Car Insurance Calculator
Consider South Africa’s road accident statistics: approximately one million road accidents are logged per year. In a country that scores so poorly in road safety, it’s a no-brainer that you should be protected by a car insurance policy.
Dialdirect has got your back in the event someone should bump into yours with multiple vehicle insurance options to suit your pocket. Plus, with the monthly payback product you can get up to 75% of your comprehensive car premium back in cash every month paid straight into your account just for driving right and insuring right, depending on the cover and payback option that you are paying for. Get a quote using our online Car Insurance calculator today.
Once you’ve chosen which Dialdirect Car Insurance product is right for you, it’s time to talk about risks. When it comes to car insurance there are several factors that can have a major impact on the price you pay. Insurers consider the following factors to determine whether you’re a ‘high risk’ or a ‘low risk’ client when calculating your insurance premiums.
How are car insurance premiums calculated?
Are you considered a high- or low-risk driver? Insurance premiums are calculated using risk assessments on you as a driver (how you drive, where you drive, when you drive) and on the integrity of your car (what you drive). The higher the risks, the higher the premiums. The following are a handful of factors that insurers will use to determine whether you’re a high- or low-risk driver:
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How you drive: Fender bender while fumbling for your face mask? Gate close on your car again? Maybe a few outstanding traffic and speeding fines? A history of careless driving can increase your insurance premiums. Settle any outstanding traffic fines before you apply for car insurance. That way, you can be sure your premiums are the best they can be.
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When you drive: When, where and how often you drive are factored into your risk assessment. For instance, you can expect to pay higher insurance premiums if you drive 60 km per day in rush hour traffic through sketchy neighbourhoods at night, as opposed to driving 6 km during the day in off-peak traffic.
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Where you park: If your car is parked in a garage in a safe area with good security, you will be considered a low risk candidate and can expect to pay less on your premiums. However, if you park in the street without any security in a neighbourhood known for its high crime rate, expect to pay more. Where you park your car at your place of work is also important to factor in. Parking bays in secure, preferably covered or underground spaces are ideal and make it easier to avoid paying more in insurance costs.
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Getting older: While age is but a number and for the most part, can stay safely tucked away in your ID book, age matters when calculating your insurance premiums. The age bracket for ideal car insurance coverage rates is between 25 to 70 years old when you can expect to pay the least on your car insurance premium. Those aged outside this bracket are considered higher risk drivers and will pay higher premiums.
Is the minimum amount of car insurance enough?
At Dialdirect, our cheapest insurance option is Third-party Only Insurance. It’s a basic plan that only provides coverage if you damage another person’s property in an accident. While something is always better than nothing, Dialdirect offers more Comprehensive Car Insurance packages that ensure more bang for your buck.
Before you just go for the cheapest option, consider what you need from your insurance. If you do very low mileage on your car, mostly the school run for example, and your car isn’t worth that much, our Third-party Only plan might suit you. However, if you commute most days, go on holidays in your vehicle or park in a sketchy part of town, a comprehensive vehicle plan is worth it. Even though your risks are much higher, you can still be certain you’ll be covered for most eventualities.
If neither of these is ideal, we offer a third option – Third-party, Fire and Theft Insurance. Here, you get generous third-party cover in case you accidently damage someone else’s property with your car, cover for fire damage (because you never know, right?), and theft cover.
Is foregoing car insurance illegal?
Car insurance is not a legal requirement in South Africa. The only time it is compulsory to have automotive insurance is when you’re paying for your car through a finance policy – finance houses usually make it a condition of the finance agreement that you take out car cover.
Having said that, it doesn’t mean you shouldn’t have insurance. Most drivers on our roads are uninsured, so if you’re in an accident, chances are your insurance will have to cover the costs to repair or replace your car whether or not you were at fault.
Will my premiums change if I move home?
Yes. Location can affect the price of your premiums. This is because different addresses present different risks. The kind of factors Dialdirect takes into account when you move include the crime and accident rates in the area and where your car will be parked overnight. For example, high-crime areas present a higher risk which equals higher premiums.
Be sure to contact Dialdirect if you move – if you don’t let us know, it could lead to a rejected claim or a reduction in your claim amount depending on your new location. We advise you to update us often to be certain your insurance cover is the best it can be.
How can I lower my car insurance premiums?
If you’ve used a car insurance calculator in South Africa and found your premiums to be higher than you expected, you might want to think about ways to lower it. Here are some ideas:
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The car brand: The type of car you drive affects your car insurance premiums. Your insurance premiums are likely to be higher when you choose a car that requires special parts that need to be imported.
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Fast cars: If you’re not starring in the ninth instalment of Fast & Furious, opt for the station wagon over the V8 convertible. Your premiums will automatically decrease with the size of your car’s engine.
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Colour: Believe it or not, the colour of your car also affects your insurance premiums. This is because unique colours like yellow or green can cost more to repair when damaged than more common colours like white or silver.
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Young drivers: If you’re under 25 years old you are considered the risky lot. There is a possibility you might be able to insure your car under a parent or guardian’s insurance package and be put on the policy as the regular driver.
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Update often: Check in with us often. If you move to a place that has safer parking than your old place, tell us. Conditions like this can help you slice a few rands off your insurance premium. Communicate any changes in your life that could lower the risk profile of your car to your car insurance provider, such as getting married. Yes, married people are considered a lower insurance risk.
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Drive less: It’s a no brainer, right? Being on the road less may not lower your premium, but it’ll definitely lower your risk of being in an accident. Think of alternative ways to get around. Start a carpooling system with people that live and work near you or take an Uber.
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Take an advanced driving course: Sign up for an advanced driving course. Extra training goes a long way when it comes to car insurance premiums. If you pass an advanced driving course you could reduce your car insurance premium because you’ll be seen as a lower risk.
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Use the Dialdirect Insurance App: Our app scores your driving performance every time you take a trip. It offers pointers and tips to help you improve your driving, and the better you drive, the less chance you have of getting into an accident.
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Get a car insurance quote with Dialdirect: When you have Car Insurance with us, and you have the monthly payback product, you can get up to 75% of your comprehensive car premium back in cash every month just for driving right and insuring right, depending on the cover and payback option that you are paying for.
Car insurance quotes with Dialdirect
Don’t get caught ‘uncovered’. Insure your car the way you want to with Dialdirect’s multiple Vehicle Insurance options today and feel certain that your insurance will pay out in the event you need to claim. Use our online car insurance calculator to get a quote today.
Remember, if you get stuck or would like to clarify anything about your insurance coverage, simply call us on 0861 555 580 and a friendly consultant will assist you, so you can be certain of the cover you’re taking out. Do your thing. Get back ching.
Dialdirect is an authorised non-life insurer and FSP. Ts&Cs online.
Payback is dependent on the option selected. In order to qualify for the full advertised reward Payback Booster must be selected at an additional cost, and the customer must drive right, insure right and complete the additional activities.
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