan is usually lower than a life insurance policy
If the amount that gets paid out is more than the funeral costs, the balance of the money can be used for other family needs
Your family will not have to worry about any of the financial burdens associated with a funeral.

Death is never something we like to think about, but it’s the circle of life and something that definitely needs to be planned for.

12 Aug 2016

Car Insurance: Why you need it

by Bernard | with 2 Comments | in Car Insurance, News, Vehicle

Most of us really do rely on our cars to get things done, but unfortunately, a lot can go wrong in the process. Even though you might be a safe driver, someone else on the road could collide with you. And even the best drivers can still be involved in an unfortunate incident that happens unexpectedly and unintentionally: an accident.

Your car could get damaged, you could get hurt, or other people could get injured. Anything can happen on the road. And that’s exactly why you need car insurance. A good insurance company will help you cover the cost of repairs to your vehicle, or the damages done to someone else’s car. Insurance can also provide financial support if your car is vandalised, stolen or completely destroyed.

The statistics for hijackings and road accidents and the cost of vehicle repairs in South Africa provide enough evidence for the importance of car insurance. If you are an uninsured driver, you alone are responsible for covering the cost of repairs to your car – or even buying another one if it’s a complete write-off.

Still not convinced? Here are three reasons why you need car insurance:

Save time and inconvenience

If you were involved in an accident, your insurance company will assist you through the unpleasant post-accident process – e.g. guiding you through the claim, working with another driver’s insurance company, helping you find a reliable repair company.

Have peace of mind

Let’s face it, there are a lot of bad drivers out there – from the texting drivers to make-up-applying speedsters. A reliable car insurance policy offers you financial protection from their driving mistakes.

Save big later by paying small now

A relatively cheap car insurance policy can protect your finances from big and unexpected expenses. Your insurance company can also help protect you and your assets from liability lawsuits, and may offer benefits like:

Installation of a vehicle recovery system
Lifetime guarantee on all approved vehicle repair work
24-hour roadside and medical assistance.

Before you get insured, it’s a good idea to get detailed car insurance quotes from a few companies. There is cheap car insurance and there’s ridiculously expensive car insurance. Shop around and make sure you sign with a reputable company. And remember that you have the right to demand all the information you need to make an informed decision.

13 Jun 2016

Funeral Cover: How to Avoid Scams

by Bernard | with 0 Comment | in Funeral Cover, Life, News

Your phone vibrates in your pocket. As you open the SMS, you’re greeted with surprising news: “You’ve won £100 000 in the UK lottery, please call John Smith to claim your prize.” Seems legit, right? With the rise of the digital era, scam artists now prey on hundreds of unsuspecting victims without leaving the house. So, what about the next time you receive an email, phone call or SMS from an insurer offering you funeral cover? We’ve outlined a few guidelines, to ensure you don’t get caught out. Yes, a funeral can cost tens of thousands. But knowing the difference between a genuine and fake funeral policy could save you a great deal of time and money.

Pete’s Funeral Plans

If the name of the alleged service provider doesn’t sit well with you, it’s probably a scam. The same goes with cold calling and bulk messages. An authorised Financial Services Provider (FSP) will never ask for your banking details before you’ve agreed on a funeral plan. If they’re in a hurry to know who you bank with, do not proceed.

Read the Fine Print

You can now apply for funeral cover at certain ATMs, or by sending an SMS and having a sales agent call you back. That’s great, if you’re concerned about time. However, you should always read the fine print before committing to a policy. Become familiar with the claim process, waiting periods, clauses and benefits. Take the time to find the right funeral plan for you. This will help you identify the legit insurers from the opportunists.

Understanding the Law
Only a company licensed by the Financial Services Board (FSB) can sell you a funeral policy. By law, these policies must be underwritten by a registered long-term insurance company. If you have any doubts, you can always call the FSB and check if the insurer is registered.

Cooling Off
You should receive a certificate when your new funeral policy is issued, outlining the terms and breakdown of costs. The summary will also highlight your monthly premium and amount of cover. Once you receive this documentation, you have a 30-day period to change your mind. If you don’t get a certificate and you’re having trouble contacting the insurer, speak to your bank immediately about cancelling the debit order.

