You must have third party insurance, even if you cannot afford comprehensive insurance. Make sure you are not totally uninsured - one accident and your future can be wrecked.
Third party insurance is compulsory in many countries and it should be in South Africa, but it is not.
Comprehensive InsuranceIt is best to have comprehensive insurance - this covers damage to your car, damage to a third party, and loss as a result of fire or theft.
Then there is 'reduced insurance' that covers damage to a third party car, but not to your own. In addition it covers your car against fire and theft. It is somewhat cheaper.
Then there is third party only insurance - your car is not covered in any way, but you are covered against damage you may cause to another car. It is a lot better than nothing.
No third party - nightmare scenarioImagine. You have no third party insurance. You hit one of those Million Rand Mercs. And it is your fault. Unless you are a multi-millionaire, your life is on the rocks, probabably permanently.
The important thing to understand is that even though you may own a skadonk that's only value is sentimental, that skadonk can do a lot of damage - damage that you may have to pay for.
So even though you may choose not to insure your car, you MUST have third party insurance, to protect yourself against damage that your car might do to another car. Not doing so is the height of foolishness, and puts you and your family at serious risk.
If you cannot afford third party insurance it makes a lot of sense to lock your car in a garage until you can.
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