Hello Mabs
I recently paid off my car after five years and have kept up with my monthly insurance premiums. Someone bumped into me, causing minor damage to my car. He admitted fault, and we exchanged contact details, deciding to handle the matter through our insurance companies.
I got repair quotes, with the cheapest being R15,700. Here’s the issue: my excess is a steep R12 500. So far, the insurance company hasn’t mentioned anything about the other driver, and they’re expecting me to pay upfront before they fix my car. I’m frustrated because I’ve never missed a premium in over five years, and this is my first accident. They want me to pay a large sum, even though I wasn’t at fault.
Mabs Answers
I’m sorry to hear about your accident, but I’m glad you’re fully insured, as you should be. Many motorists make the mistake of not insuring their cars once they’re paid off. I get a sense that you view insurance as a savings fund, but it’s there to protect you and your vehicle from financial losses if something happens while you’re driving.
The excess is the amount you agreed to pay out of pocket before the insurance company covers the rest of your claim. This should be outlined in your insurance documents. While your excess might seem high compared to the cost of the damage, many people choose a higher excess to keep their monthly premiums low. I suspect you did the same, and this should be detailed in your original contract. If you can’t find it, ask your insurer to send it to you.
If you’ve provided the details of the motorist who caused the accident to your insurer, they should follow up with that person’s insurance company to claim the full amount. Once they receive the funds, they will reimburse your excess.
Going forward, if you’re unhappy with your cover and excess, consider shopping around for cheaper insurance. Since your car is older, you may pay lower premiums and can negotiate an excess that suits your financial situation, ensuring you’re not left short if you’re in another accident.
