Short term insurance can become an expensive part of your monthly budget. On one hand it offers peace of mind in cases of emergency, for example: a burst geyser, the theft of a car, a break-in resulting in the loss of some or all of your valuables.
On the other hand, paying for too much insurance, or for insurance you don’t need, is a waste of money.
Essentially you need to combine financial peace of mind with the correct cover. The most common forms of personal insurance are protection of household goods, personal liability cover and vehicle insurance.
Ever thought what would happen if your car got stolen, hijacked, damaged, or your house burgled, flooded during a storm etc? We all hope (and some believe) it won't happen to us, but reality is: it does happen! Usually when we least expect it and cannot afford the loss.
A short term insurance policy provides cover against loss, damage, liabilities and more. You pay a premium (either monthly or annually) to an insurance company who in return provides the cover to compensate you when you suffer a loss on insured items.
Insurance companies determine your premium based on your risk profile (age, gender, where you live, security measures, item insured, value of the item, claims history of the insured etc.)
High risk = high premium and low risk = reduced premium.
For more information about how our financial planners can assist you with your short term insurance, please contact us.
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Olemera Financial Advisor South Africa would like to join the conversation around the ever-present COVID-19.
As we aim to educate ourselves on safety measures and precautions, we find it equally crucial to share such information with our readers so that we can work together to actively mitigate the spread of this infectious virus.
Read More ...Posted by Gary Walker on Friday, March 20, 2020 Views: 66