Business

What you need to know when insuring your business

If a bakkie is primarily used for business purposes, it should be insured as such, says Ayabulela Xongo, head of customer care at Old Mutual iWyze

According to the National Traffic Information System, bakkies represent about 23% of all registered vehicles on our roads.
According to the National Traffic Information System, bakkies represent about 23% of all registered vehicles on our roads.
Image: Supplied/Old Mutual iWyze/Getty Images

Are you the owner of one of the 2,075-million SA "bakkies", panel vans or light delivery vehicles? According to the National Traffic Information System, these vehicles represent about 23% of all registered vehicles on our roads. 

Bakkies are core to South Africans’ everyday lives and have proven themselves as valuable contributors to our economy. Bakkies are used for leisure or double-up to support a business. The world of bakkies isn’t as simple as knowing the difference between a Hilux, Ranger or a long-forgotten, Peugeot 504, and need to be insured with great care, especially if it’s your business bakkie. 

Ayabulela Xongo, head of customer care at Old Mutual iWyze says, "If a bakkie is primarily used for business purposes, policyholders must ensure it's insured as such. Not insuring it for the right purpose may invalidate the short-term insurance protection, required at the time of an accident or vehicle theft. It’s important at the sales stage to share all the required information with your insurer. Double check previous losses or driver detail with your previous insurer." 

Xongo says policyholders must study their policy contracts, and advise their insurer if circumstances such as address or regular driver detail, change. Complying with policy conditions and being precise at the claims stage about incident details will fast-track a settlement and get your bakkie back on the road.

Don’t underestimate the impact your car hire option may have on your business – this rental car will help to get the job done while your ‘Faithful’ is being repaired. Insurers offer a range of categories, tailored to businesses’ specific requirements – choose wisely.

With these boxes checked, business owners can hit the road with peace of mind, knowing their bakkies are covered and it’ll be business as usual when life happens.

iWyze is underwritten by Old Mutual Insure Ltd, a Licensed FSP & Non-Life Insurer. 

This article was paid for by iWyze, the Direct Distribution division of Old Mutual Insure Ltd.

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