Spring clean your insurance: we give you our top tips

Every year, your contract with your short-term insurance company is automatically renewed. More often than not, your insurance contract simply ‘ticks over’ without your having scrutinised it to check that you’re neither over-or under-insured.

The ombudsman for short-term insurance, Dennis Jooste, repeatedly warns consumers to review their insurance policies every year. At Santam, we think ‘spring cleaning’ your insurance policy may even help you save some money in the long run.

Adjust the amount you’re insured for

The main reason for reviewing your policy is to make sure that you are insured for the right amount – this is what insurers call the ‘sum insured or limit of indemnity ’. Over the course of the past year, you may have bought a brand new bicycle and a couple of other items, all of which means you will have needed to adjust the contents of your home insurance cover.

The structure of your home

If you’ve enhanced the value of your home by replacing your roof or redoing your kitchen you need to increase the amount your house is insured for too. Your house (its structure) and your belongings (the contents of your home) must be insured at their replacement value – that is, what it will cost you, at the time of a claim, to replace the building (your home) or belongings with similar, new structures or items.

Your car

Your car should be insured at a “reasonable market value”. Reasonable market value is the retail value, which is what a dealer would sell it for, considering its age, the mileage, the condition of the car and any extras. If you’re wondering what your car is worth, Santam has put together a car calculator to help you work out the reasonable market value of your car.

Reasons to insure with Santam

Santam is South Africa’s largest short-term insurer, insuring risks of over R4 trillion. We’ve paid out 99% of all claims made in the past year. We also offer the following cover and benefits:

Request a quote

Speak to your intermediary or call us on 0860 444 444 for more information about buildings and household contents insurance.