How Low Can You Go
What may seem like a good deal, could be a scam. If the service provider offers you cover for up to R100 000 and you’re only paying R50 a month, there’s something wrong. You should shop around for the right deal, but remember that a super low premium doesn’t mean you’re getting the best funeral plan for you and your family.

30 Oct 2015

The lowdown on Car Insurance Premiums

by Bernard | with 0 Comment | in Car Insurance, News, Vehicle

Nowadays, you can’t flip between your favourite TV channels or radio stations without landing on an advert about cheap car insurance. Most insurers seem to focus on their low premiums and cost-effective offering. But cheap isn’t always cheerful. Behind that attractively low monthly figure, lies a much greater lump sum called excess. The less you pay every month, the more you’ll fork out in the event of an accident or theft. If you’re thinking about buying a new car, or you’re not 100% happy with your current broker, consider the following before you scour the internet for car insurance quotes. Here’s a scary statistic: The Automobile Association of South Africa recently reported that more than 65% of cars on the road are uninsured. Yikes!

Premium vs. Excess

The amount you pay, once a claim has been paid out by your insurer, is referred to as excess. Remember that even if an accident is not your fault, you might initially be liable to pay excess. Be mindful of this when choosing a broker. Cheap car insurance sounds great – until you’re required to pay a hefty lump sum. Weigh up all the pros and cons when it comes to your premium.

Insurance with benefits
Some insurers offer a bonus if you don’t claim over a set period, while others give you cash back or other value-added services. Consider what’s important to you before signing on the dotted line. See what each potential car insurance broker offers, and how these benefits relate to your lifestyle. You might definitely need comprehensive car hire, if your vehicle is in for repairs. Then make sure that’s included in your policy.

Do your research
Whether it’s by word of mouth, search engine or a comparative site – like Deals on Tap – you should take a look at what’s out there before committing to an insurer. Getting car insurance quotes can be painful, but you’ll be glad you did your research later on. There’s a wealth of information at your fingertips.

Risk and restrictions

Paying a premium doesn’t mean that you’re guaranteed to get paid out when you claim. Read through your car insurance policy to get a thorough understanding of what is, and isn’t included. Your broker might insist that you get a tracking device fitted to the vehicle. Or perhaps there are penalties in place for young drivers. Is the policy restricted to a named driver? These things are important and should be considered.

The next time you see an ad for cheap car insurance, take a moment to consider these factors. While you may feel that it’s easy jumping between brokers, it’s also unnecessary and time consuming. You can find the right car insurance to suit your lifestyle, first time.

29 May 2015

Car Insurance and Motor Warranty: What’s the difference?

by Bernard | with 0 Comment | in Car Insurance, News, Vehicle

Car insurance and motor warranties are two different creatures, but both are necessary when driving in the urban jungle

Vehicles are not considered to be investments because of their relatively short life-spans and the many ways in which they can be damaged, but with sufficient car insurance and a suitable motor warranty, you can ensure that your four-wheeled baby maintains its optimum value. Before you owned your car, you might have imagined car ownership as something like the slicked-hair-combing, pelvis-thrusting, Pink Ladies-dating John Travolta with his Grease Lightning. Unfortunately, car ownership in real life involves far more paperwork and diligent planning than the movies would have us believe. Between potholes, taxis, drivers playing Candy Crush on their way to work, and just plain bad luck, there is never a time that you don’t need both car insurance and a motor warranty every time you drive out your garage.

Car insurance is a service you pay an insurance company to offset the expenses should you be involved in an unfortunate event in which your vehicle is damaged or written off. Three types of car insurance are available in South Africa – Comprehensive, Third Party, Fire and Theft, and Third Party. Comprehensive insurance, as its name suggests, covers most accidental damages sustained to your vehicle caused by yourself or someone else. It includes cover for damage caused by natural disasters (like floods), as well as third party cover, meaning it covers the costs when you’re responsible for damage caused to someone else’s vehicle, property or person. Comprehensive insurance also covers loss of a vehicle as a result of theft or hijacking. Third Party, Fire and Theft insurance offers insurance for only these three conditions – third party cover for when you are responsible for damage to someone else; fire or natural disasters; and theft. Significantly, this type of insurance does not cover you for accidental damage to your car in the form of a car accident or your own “preventable” actions when operating your vehicle. Finally is Third Party insurance, which covers only the damage that you cause to someone else. Any of these circumstances are at best inconvenient and unpleasant, and car insurance can help ease the financial woes that they bring.

