By: Natasha Archary
When it comes to car insurance, are you covered or not?
A video of a woman accusing the driver of the Lamborghini that she allegedly rear-ended for the crash, sparked the Kaya Drive discussion on car insurance this Tuesday.
Although the woman’s Audi was damaged in front, she yelled at the Lamborghini Aventador owner whose vehicle was rear-ended.
Sizwe Dhlomo covered the basics of car insurance on the show and as is the rule of the road generally the driver who hits the rear of the vehicle in front is often held responsible.
This is because he or she was unable to stop in time to avoid the crash. Another point could be that the driver who rear-ended the other car was not keeping a safe following distance.
Disclaimer: The video below contains profanity, viewer discretion is advised.
The purpose of a car insurance policy is to ensure that in the event of an accident or your vehicle is stolen that you are covered for the market value. Whether you are responsible for the accident or damage is incurred due to a third party, car insurance provides peace of mind.
According to the Automobile Association (AA), there are over a million uninsured drivers on the roads at any time.
That means about 70% of people on the road don’t have insurance.
Understanding your policy is necessary so you are aware of clauses that stipulate when your insurance may reject a claim.
Are you covered or not?
Using the above incident as an example, if the accident is not your fault do you still have to pay an excess?
Yes. Even if the accident was not your fault and you want to submit a claim, you’ll still need to pay the applicable excess amount as prescribed by your insurance policy. After the claim has been settled, your insurance company’s legal team will do their very best to recover your excess from the guilty party.
If there is minimal damage to both vehicles, do you need to inform your insurance company?
Yes. It may seem like the damage to the vehicle is minimal on the surface but the impact of the collision could have affected the integrity of inner car parts. If you don’t assess your vehicle after a collision, it could cause further damage to your vehicle at a later stage which your insurance company can reject to cover.
Do you leave the accident scene if your vehicle is still mobile?
While it is not advisable to do so, unless someone was injured in the accident and requires medical assistance, you may drive to the nearest police station to report the collision.