Empire Fleet Solutions

After acquiring both your driver’s license and a car, all that is left to get is some vehicle insurance.  Although vehicle insurance is not required by law in all instances as is the case overseas, it is still advantageous to have.  Whether you have just bought your first car or been driving since the 50’s, you will undoubtedly have some questions regarding vehicle insurance.  Below are some great tips to help you find affordable vehicle insurance coverage. 

• Shop around

There are plenty of vehicle insurance companies advertising their services.  Each and every one of them make promises that they are the best and are able to save you hundreds of bucks annually in premium costs and subsequently offer you more benefits than their competitors.  Compare vehicle insurance companies with each other in order to see who will indeed give you the best vehicle insurance deal.  As this is a big decision financially that could greatly impact the financial stability of your family, you should not rush into anything. 

• Safe driving

This tip should be obvious.  If you have a dodgy driving record, chances are good that vehicle insurance companies will think twice before giving you vehicle insurance; however, if they do, it will not come at a cheap price.  The more accidents you have been involved in, the more they will charge you for vehicle insurance.  Also, if you do get vehicle insurance and you are involved in an accident, you can expect your premiums to go up.  Thus, avoid getting into any accidents if you want to build up a good driving record. 

• Vehicle

Having a reliable vehicle will count in your favour when it comes to vehicle insurance.  The vehicle’s age, as well as its condition and accident history is important factors that vehicle insurance companies take into consideration.  If your vehicle has been in a number of accidents and you have to fix it on a constant basis, a vehicle insurance company may consider giving you the value of the vehicle rather than pay you to get it fixed; if your vehicle is not reliable, vehicle insurance companies might argue that it is not worth as much as the repair costs.

A lot of thought and planning usually goes into the process of selecting a vehicle insurance company.  Most people are under the impression that all vehicle insurance companies are equal.  Truth is they are not.  Important factors to keep in mind when having to select a vehicle insurance company is, among others, the types of vehicle insurance companies offer, the prices for each type of coverage, and how quickly these vehicle insurance companies reimburse claims. 

The price that you pay for vehicle insurance is of the utmost importance when selecting a vehicle insurance company.  Depending on the vehicle insurance company, the same type of vehicle insurance can vary with a few thousand rand.  Always ensure that you do your homework and figure out which vehicle insurance companies are competitive in their pricing structure. 

Another extremely important factor to be considered is the service aspect concerning vehicle insurance companies.  If you are in trouble and in need of immediate assistance, you should have the piece of mind that your vehicle insurance company will have resources on hand to help you on your way, either by assisting you with medical emergencies or by renting you a vehicle to get you home safely.  If you have any queries, reaching your vehicle insurance agent in a timely manner should also not be any hassle.

It is important to note that not all vehicle insurance companies operate in all areas.  Friends and family members may refer you to their vehicle insurance company which they are very happy about.  However, chances are that if you live in a different area or province than they do, policies and prices can change dramatically.  It is also worth knowing that vehicle insurance companies must be licensed to operate in a specific region; thus, some vehicle insurance companies might not even be available depending on where you live.

A basic vehicle insurance policy may include up to six different types of coverage.  Each section of a vehicle insurance policy is usually priced separately.  The various types of coverage include vehicle insurance liability, liability coverage, personal injury protection, property damage liability, collision insurance, and comprehensive insurance.

Different types of coverage included within a Vehicle Insurance Policy (H2)

• Vehicle Insurance Liability

Vehicle insurance liability covers you as the vehicle insurance policy holder or designated driver, for injuries caused by you to others whilst driving.  Other individuals such as family members or friends may also be listed on the vehicle insurance policy; this means they are also covered when driving your car. 

• Liability Coverage

Having enough liability insurance coverage is of the utmost importance, because you could be sued for a large amount of money if involved in an accident.  If liability insurance coverage is not included within your vehicle insurance policy but you do have a house or other savings, then these assets are at risk through a court case. 

• Personal Injury Protection

Personal injury protection (PIP), or commonly referred to as medical payments, also forms an important part of your vehicle insurance policy.  Personal injury protection refers to the amount of vehicle insurance coverage provided to cover all treatment of injuries to you as driver and policy holder, as well as to your passengers. 

• Property Damage Liability

Property damage liability is an important part of your vehicle insurance policy.  Property damage liability pays for damage that you or another person driving your car may cause to someone else’s property. 

