Budget car insurance is a policy that provides coverage for various types of motor vehicles, including those worth less than R100,000 and not financed. Budget car insurance allows customers to save up to 20% on their car insurance premiums. Switching to Budget can save you up to R340.00 per month on premiums.
Budget Car Insurance offers a 15% cashback for those who are claim-free and have continuous coverage for the first 2 years. If the insured remains claim-free for another 2 years, he or she will receive a cash refund of 10% of all premiums paid. Every claim-free year after the 4th year of being insured is rewarded with a 10% cashback.
Those who want to insure a motor vehicle worth R250,000.00 or less can also get insurance with a lower premium. Cars that can be insured include both financed and non-financed vehicles.
Budget car insurance offers customers a variety of car insurance products to choose from. These car insurance options are discussed further below.
Budget Car Insurance Plans
Budget Insurance has 4 car insurance products that are available for individual motor vehicle owners. The 4 car insurance products are explained below.
1. Budget Comprehensive Car Insurance
Budget Comprehensive car insurance is a package that covers more risks than any other type of Budget auto insurance. This policy is reasonably priced and includes additional benefits that you can benefit from.
Comprehensive car insurance includes coverage for theft, loss, and hijacking, as well as accident and third-party liability. The various types of coverage provided by comprehensive car insurance make the product an all-around car insurance product, as it protects you from any and all losses or damages to your vehicle.
Budget Comprehensive Car Insurance Benefits
Budget’s comprehensive car insurance comes with a number of benefits that you can take advantage of. These benefits come at no additional cost and are activated as soon as you accept the comprehensive car insurance quote. The comprehensive car insurance benefits include:
Assist benefits are a number of benefits that are meant to help the policyholder during times of emergency. These benefits come at no additional costs. There are a total of 6 assist benefits that you can use at any time. These include home, trauma, medical, legal, entertainment, and road assist.
The most important assist benefit for you as a motor vehicle owner is the road assist benefit. Road assist benefit assists you when you are involved in an accident or when you have a car breakdown.
Towing and Storage Benefits
This benefit also falls under the road assist benefit. You get to benefit in two ways, that is, if you are involved in an accident or when you have a car breakdown. Should you get involved in an accident, your car will be towed and stored by a trustworthy towing provider after an accident at no cost.
Breakdown assistance is there to help you when you have roadside emergencies. These can include a flat tyre, out of gas, mechanical vehicle issues, etc. When facing one or more of these emergencies, Budget will help you get home safely by replacing the tyre, delivering emergency fuel, towing your car and even storing it for 72 hours.
Cashback bonus benefit
The cashback bonus benefit allows comprehensive car insurance policyholders to get cashback. You can only get cashback if you have not claimed for two years. If you have two claim-free years, you get 15% of your premiums back.
2. Budget Third-Party, Fire, and Theft cover
This coverage is intended for those who have a limited budget for car insurance. Unlike comprehensive car insurance, third-party, fire, and theft coverage only protects your vehicle and provides no additional benefits. Budget Insurance will pay if your car is damaged by a third party or something beyond your control.
3. Third-party Only Car Cover
This coverage is appropriate for those who already have car insurance but want to add third-party liability coverage. The third-party-only car package covers you for any financial costs of third-party damage, keeping you out of debt in the event of an accident.
4. Budget Lite Cover
Budget Life cover is a product that insures a vehicle against loss, theft, accidental damage, and third-party damage. This policy is designed for car owners who own vehicles worth less than R100,000 and are completely paid off.
Advantages of Budget Car Insurance
- There are multiple covers available to choose from.
- The comprehensive cover has some of the best features for car insurance in South Africa.
- There is a cash back benefit if you remain claim free.
- Premiums on the car insurance are low.
- Those that are switching from other car insurers can earn some cash back.
- Hail damage is covered by some of the car insurance products.
Disadvantages of Budget Car Insurance
- There is no instant cash back in terms of rewards, e.g. for making timely premium payments.
Around 70% of South Africans do not have car insurance; being uninsured is dangerous given the country’s car crime rates. Budget Insurance has 4 car insurance products that are reasonably priced, as such, there are a lot of options to choose from including cash back benefits.
Budget also offers coverage for older vehicles. There is no reason why any motor vehicle owner in South Africa should not get car insurance unless the reasons are financial; however, the premiums payable on the cover policy are not hefty and start at R300.00.
Budget’s comprehensive car insurance is a better option, but it is more expensive. This is due to the benefits that come with the policy. Comprehensive car insurance is the most recommended, but if you already have car insurance from Budget or another insurer, you can choose other car insurance products that meet your needs.