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Suzuki’s new Swift hatch and sedan in SA

Suzuki kicks off its new model assault with an all new Swift hatchback and standalone sedan called the Dzire.

Reader: 'R50 insurance a bargain'

2013-04-03 11:04


PROTECTION FROM THE UNINSURED: Reader BRIAN BOGAARD says R50 is a great bargain for third-party insurance and would help to push compulsory insurance in SA.

In April 2013 we reported that Alexander Forbes Insurance (AFI) demanded compulsory third-party damage insurance for ALL vehicles using South African roads... and it could cost R50 a month.

According to the AA, a whopping 65% of vehicles sharing the tar with you have NO INSURANCE AT ALL! If a wreck of a taxi hits your family car, the chances of the damage being paid for are pretty much ZERO - and that means you, the insured car-owner, will have to cough up for repairs for something that is no fault of your own.


Reader BRIAN BOGAARD, a South African living in Italy for the last 10 years, shares his views on our article titled "65% of SA cars NOT insured".

“Countries such as the United Kingdom, United Arab Emirates and Italy have successfully implemented third party insurance.

R50 is a great bargain and would help to normalise South Africa from a compulsory insurance point of view. The reality is that insurance in the EU costs a lot more than one would think considering the driving population size. It’s especially high for those just starting to drive.


Not only is it compulsory but it’s treated as a crime if you drive without insurance. Fortunately my BMW 530 insurance is covered under a lease agreement (company cars are still the norm in EU) but my wife's new Fiat 500 (valued at €16 000) costs R14801 a year.

The lowest third-party only insurance for our 2003 Fiat Panda (devalued to a mere €3000) costs a whopping R14564 a year for my kids aged 18 and 21 to drive (who are also EU-licensed now). My wife and I had to redo our learners and drivers tests as they would not convert our South African licences to EU versions.

The Panda's insurance is the lowest online cost we could find for a driver under 26 with a licence valid for less than three years. Incidentally, the 20-point system here is alive and well (fortunately we have all escaped fines so far despite my enthusiastic driving).

For the first three years of your licence you are not allowed to exceed 100km/h on any highway (vs 130km/h max limit) and any points earned would be doubled in the first three years.

Any drunk driving (you will be tested in the case of even a bumper-bashing) and your licence is suspended and you will be monitored by a doctor for up to two years to show your system has zero alcohol content before your licence is reinstated.


One of the reasons for the high insurance cost is the common practice of civil suits in the case of a crash. The state evaluates the "value" of a person if they are killed in an accident which may amount to millions of euros.

Dubai has a similar "blood money" concept. The scary part is that we've been told that there is a spreadsheet checklist in Italy with an approximate value for the deceased person based on sex, race and nationality... sound familiar?

R50 a month for third-party is an amazing opportunity; if a driver can't afford it, the driver simply cannot afford to drive/own a car.”


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