Heels & Horsepower Magazine


How South African Insurance Companies Cover Acts of God

By H&H Admin

Natural disasters, commonly referred to as acts of God, are unpredictable situations that can cause a lot of damage to people’s lives and property.

Acts of God affect people’s lives either by destroying their possessions or endangering their lives. Sadly, Acts of God cannot be stopped but one can prepare for them by having an insurance plan that covers these unpredictable situations. 

The Definition of Act of God Insurance

Act of God insurance covers one’s possessions in the event of a natural disaster. However, for an incident to be accepted under this type of insurance claim, it would have to be included in the insurance policy and be 100% caused by nature. 

Insurance companies are very specific when it comes to acts of God insurance claims. This is why it is important to know exactly what is covered by this type of insurance plan, as well as the terms and conditions of the plan.

What is Considered an Act of God 

In South Africa, insurance providers usually refer to acts of God insurance as natural disaster insurance or acts of nature insurance. The insurance provider will specify the natural disasters that are covered in their policies.  Acts of God events may include:

  • Hail
  • Floods
  • Strong winds
  • Wildfires
  • Lightning strikes
  • Tornadoes
  • Earthquakes
  • Landslides
  • Volcanoes

If your insurance plan does not cover certain common natural disasters, it is advisable to include an act of God clause.  But how much coverage does such a plan have against acts of nature?

Comprehensive Auto Insurance

Most comprehensive auto insurance covers theft, hijacking, damage caused by accidents, and damage caused by natural disasters.  

Although comprehensive insurance is usually the most expensive coverage option, it may be worthwhile, given that it fully covers a vehicle in the event of an unpredictable situation.

Risk of Not Having Act of Nature Insurance

Acts of nature insurance plans are usually more expensive than other plans offered by insurance providers. This is one of the main reasons why some vehicle owners opt not to have a comprehensive insurance plan.

However, the damage caused by natural disasters is usually much more expensive than the cost of comprehensive cover.  Therefore, it stands to reason that having a comprehensive plan from a credible insurance provider in the event of a natural disaster gives you peace of mind.

Keep in mind that in the event of a natural disaster, other unexpected payments may need to be covered. These could include medical care and alternative transportation, both of which may result in your being financially overextended.  Having your vehicle fully protected by an insurance provider will be a relief during a difficult time.

3 Tips for Claiming Acts of God Insurance

Submitting an insurance claim can be overwhelming, especially after an event like a natural disaster. But it is important to include everything requested by the insurance provider to ensure that the claim is approved as quickly as possible.

The following tips may come in handy when filling out an act of nature insurance claim:

1.    Be Completely Transparent

When submitting an insurance claim, it is important to be completely honest about the details of the event. Do not change any details of the event simply because you feel it could benefit you and put you in a position to get more out of the insurance provider. This is risky and could be one of the reasons your claim is unsuccessful. 

2.    Include Pictures When Submitting a Claim

Providing evidence is incredibly important and helpful for a claim to be approved when it comes to insurance. This is why attaching pictures of the event as well as damaged possessions are recommended when submitting a claim.

3.    Read Over the Application Before Submitting it

Attention to detail is vital when submitting an insurance claim. Make sure all the information on the application is correct. This will also help the claim be processed faster, meaning that the damage can be fixed sooner.

Final Thought on Acts of God Insurance

Insurance companies provide their customers with the peace of mind that their car will be covered in the event of an unforeseen act of God. While nobody can be fully prepared for a natural disaster, there is comfort in having control over the protection of your possessions. Be sure to choose an insurance policy that protects you in the event of unpredictable situations.

Source: compare ‘n review

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