Let’s face it – we all need some form of short-term insurance in South Africa. Whether you prefer to keep things simple or if you enjoy the finer things in life, having the right cover in place for your possessions is vital. Regardless of how you live your life, we all face risks each and every day, and the last thing you need is to have no cover in place when ‘life happens’.

The world of short-term insurance can be daunting for some, but it needn’t be. While there can be a lot of information in a short-term policy, the basics are relatively easy to understand. Unfortunately, there are still many myths circulating about what is covered and what isn’t.

To help, let’s take a look at some of these misconceptions and separate fact from fiction.

Misconception #1 – Short term insurance covers all losses

This is not necessarily true. While your short term policy may cover certain types of losses or damages, it could be limited or excluded from covering other types of losses. You should always read the fine print and speak to your insurer about any specific coverage queries you have.

Misconception #2 – Short term insurance is expensive

One common misconception about short term insurance is that it is always expensive. The truth is that short term insurance can be very affordable, depending on the type and level of cover you choose. By speaking to your short term insurance broker, you can find a policy that covers your needs without breaking the bank.

Misconception #3 – There are no exclusions or limitations with short term policies

When it comes to short term insurance policies, there is a common misconception that these plans have no exclusions or limitations. However, this is not true. While short term policies can offer flexibility and affordability, it is important to carefully read and understand the terms and conditions of the plan. It is only by doing this that you can know what your policy does and doesn’t cover.

If you are ever unsure, speak to your insurance provider or give Kayser Baird Insurance a call to discuss the finer details of your policy to better understand what is covered and what isn’t.

Misconception #4 – Short term insurance cover is a one-size-fits-all agreement

With short term insurance cover, one misconception is that it’s a one-size-fits-all agreement. But in reality, that couldn’t be further from the truth. Short term insurance cover can come in a variety of forms to suit different needs and circumstances. For example, someone going on a one-week vacation might opt for travel insurance, while someone renting a car for a month might need rental car insurance. There’s also event insurance for weddings and other special occasions, and even pet insurance to cover unexpected vet bills.

It’s important to know that you can tailor your policy to suit your lifestyle and your needs.

Misconception #5 – You can drive any car if you have short term car insurance on your vehicle

It’s a common misconception that having short term car insurance allows you to drive any car. Unfortunately, this is not the case. Short term car insurance only covers the vehicle it is purchased for and does not extend to other vehicles on the road.

So, if you borrow a friend’s car and get into an accident, you may not be covered by your short-term policy. It’s important to fully understand the limitations and requirements of your car insurance to avoid any surprises while behind the wheel.

Always consult with your insurance provider to ensure you have the appropriate coverage for your needs.

Misconception #6 – The colour of your car affects your insurance premium

Many people mistakenly believe that the colour of their car affects their insurance premium. This is not true. Most insurance companies do not consider the colour of your car when determining your premium.

Rather, they look at factors like the make and model of your car, your driving history, your age, and the location of where you live. So, whether you drive a bright red Range Rover or a muted blue Fiesta, the colour will not impact how much you pay for insurance.

It’s important to know the facts about how insurance premiums are calculated so that you can make informed choices and get the best coverage for your needs.

Misconception #7 – Your jewellery has to be covered under ‘all risks’

Many people believe that their jewellery must be covered under ‘all-risks’ in order to be protected from any losses or damages. However, this is not necessarily true. While an all-risks policy is comprehensive and does cover most types of losses, it may not be needed for jewellery that is of lesser value or that is not frequently worn.

In some cases, a specific peril policy may be a more cost-effective solution. It is important to assess the value and risk associated with your jewellery, and discuss your options with an insurance professional before making a decision on what type of coverage to get.

Misconception #8 – It’s a good idea to underinsure your household contents to save money

When it comes to insuring your household contents, there’s a common misconception that under-insuring is a smart move to save money. While you may save some money on your monthly billing, in the event of theft, damage or loss, you could end up paying a lot more out of pocket if you don’t have adequate coverage.

At Kayser Baird we offer a range of policies and options to fit your budget and needs, so there’s really no reason to skimp on coverage. The bottom line? Don’t take chances with your possessions – make sure you have the appropriate insurance coverage in place, and you’ll have peace of mind knowing that you’re protected.

Misconception #9 – Only large companies can benefit from short term insurance

Many people assume that only big businesses can benefit from short term insurance. However, this isn’t true. In fact, small and medium-sized enterprises can benefit just as much as their larger counterparts.

By having this insurance, small businesses can better protect themselves from financial risks that can arise from the likes of theft, accidents, or loss. Moreover, short term insurance policies are often flexible and customizable, making them a useful tool for small businesses seeking affordable coverage that meets their specific needs.

So, don’t let the misconception that only large companies can benefit from short term insurance stop you from exploring this valuable coverage option for your business.

Misconception #10 – I have to take out a separate home drive assist service with my Santam personal policy through Kayser Baird Insurance

Having a home drive assist service is quite handy, especially if you are looking to enjoy an evening out and not have to worry about driving home under the influence.

There is a common misconception that you need to take out a separate home drive assist service with your Santam personal policy through Kayser Baird Insurance. The good news is that this is not true. Santam includes a home drive assist service as part of their policy, meaning you don’t have to pay extra for this service.

As a Kayser Baird client, you can simply dial a toll-free number and be chauffeured home with your vehicle if you find yourself over the legal limit. You receive six callouts a year and it’s available to Santam clients within 50kms of the city centres of Johannesburg, Pretoria, Nelspruit, Polokwane, Durban, East London, George, Cape Town, and Bloemfontein. The number to call is 0860 505 911.

Misconception #11 – As a small business, I don’t need Directors and Officer Liability Insurance

Small businesses are often stereotyped as under-resourced and under-insured. It is an unfortunate misconception that Directors and Officer Liability Insurance is only necessary for large businesses that have an extensive board of directors and high-level executives.

However, small businesses are equally vulnerable to lawsuits and legal claims. As a small business owner, you need to protect your personal assets as well as your company’s reputation. Directors and Officer Liability Insurance goes a long way towards mitigating these risks and ensuring that your business is shielded from financial losses caused by unforeseen legal battles.

Remember, investing in insurance today can save your business tomorrow.

Conclusion

When it comes to car, home, and business insurance, it’s important to take the time to understand the facts so you can make sound decisions about your insurance coverage and get the protection you deserve.

Kayser Baird Insurance is here to help dispel any misunderstandings you may have about insurance and provide you with the guidance and advice needed to get the most out of your policy.

Trust Kayser Baird Insurance with your short-term insurance needs

There is a good reason why we’ve been awarded the prestigious Santam Broker of the Year award 13 times since 2000. We pride ourselves on uncompromising standards of service, assisting thousands of people across South Africa with their personal and business insurance needs.

Our team of highly skilled and trained specialists is always on hand to answer any questions you may have and ensure that you get the best coverage for your needs. So, don’t hesitate to contact us at 031 767 8000 today and let us help you protect the things that matter most. 

At Kayser Baird we know our stuff when it comes to insurance – so trust us with your short-term insurance needs!