Adulting. The part of life when you finally have the clothes you like, live in the area you always wanted to, and drive the car you set your heart and hopes on (a Subaru — goes without saying!). But being covered for those unforeseen incidents is an important aspect too. It’s about protecting yourself financially as well as any possible third party liabilities too.
What are the extra charges when buying a car?
Car Insurance
If you want to look at additional costs when buying a car, it’s important to budget for car insurance accordingly. Your total cost per month on the car you’ve dreaming of needs to include things like car insurance and a tracker (which many insurance companies can bundle into your monthly instalment, depending).
Car Buying Costs
Fortunately for us in South Africa, there’s no shortage of Insurance Companies vying for your custom. This means that — with very little work — you can usually bargain between them for the best rate that suits your needs. Consider Hippo Insurance for example, who promise you competitive quotes in two hassle-free steps.
If you’ve ever been through this before, you’ll know two things:
- accidents happen, and
- estimator quotes are always astronomical
What are the additional costs when buying a car?
So when you ask yourself “what are the additional costs when buying a car?” — you might want to weigh up all the risks associated with:
- not having insurance
- having to foot the bill for the repair or replacement yourself, and
- even the costs associated with the other car (in the event of an accident that may have been your fault).
Truth is, most car finance companies won’t finance your purchase without insurance anyway, so make sure to do your budget accurately and plan accordingly. And remember that even with insurance, there are different levels of cover.
Comprehensive Car Insurance
First prize is Comprehensive Insurance. This means you will be covered against loss or damage from pretty much anything. These can include theft, hijacking, accidents, flood, hail and even intentional damage caused by someone else. And what’s more is that you’ll even be covered for other people’s loss or damage if an accident is your fault.
Third Party Insurance
Depending on your level of affordability, you may choose to take out Third Party Insurance only. Third-party insurance offers protection against damages to the third-party by the insured vehicle. It covers physical injuries, damages to their vehicle, damage to the property, and death. It’s important to note though, that you yourself will not be covered (but only the third party will). This insurance option is more popular among people with older cars that have a rapidly depreciating value.
While Third Party Insurance cover might look like the better deal leaving you with more cash for yourself at the beginning of every month, you may be shocked if an accident happens and your precious vehicle’s repair costs is then something you have to cover completely, yourself.
Sadly, crime affects all of us in South Africa both directly and indirectly. We’ve published a piece here on our Subaru Magazine about car trackers specifically, and you can click here to check that out.
We at Subaru know that safety has a specific meaning to the South African market because of what may happen to your car outside of your own control. We also respect that it’s a big financial commitment, and hope that you do your best to finance your car for the day you’re excited to take delivery of it — and for the reassurance and peace of mind for the years you will enjoy driving it.
We are available to discuss your financial planning and safety concerns with you. Use our store locator to find your nearest dealership, and if you would like to know more about the Subaru range, you can call us on +27 11 608 0116 or email info@subaru.co.za and a skilled member of our team will be happy to assist you.
If you would like to book a test drive of any of our remarkable models, please click here. And remember, there’s safe… and then there’s Subaru safe!
