High inflation and stagnant economic growth have been a characteristic of the global economy since last year as a result of increased consumer demand in a post-pandemic era, supply chain shortages, and the Russia-Ukraine conflict amongst other factors, according to Rudolph Britz, chief actuary, Momentum Insure.
This situation will be further impacted by the South African Reserve Bank’s announcement that interest rates would increase by 75 basis points.
Britz shares tips to help consumers save money on their premiums and stay covered for any unforeseen events.
Save on your monthly premiums
According to Britz, the longer you have an insurance history, the better the insurance terms and conditions will be.
“This means that if you take out insurance as early as you can, and have no gap in cover, you will be able to build your risk profile which could potentially mean saving on your premiums,” Britz said.
Ensure your car is in order
Not having proper diagnostics or maintenance on your car result in petrol wastage and speed up wear and tear on your vehicle.
Britz said that many workshops offer a multi-step check to see if your car is in a well-maintained condition. Doing this check, can save you fuel in the long run as well as reduce potential mechanical failures and accidents.
Check your security systems at home
Make sure that your security devices are linked to your security service provider and that your security measures such silent alarms, sensors and emergency buttons are working properly.
Check that the passcodes are active on all of your keypads, that everyone remembers the codes, and is it very important that only people that you trust know how it works.
Britz said: “Increased security lowers the risk of burglary or theft which in turn makes for competitive terms for theft cover. Another way for clients to enjoy lower premiums that’s a win-win is by increasing their safety at home.”
“While safety measures such as CCTV cameras and electric fencing can be a huge investment, people can make back some of that money through lower premiums on their home cover.”
Revise your insurance plan
Double-check that you insurance is in order by reviewing what you have listed in your house and the value your belongings are insured for.
You may have taken out a short-term policy for something you may not own anymore, by eliminating them you can money and avoid paying unnecessary premiums.
Be safe in all situations
Britz said that there is a lot to be said for making sure you are as safe as possible in every situation you can.
“Make sure your belongings are stowed safely when you are travelling. Ensure that your handbag and other mobile items are adequately covered,” Britz said.
“Remember if you lose your valuables, it will cost you a lot of money to replace them if they are not properly insured. Remember to keep your valuables in safe places.”
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