Across borders

Tuesday, 08 December 2009 12:14

Is your vehicle covered for mishap across the border?

08 December 2009

Have you ever wondered what would happen if you crashed your vehicle or injured someone while on holiday in Zimbabwe, Mozambique, Namibia, Lesotho, Botswana or Swaziland, or in territories even further away like Angola, Zambia, Kenya, or Tanzania?

Motor insurance policies limit cover to countries listed in their Territorial Limits clause – with the countries listed in these clauses differing from insurer to insurer.

“So if you are travelling across borders this summer be sure to check the territorial limits of your comprehensive motor vehicle policy” says Gari Dombo, Managing Director, Alexander Forbes Insurance.

Dombo warns that some policies double the excess the minute a vehicle enters a neighboring country, so “be sure to read the fine print as well as the excess payable.”

Also, “look carefully at the repatriation clause” adds Dombo. This clause deals with getting your vehicle to the nearest South African border in the event of accident.

Some repatriation clauses require you to get the vehicle to the border even if the vehicle is damaged within the territorial limits. Others only require this when they give a territorial limit extension. Yet other insurers will pay up to a stated amount or reimburse you reasonable repatriation costs once you have got the car to the border.

“The point is that you need to understand your repatriation clause fully and arrange territorial and cover extensions if necessary if you are to avoid paying what could be very expensive repatriation costs” says Dombo.

In addition most neighboring countries insist that you purchase third party liability cover at the border. “Failing to purchase this is not only a violation of the laws of that country, but will also leave a gap in your cover” warns Dombo since all vehicle polices exclude cover provided by compulsory insurance - whether you have purchased this or not.

As such Alexander Forbes provides the following advice to those planning holidays across our borders:

• Check the territorial limits covered by your policy. If necessary ask your insurer for an extension.
• Check the repatriation clause and seek alternative insurance if it is too onerous for you.
• Check your excess for cross border travel. Some insurers are punitive.

“Your insurer may be prepared to negotiate these issues with you but if necessary you should seek cover elsewhere” says Dombo. No one can afford to abandon a vehicle because of excessive excesses or shortage of repatriation funds.

Dombo adds that people planning trips across our border this summer should also:

• Obtain proof of comprehensive insurance on the vehicle from your insurer as this may be required by border authorities.
• Have a letter from the owner, certified by the police or commissioner of oaths, granting you permission to drive across the border - if you are not the registered owner of the vehicle.
• Carry your original registration papers with you. Border officials are constantly on the lookout for smuggled vehicles.
• Display a ZA sticker on your vehicle. This is a legal requirement.
• Ensure that your vehicle is in sound working condition and is roadworthy to avoid being stranded, causing a collision or fined for a poorly maintained vehicle.
• Look into the specific requirements of the countries you intend traveling through. For example, “some countries, like Mozambique, insist that you carry two traffic triangles in your vehicle. Be sure to have these” adds Dombo.

Once on your way Dombo advises motorists to:

• Purchase the compulsory motor liability cover of the countries that you travel through.
• Avoid parking in deserted areas. If you suspect you are being followed, drive straight to a public place or a police station.

Travelling to remote spots in the largely off-road driving environments found in our neighbouring countries can make for unforgettable holidays. This kind of travel does, however, carry an additional element of risk. As such Dombo advises that “people planning trips to our near-abroad this summer consider the risks involved, take the necessary precautions and put the right cover in place.”

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Across borders

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