Be Financially Smart with FNB

Household and car insurance - essential cover you can't ignore

When it comes to buying a home or car you most likely would need financing. Since These two assets are probably the most expensive assets you own, so it's vitally important to make sure that you protect these assets from any risks. Hence the importance of having the right insurance cover in place says FNB expert Eunice Sibiya.

These are the three mopst important types of insurance you need when you are buying a house.

Life Insurance: You need life insurance that matches or exceeds the cost of the bond you're applying for.The reason you need this is to ensure that if something unfortunate does happen to you, the cost/balance of your bond would be settled. With the right insurance, the loved ones you leave behind will have a place to call home.

Household cover: Once you have life insurance in place, insuring the building, the brick and mortar, is the next step. Rebuilding your home after it is gutted by a fire, flooded by a burst geyser or any type of accidental damage can be financially destructive.

Contents of the house: Then it's important to cover all the assets that you have in your home. Should something happen to all the valuables that you have in your home, you need to be able to replace them without denting your pocket.

"You do not need life insurance to cover a car, however you can make sure that you have insurance that covers all your debt should something happen to you"

Eunice Sibiya, FNB Head of Consumer Education Program

According to the Automobile Association of South Africa, there are 11.4 million registered vehicles on our roads today. The shocker is that between 65% and 75% of these cars don't have insurance. It's important to make sure that you have adequate car insurance should anything happen to your car. From minor bumper bashes, to hail damage or if you should lose your car from an accident or theft says Eunice Sibiya.

Listen to the full audio below


Recommended

by NEWSROOM AI

702 welcomes all comments that are constructive, contribute to discussions in a meaningful manner and take stories forward.

However, we will NOT condone the following:

  • Racism (including offensive comments based on ethnicity and nationality)
  • Sexism
  • Homophobia
  • Religious intolerance
  • Cyber bullying
  • Hate speech
  • Derogatory language
  • Comments inciting violence.

We ask that your comments remain relevant to the articles they appear on and do not include general banter or conversation as this dilutes the effectiveness of the comments section.

We strive to make the 702 community a safe and welcoming space for all.

702 reserves the right to: 1) remove any comments that do not follow the above guidelines; and, 2) ban users who repeatedly infringe the rules.

Should you find any comments upsetting or offensive you can also flag them and we will assess it against our guidelines.

702 is constantly reviewing its comments policy in order to create an environment conducive to constructive conversations.

Read More
Investing for retirement and the best time to start

Investing for retirement and the best time to start

How much time do you have left before your monthly income stops? The earlier you start saving for your retirement, the better!

How to juggle the stock market smartly for long-term investing

How to juggle the stock market smartly for long-term investing

The Azania Mosaka Show kicks off Savings Month with a discussion about stock markets and long-term investing.

Property investing as a good long-term investment

Property investing as a good long-term investment

FNB Expert Ester Osche discusses how to turn a property into a stable and rewarding long-term investment,

How to spot an investment scam from a mile away

How to spot an investment scam from a mile away

We've all heard stories of people falling victim to poor investment decisions. Here's what you need to look out for.

How to create that emergency savings bucket

How to create that emergency savings bucket

Head of Advisory Channels at FNB Esther Ochse takes a closer look at ways to help you learn to save and invest.

Managing the risk of over- and under-insurance

Managing the risk of over- and under-insurance

Do you know how much your assets are worth and if you're paying too much for your insurance cover? FNB Expert Eunice Sibiya weighs in.

Popular articles
From Cape to Cairo: 80-year-old Julia travels to Egypt using 20-year-old car

From Cape to Cairo: 80-year-old Julia travels to Egypt using 20-year-old car

‘It took approximately 4 – 5 months because I had to make some stops on the way for repairs.' - Julia Albu, the African Conquest

Madiba’s private secretary Zelda la Grange opens up about money (hers and his)

Madiba’s private secretary Zelda la Grange opens up about money (hers and his)

Bruce Whitfield interviews La Grange about her and Madiba's attitude to money (hopes and fears, successes and failures, etc.)

How to make money through ‘buy-to-let’ (using very little of your own money)

How to make money through ‘buy-to-let’ (using very little of your own money)

Bruce Whitfield interviews Francois Janse van Rensburg, author of “Making Money through Buy-To-Let in South Africa".

Retirement: 8 biggest mistakes people typically make…

Retirement: 8 biggest mistakes people typically make…

The Money Show’s Bruce Whitfield interviews Galileo Capital Financial Advisor Warren Ingram.

MTN Walk The Talk with 702: Get your entries in and be part of a united Joburg!

MTN Walk The Talk with 702: Get your entries in and be part of a united Joburg!

Join Joburgers from all walks of life come together peacefully, united in their diversity for a fun family day out.

3 easy questions could bag you R2000!

3 easy questions could bag you R2000!

WIN R2000! But only if you can prove you're a whiz of the MTN Biz Quiz by answering the following three questions...

Blesserfinder: Matching you with a sugar daddy near you

Blesserfinder: Matching you with a sugar daddy near you

Is social trend Blesserfinder, where girls are allegedly matching up with rich 'benefactors' in exchange for sex, a real thing?