A motor warranty, on the other hand, covers expenses that arise when parts of your vehicle malfunction. Car parts are designed for a specific function and with the intention of lasting for a certain time-frame without undue stress or forces acting on them. This means that if a part stops working through no fault of your own or without the intervention of an outside force (such as an attempted theft or natural disaster), the warranty acts as a guarantee that the parts will be repaired or replaced based on the specific value of the part and its age. The mechanical and electrical integrity of today’s cars are fundamental in their safety and longevity, but because perfection is unfortunately unattainable, motor warranties help protect you as a consumer from malfunctions.

Despite what car commercials and music videos would have us believe, vehicles are unfortunately a liability, rather than an asset. However, instead of comparing car insurance versus motor warranties, they should be seen as services that go hand-in-hand to promote the lifespan, value and safety of your vehicle. A motor warranty can ensure that your vehicle operates at its optimum, which in turn can help prevent accidents. But because of the uncertainties of life, car insurance ensures that even in the case of an accident, you, your car, and your wallet can be protected. So just like Danny and Sandy, car insurance and motor warranty go together like “ramma lamma lamma ka dinga da dinga dong.”

28 May 2015

Funeral Cover: Is it necessary?

by Bernard | with 0 Comment | in Funeral Cover, Life, News

A funeral policy provides for you and your loved ones at times of loss and eases the financial burden for those left behind.

The only certainties of life, they say, are death and taxes; and this is why a funeral plan is vital. It’s not something any of us likes to think about, but to care for our families, now and in the future, investing in a funeral policy could be one of the most significant decisions you make for yourself, as well as your loved ones.

Death unfortunately touches each of us, and while none of us can be spared of its effects, the loss can be eased by a funeral plan that caters to the needs of those left behind, at a time when they need it most. When we lose a loved one, it’s hard to think clearly about what needs to be done. Who needs to be contacted, the services that need to be organised, and payments that need to be made are often a jumble in the confusion that follows the loss of a family member.

But a funeral plan can help in the reassurance that your loved ones will not be faced with a financial burden on top of the emotional losses they are already enduring. Funeral policies typically pay out quickly, with recipients generally receiving cash back between 24 and 48 hours after a family member’s passing. This payment is most often paid out as a lump sum and the recipient then has a choice of what the payout should be used for. For most, the cash back is used to cover practical expenses associated with the funeral of a loved one. These needs vary from person to person, and may range from transport costs to airtime. Most often the payout provided by a funeral plan are used for tombstones, unveilings, caskets and plots. But there are also day-to-day expenses, like groceries, that are often forgotten at times of a grievous loss which can also be aided by the payout of a funeral policy.

Dealing with the death of a loved one is an emotional burden, but the financial strain can be eased with an affordable funeral plan that prioritises the honour, dignity and legacy of the deceased, as well as those left behind. We can’t help with your taxes, but we can certainly offer you some peace of mind and compassion about the other certainty in life.

A funeral policy that looks out for you and your family is a lasting investment from the peak of your life to help you through the valleys.

27 May 2015

Extended Car Warranty: What are the benefits?

by Bernard | with 0 Comment | in Car Insurance, News, Vehicle

Are you thinking about buying a used car? Or perhaps you’ve already bought one and are feeling a bit unsure about its mechanical or electrical state. Did you know that you can extend the motor warranty of any used vehicle by buying an extended car warranty?

Most used car dealers will offer a short motor warranty – SA warranties are usually 30 days or 2,000 kilometers (whichever comes first). Really cheap vehicles are sold cash as they stand (voetstoots), and will come with no motor warranty.

An extended car warranty is an insurance product that’s developed to protect your car against mechanical or electrical failure, after the manufacturer’s warranty has expired.

In South Africa, you’re able to select an extended car warranty provider that can offer you a number of product options. These options have different levels of warranty at different prices – giving you greater cover when you need to claim.

How much does an extended car warranty cost?

Let’s consider, for example, you’re interested in buying a used Toyota Corolla 1.6. The vehicle is 2 to 4 years old, with between 40,000 and 80,000 kilometers on the clock. It also has a full service history.

