So you’ve just bought a brand-new horse and trailer. So far it’s set you back a couple of million Rand, and the first thing you did was get it insured!
Now is the time for this machine to start making you some money…but have you ever given thought to insuring what’s on the trailer?
Nowadays in South Africa, we’re living in the wild, wild West. If they’re not out to steal your horse and trailer, then they’re out to steal your load…In some cases the load is worth more than the horse and trailer put together!
The solution to this problem is goods- in-transit cover (GIT cover).
Basically, GIT cover falls into three categories:
- Transporting your own goods in your own vehicles with a limit per vehicle. For instance, you might have insurance up to a maximum of R50, 000 per load per vehicle.
- Transporting your own goods in your own vehicles, or with other people’s vehicles, but with a limit on each consignment. An example would be R100, 000 insurance cover on your stock regardless of how many vehicles used, and whose vehicles were used.
- Transporting your customer’s goods with your vehicles.
The premium that you are going to pay for this type of commercial insurance cover will depend on:
- The type of stock you’d be carrying – Is the stock a high theft risk or easily damaged?
- Would it be transported by road, rail, or air (road being the riskiest)?
- The type of security devices fitted to your vehicles.
- The insurance limit on any one load – R10, 000 per load is lower risk than R100, 000 per load.
- The areas through which you’re going to be transporting the stock as well as how far you’ll be transporting it.
- Your previous claims history and whether your drivers are adequately trained.
Quite important is that you know that there are three types of cover available (with Santam at least):
- all risks, which is the more expensive option, but this also covers theft or hijacking
- Fire, collision, and overturning of the vehicle.
- Fire, collision, overturning of the vehicle and theft following the overturning.
Okay, so there you have it!
If you’re in the transport business, and you don’t have goods-in- transit cover, then pretty soon you might find yourself in the “trane sport” game.
InsuranceFundi has partnered with some of SA’s most reputable insurance and investment companies. We believe that everyone should have access to a wide range of comprehensive and affordable solutions. Pick the product you are interested in below, and expect a call-back from our partners.
Until next time.
The InsuranceFundi Team