Motorists who fail to maintain their vehicles risk having their short-term insurance claims rejected.
This is according to Dewald Ranft, Chairman of the Motor Industry Workshop Association, who warned that car owners are likely to foot the bill after an accident if they fail to exercise due diligence.
In South Africa, insurers typically have a clause stating that policy holders must take reasonable steps to prevent accidents.
In other words, a lax attitude towards vehicle maintenance can be considered neglectful behaviour if a preventable flaw leads to damages, giving the insurer grounds to reject a claim.
“Many consumers forget that all general insurance policies carry a wear and tear and gradual deterioration exclusion as well as exclusions on mechanical and electrical breakdown which requires policyholders to take reasonable steps to prevent damage and keep their property in safe, working order,” said Ranft.
“When it comes to vehicles, this means ignoring a repair centre’s advice to replace worn brakes, bald tyres below a certain tread, faulty suspension, or broken lights could have serious consequences.”
Motorists are obligated to fix these issues if they want their claims to be approved, considering that faults like broken headlamps are a danger to the occupants and other road users.
“If an accident is caused, or made worse, because a vehicle was not maintained in a roadworthy condition, the insurer can decline the claim.”
“For example, if worn brakes prevent you from stopping in time, or bald tyres cause you to lose control in the rain, the insurer is within their rights to reject the claim,” explained Ranft.
A big problem in South Africa
According to the National Financial Ombud, wear and tear, gradual deterioration, and a lack of maintenance are some of the leading reasons insurance claims are declined in South Africa.
These cases are frequent with regards to building and property claims, but the same principle extends to vehicles as well.
Car owners are also encouraged to be mindful of things like changing weather conditions, especially in light of climate-related events like flooding or hail.
A poorly maintained car is already dangerous on a perfect stretch of tarmac, but the risk is magnified in unsafe driving conditions where things like braking ability may be compromised.
Ranft recommends that motorists service their cars regularly and keep a record of the work done.
He also urged owners to act immediately on safety-related advice from trusted repair centres, and to ensure that functions like the tyres, brakes, suspension, and lights are always up to code.
“Maintaining your vehicle is not only essential for your safety and that of other road users – it is also a vital part of protecting your insurance cover.”
“A small, timely repair could save you from a massive financial loss.”
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