For a used vehicle with this profile, you can expect to pay between R126 and R277 per month for an extended motor warranty from a reputable insurance company.

Some of the important components that should be covered are:

Component	Value of cover
Engine	R12 500 to R20 000
Gearbox	R8 000 to R12 500
Clutch	R1 000 to R4 000
Electrical	R3 000 to R4 000
Differential	R8 000 to R12 500

Most insurance companies should also include handy benefits like:

Benefit	Value of cover
Vehicle hire – usually a 2-day rental in the event of mechanical repair or service of your vehicle	R500 to R1 000
Hotel accommodation – usually covered if your breakdown occurs in excess of 300 km from your place of residence	R500 to R1 000
Vehicle towing – usually covered in the event of a valid claim	R500 to R1 000

Your level of cover increases as you pay more for the motor warranty. It can also decrease a potential shortfall if you discover that it will cost more to repair or replace an item. Many SA warranties also offer additional benefits like medical evacuation from an accident or road side assistance.

What are the benefits of an extended car warranty?

Peace of mind: Your vehicle can be protected against unforeseen mechanical malfunctions (e.g. engine or gearbox failure) that are not covered by a general service or maintenance plan
Saving money: An extended car warranty is like financing potential repairs at below cost
Backing and support: You’ll receive assistance from the company that backs your extended car warranty. Many of us are at the mercy of professional mechanics. It’s not a problem if they are honest and trustworthy, but unfortunately, this is not always the case
Your warranty can inform the repairs company that you are not alone and that you have immediate assistance if you need it
Maximum resale value: A motor warranty is transferable to the next owner of the car, so it can increase your resale value.

26 May 2015

A Hospital Cash Back Plan: What is it?

by Bernard | with 104 Comments | in Life, Medical, News

Insuring your health is possibly one of the most important forms of insurance. There are many insurance options that cater for a variety of budgets, and that provide different types of coverage. It can be confusing to recognise the most important differences between all the available options, and to decide which one will best suit your needs and your pocket.

The most popular medical insurance options are hospital cash back cover and a hospital plan. They may sound like the same thing, but they are actually quite different. It’s very important to understand all the available hospital cover options. You don’t want any money worries or leave your family in a difficult financial situation, should you or a family member get injured or become ill.

A hospital cash back plan generally pays out a lump sum to the policyholder if and when you are hospitalised. If you are covered by such a policy, you’ll need to spend a predetermined amount of time in the hospital before this payment will come into effect – usually about two or three consecutive nights. An insurance company will usually pay a set amount per day of hospitalisation, for a limited period of time – up to R5 000 per day. This amount of money will depend entirely on your chosen policy. It will mostly cover the non-medical expenses that may arise during your stay in a hospital – e.g. loss of income, because you’re unable to work. This is why hospital cash back cover can be a great financial support if your family’s breadwinner ends up in hospital.

The main difference between a hospital cash back plan and a hospital plan, is that you’ll receive money directly to assist with your loss of income. A hospital plan, on the other hand, will cover a portion of your hospital bills.

What are the benefits of a hospital cash back plan?

Minimises a loss of income as a result of your hospitalisation
Premiums are generally more affordable than conventional medical aid
Your whole family can be covered under the same or a similar hospital cash back plan
Applications for hospital cash back cover are open to a wide range of ages
In most cases, a percentage of your premiums will be paid back to you if you don’t make a claim over a set period of time – usually between 15 to 20% if no claims are made during a 3 to 5 year period.

How much does a hospital cash back plan cost?

Let’s look at a basic estimation for affordable hospital cash back plans:

Individual cover for 30-year-old		Cover for 30-year-old and spouse		Cover for 30-year-old, spouse and children
Amount of cash cover	Monthly premium	Amount of cash cover	Monthly premium	Amount of cash cover	Monthly premium
R3 000	R453	R3 000	R813	R3 000	R813
R4 000	R 534	R4 000	R1 002	R4 000	R1 002
R5 000	R 712	R5 000	R1 360	R5 000	R1 360

Some of the benefits that might be included:

Cash back after every 60 premiums paid
Maternity benefits
Accidental death, disability and dread disease benefits.