• Collision Insurance

This type of vehicle insurance policy covers all costs associated with damage to your vehicle when in a collision with another vehicle.  It also covers damage caused by potholes.

• Comprehensive insurance

Comprehensive insurance is that type of the vehicle insurance policy that protects against damage or loss due to theft, or something else other than a vehicle.  This could include vandalism, a flood, an earthquake, or fire. 

Due to the many vehicles on our roads these days, you are bound to be involved in an accident at some time or another and thus be forced to make a vehicle insurance claim.  However, you do not have to worry too much as a vehicle insurance claim is a fairly simple process.  You make a vehicle insurance claim, the adjuster comes out to estimate the cost to repair the damage, the insurance company sends you a check for that amount and you use it to pay for the repairs.  Every vehicle insurance claim requires some kind of proof of damage before the insurance company will pay out the necessary amount.  There are usually five elements of proof that will come into play when making a vehicle insurance claim, which include what you tell the insurance company, what the other party tells them, a police report, witnesses, and physical damage at the accident scene.

Steps involved to make a Vehicle Insurance Claim

• Step 1

Summon the emergency services, as medical attention will in all likelihood be needed.  Be sure to phone the police as well, as the police report is crucial for the vehicle insurance claim.

• Step 2

Exchange contact information, insurance information, and license plate numbers with the other party involved.  All the above is necessary to make a vehicle insurance claim.

• Step 3

Be on the lookout for witnesses who are willing to share their account of events.  Also take their contact information, as they could play a crucial role in your vehicle insurance claim.

• Step 4

Contact your insurance company as soon as possible.  Most have 24-hour claim-filing service by phone.  The individual taking your claim will assist you with the process of vehicle insurance claim.

• Step 5

If the other party is at fault, you should inform the other party’s insurance company that you are pursuing a vehicle insurance claim through your own insurance company and will seek reimbursement for those costs your insurance company will not pay.

• Step 6

At some or other time you will receive a phone call from the other insurance company asking you to tell them your version of events which led to the accident.  Prepare for this beforehand.  This is done in order for the vehicle insurance claim to be processed successfully.

• Step 7

The adjuster will come out to take a look at the damage to your vehicle and subsequently estimates how much it will cost to restore or replace.  The insurance company will then hand you a check in the amount of the repair.  Your vehicle insurance claim is now close to being settled.

• Step 8

If a dispute arises because you think your insurance company’s damage settlement offer for your vehicle insurance claim is too low, you may demand a form of arbitration to resolve the dispute.  The same applies when a dispute over damage settlement arises with the other party’s insurance company.

Although it is not required by law like in some other countries, it is still a wise decision for all car owners to apply for motor vehicle insurance.  Some people do not understand why they should apply for something so costly.  However, they should understand that motor vehicle insurance will be of benefit to them in the long run.  Those individuals without motor vehicle insurance would suffer dearly if they encountered an accident.

If you are planning to apply for motor vehicle insurance, you might find the tips below useful when going through the process:

• Probably the most effective tip on getting motor vehicle insurance is that of always shopping around.  Acquiring and subsequently comparing different rates and offers will give you a good idea of what deal will fit your needs the best.

• Collect as many insurance quotes as you could possibly lay your hands on.  This will help you compare different types of rates and see whether any discounts concerning motor vehicle insurance are on offer.

• Hiring a broker may be a good or a bad idea, depending on the degree of your shopping and research skills regarding motor vehicle insurance.  Note that it will result in additional expenses if you do decide to hire one.

• You will get better motor vehicle insurance rates if your vehicle has security devices like a car immobilizer or theft alarm installed.  Having a GPS installed, as well as your own locked garage, can also lead to discounts.

• If you are a member of some or other motoring organization, there is the possibility of receiving a discount on your motor vehicle insurance.

• If you are a man and married, it is a good idea to rather obtain motor vehicle insurance on your wife’s name; this will save you a few bucks on the premiums.

• Limit the number of possible drivers of your vehicle.  The more authorized drivers the vehicle has, the higher your motor vehicle insurance will be.

• By applying for a fixed mileage policy, insurers will come to the conclusion that the vehicle is not used that much, resulting in lower motor vehicle insurance cost.

• You can even gain lower discounts or rates on your motor vehicle insurance if you take defensive driving lessons.  Insurance companies usually recognize this.

• At all times maintain a good driving habit.  If this is the case, insurance companies will fall over each other trying to offer you motor vehicle insurance.