You probably know by now that a comprehensive car insurance policy is recommended for safeguarding your finances from driving-related accidents and incidents. But if you’re not planning on driving over the next few months, do you really need car insurance? Or can you go insurance-free to save a few bucks while you’re away from the wheel?

Let’s take a look:

The legal stuff and car insurance

In general, car insurance is always a good idea. It increases your financial protection against road-related incidents, fire or theft, so you’re not stuck with enormous out-of-pocket expenses after a claimable event.

Working alongside your insurer, you’ll get back on the road quicker and easier than if you were flying solo, and most probably with much more left in the bank.

Of course, if you’re with, you already know how great insurance can be with one of SA’s most trusted insurers!*

To leave it be or not to be

Maybe you’re on a staycation (thanks, COVID…), injured, using a work vehicle for the time being or just don’t need to drive for a bit. Whatever the reason, it is possible to just cancel car insurance if you won’t be getting behind the wheel for a while.

But do the pros outweigh the cons? Are you really willing to leave your car unprotected all that time?

There are a few things you need to consider before you potentially ditch your car insurance.

Placing your cover on hold

If you realise that there will a time where you will not be driving around, contact your insurance and ask them to place your policy on hold until such time when you will need cover again. Bear in mind, however, that you won’t be covered for any emergencies or accidents should you drive during this period. So, if you’re placing your cover on hold, be firm about not driving for a while.

Also, while you’d save some money until you activate your policy again, think about the other risks you’ll be taking. Is your car garaged properly, and is the storage weather-proof? Is it protected against theft or damage? Is nobody else planning on using your car while you’re not?

Also, if you’re paying a car loan or lease against your vehicle, your financier usually needs to see adequate insurance for it. To protect what is still – in part – their asset. Not having an active car insurance policy could mean you’re in breach of contract.

Is the risk worth the money saved?

Can you cancel a car insurance policy mid-term?

What if your car insurance policy is still active and you want to take a short break? One option could be to cancel your insurance for the time you do not need it.

While you can normally cancel early, some insurers may charge a cancellation fee. Whether the fee is worth it for you will depend on your premium, the cancellation fee amount, and the terms of your contract.

But again, remember you will not have any cover from the moment you cancel your insurance, and you may be in breach of contract with your finance house.

Consider keeping your car insurance

If you’re hoping to save some cash on your car insurance, why not choose a provider that offers you amazing insurance at flexible prices?

From car insurance at a price you pick with Name Your Price™ with an array of cover options, and optional cover limitations, to superfast claims pay-outs, you can get everything you wished car insurance could be – all online, anytime.

For an obligation-free quote, visit today.


*According to at time of publication.