A hospital cash back plan is not only affordable, but it also gives you peace of mind. Many people start out with hospital cash back cover, then change to another medical cover as they grow older and start a family.

24 May 2015

Car Insurance: Do you know the types?

by Bernard | with 0 Comment | in Car Insurance, News, Vehicle

The South African car insurance industry is made up of three main types:

Third party insurance
Third party, fire and theft insurance
Comprehensive insurance.

Although policies may differ from company to company, the three categories above are the most general options. Each of them serve specific needs, and may offer policy benefits like:

Installation of a vehicle recovery system.
Lifetime guarantee on all approved vehicle repair work.
24-hour roadside and medical assistance.

So what is the difference between the types of car insurance? Let’s have a look…

Third party insurance

This is usually the cheapest car insurance option available. It covers you against any damage that you may cause to someone else’s vehicle. It also covers the accidental death or injury to third parties involved in the same accident. It won’t however, cover you against loss or damage to your own vehicle that were caused by accidents, fire or theft.

Third party insurance is a good idea if:

You’ve already paid off your vehicle
The value of your car is relatively low, but you want to protect your finances against causing damage to someone else’s vehicle
You don’t drive often
You’re only looking for cheap car insurance.

If, for example, you’re buying a VW Polo Vivo 1.4, your estimated costs for third party car insurance could look something like this:

Male – 25 years old and driving for 7 years				Female – 25 years old and driving for 7 years
New		Used (2 years old)		New		Used (2 years old)
Monthly premium	Excess	Monthly premium	Excess	Monthly premium	Excess	Monthly premium	Excess
R110 to R170	R1 700 to R8 000	R110 to R160	R1 700 to R8 000	R110 to R160	R1 700 to R8 000	106 to 155	1,700 to 8,000

Third party, fire and theft insurance.

This type of car insurance will cover you:

For any damage that you cause to someone else’s vehicle
For the accidental death or injuries to third parties involved in the same accident
If your car was stolen, hijacked or damaged in an attempted theft
For damages caused by fires, lightning or explosions.

Third party, fire and theft insurance is a good idea if:

You still owe a minimum amount on your car
You drive an average amount of kilometres.

Let’s say you’re buying a Toyota Corolla 1.3, your car insurance quotes could be:

Male – 25 years old and driving for 7 years				Female – 25 years old and driving for 7 years
New		Used (2 years old)		New		Used (2 years old)
Monthly premium	Excess	Monthly premium	Excess	Monthly premium	Excess	Monthly premium	Excess
R294 to R326	R1 700 to R8 000	R290 to R318	R1 700 to R8 000	R270 to R300	R1 700 to R8 000	R269 to R293	R1 700 to R8 000

Comprehensive insurance

This type of car insurance covers a wide range of risks, and is highly recommended if you drive a new vehicle. Comprehensive insurance is usually the most expensive of the three types, and covers you against:

Theft
Accidental damage to your car
Accidental damage to the vehicle or property of a third party
Accidental death or injury to a third party
Certain natural risks like hail damage.

Comprehensive insurance is a good idea if:

You still owe money on your car
Your car is expensive
Your car is still relatively new
You frequently drive a lot of kilometres.

Let’s have a look at car insurance quotes for comprehensive cover. The below example is based on someone who is buying a BMW 320:

Male – 25 years old and driving for 7 years				Female – 25 years old and driving for 7 years
New		Used (2 years old)		New		Used (2 years old)
Monthly premium	Excess	Monthly premium	Excess	Monthly premium	Excess	Monthly premium	Excess
R1 570 to R2 282	R5 550 to R11 050	R1 020 to R1 710	R5 550 to R11 050	R1 376 to R1 780	R5 550 to R9 050	R915 to R1 325	R5 550 to R9 050

Deals on Tap

Author: Bernard

Pet Insurance: Why your fur-baby needs it

Fill in your details and we will provide you with quotes!

Funeral Cover: Why do you need it?

Car Insurance: Why you need it

Funeral Cover: How to Avoid Scams

The lowdown on Car Insurance Premiums

Car Insurance and Motor Warranty: What’s the difference?

Funeral Cover: Is it necessary?

Extended Car Warranty: What are the benefits?

A Hospital Cash Back Plan: What is it?

Car Insurance: Do you know the types?