Total Loss Cover: Rev Up Your Car’s Safety
Mondo Admin / 27-09-2023 / Financial News
More than 800,000 road accidents occur in South Africa each year and around 57 cars are stolen every day. It’s now more important than ever to ensure you're adequately prepared for these and many other unfortunate events.
While comprehensive car insurance can be a lifesaver in such situations, the price tag often hovers around R1500 p/m, a figure that can send most budgets into a tailspin. That's precisely why more South Africans are choosing a more budget-friendly and laser-focused solution, known as Total Loss Cover, with plans that start from below R150 per month.
What is Total Loss Cover?
Total Loss Cover is designed for vehicles that are stolen or hijacked and cannot be found or vehicles that cannot be repaired and declared as write-offs due to accidents or collisions, fire, vandalism, inclement weather, natural disasters, or theft or hijackings (recovered vehicles).
Understanding write-offs beyond wreckage
When the term 'write-off' is mentioned, we often think of a car so severely mangled that repairs seem impossible. However, the concept is far more intricate. If your vehicle is labelled as a write-off, it might indeed be completely damaged beyond repair. But it could also mean that it's deemed unsafe or financially impractical for insurance companies to restore it. In the second case, the expenses associated with repairs, including labour and the salvageable components, are more than the amount you're insured for. In other words, it's simply not worth repairing when compared to your vehicle's value. This is where Total Loss Cover comes in, guaranteeing you receive your entitled pay-out.
Total Loss Cover: Replacement or settlement
As a policyholder, Total Loss Cover offers you two primary options: either a replacement vehicle of the same or a similar make and model, or a cash settlement (with deductions for excess, dual insurance, betterment, and depreciation). The cash pay-out is typically based on factors such as retail value, market value, or trade value, and the specifics are determined through an agreement between you and your insurer.
Mondo Financial: Your co-driver to confidence
At Mondo Financial, we’ve partnered with South Africa's leading car insurance providers to bring you the most competitive deals on Total Loss Cover. We understand that losing your car is more than just losing your way of getting from A to B, it could mean the loss of your independence and livelihood.
That’s why we're here to make sure you’re prepared for any situation with total confidence on the road.
For as little as R120 per month, you'll have access to up to R1 million in coverage with the added benefit of towing and storage services. To enjoy this comprehensive protection, you will only need a minimum monthly income of R5000, full-time employment, and your vehicle must be exclusively for personal use.
So, don't let the fear of a 'total loss' leave you stranded and financially drained. Get covered today and enjoy a smooth and secure road ahead.
Find out more about Total Loss Cover here.