We’re definitely living in uncertain times. With unpredictable financial markets, increased risk of natural disasters, fluctuating and unstable economies; getting insurance cover for your assets, family and yourself has become as necessary as putting petrol in your car. 

On deciding what kind of insurance to purchase, you need to be quite clued up on the differences each policy offers, as this contract is one of the most important financial decisions you’ll have to make. With the various policies, abundant insurance providers and the volatile nature of today’s world, this task can be daunting, let alone complicated.

The plain truth is we are all different. We live differing lifestyles, are exposed to different risks, have varied situations and obligations; so why can we expect a generic insurance policy to suit us all and meet our needs?

A short-term insurance package may be an adequate and suitable solution for most.  This, coupled with adequate risk management may bring the total cost of cover down and provide significant peace of mind.

It is firstly important to ensure that all your critical assets and risks are covered.  By safeguarding your assets and risks, the monthly cost is minimised compared to the event of loss or damage.  Rudolf Britz, Chief Actuary at Momentum Short-term Insurance states, “A small monthly premium is going to be worth it if you compare that with the enormous capital outlay to replace your assets completely.” The most important principle is that spending money on short-term insurance will save you in the long run.

For the majority of insurance customers, price is the deciding vote on which provider to sign with. The cost the client is due to pay is an impacting factor of the actual value of their deal and cover.

Assessing the value of an insurance policy should not be exclusively driven by a low monthly premium.  Safety needs to be top-of-mind as does the credibility of the insurance company, the cost-to-benefit ratio of your policy, and the insurer’s efficiency and service in the event of a claim.

It’s also extremely important that one understands details and limits of their cover.  In this context, getting advice from a registered intermediary – the way Momentum Short-term Insurance products are marketed – is critical. Not only is an intermediary your first port of call if you have any queries regarding your existing cover or if you need to submit a claim, but he or she also takes your unique needs into consideration when you’re thinking about short-term insurance.

Momentum Short-term Insurance specialises in personal, commercial and vehicle fleet insurance. The flexibility in selecting specific cover in the products on offer from Momentum Short-term Insurance enables the customer to actually save money by ensuring they have the right amount of cover on existing items. There is also an option to increase your excess (the amount you pay should you claim) to reduce your monthly premium.

Cheap cover is often expensive cover expresses Britz, “If you’re offered a cheap premium, be aware that your future premium could increase dramatically after the first year of cover or after a claim.” Momentum Short-term Insurance gives the customer the power to manage their own risk. With the individual risk rating and differentiated premiums, short-term insurance means you do not pay for anyone else’s risk. The premiums are based on the individual’s risk profile, highlighting the cost-effectiveness of this product.

Price is definitely a factor in choosing the correct insurance cover for your needs; however, it is not the only factor to consider. When it comes to choosing your insurance provider, there are many factors to determine before signing on the dotted line. For peace of mind, protection and security of knowing your goods are fully covered, Momentum Short-term Insurance offers short-term insurance uniquely customised to your individual needs and circumstances.

For more information on Momentum Short-term Insurance, visit www.momentum.co.za.

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