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Fitting the wrong tyres can cost you

Choosing the right tyres presents a minefield of options. You need to be astute in your research before you fit a new set that falls outside of manufacturer parameters.  

To find the optimal tyre for your vehicle, tyre specialist Les Richardson, vice chairperson of the Tyre, Equipment and Parts Association (Tepa), a proud association of the Retail Motor Industry Organisation said the trick is to check the speed symbol and the load index stamped on the sidewall.

“Typically these symbols indicate the maximum load or speed the tyre is rated for. The average motorist will never exceed these loads or speeds, but they are definitely worth noting, particularly for those times when you do load up your car for an annual holiday for example. Roof racks and trailers can seriously overload the capacity your tyres are able to manage and impact the safety of your vehicle.”

Richardson said speed and load ratings become particularly important for those motorists whose main business is transporting goods in a light truck or 4×4, for example, or for those who spend a lot of their time off-road or regularly driving at high speeds. “If the maximum indicated speed or load is exceeded, your tyres will not operate at peak efficiency and you will not only risk the safety of yourself, but also that of your vehicle and those around you on the road.”

Here’s what to look for:

·       The speed symbol and load index markings are located on the sidewall, next to the tyre size markings.

·       The first number on the left indicates the width of the tyre in millimetres.

·       The next number represents the ratio of the height of the tyre relative to the width.

·       The last number represents the diameter of the tyre in inches.

·       The last number represents the weight and speed rating.

Richardson said to work out exactly how a tyre performs, one needs to consult the relevant manuals or ask a friendly tyre dealer.

For example, ‘99’ refers to a maximum weight the tyre is designed to carry –  in this case, 771kg on each tyre. So a vehicle with four tyres could cope carrying a weight of 771 x 4 = 3 084kg. ‘W’ represents the maximum speed that the tyre is designed to perform at, being 270kph.

“In other words, don’t expect your car to get you safely to your destination if the maximum speed the tyre is designed for is 120kph and you are travelling at 140kph. Or equally dangerous, if your vehicle weighs 1.5t before adding 80L of fuel and a 250kg steel canopy, then you load another one tonne of luggage on tyres rated to carry around 700kg each.”

Richardson said most passenger vehicle load indexes range between 62 and 126.

Motorists who regularly go off-road or use their vehicle to transport goods will want to use a tyre with a higher load rating compared to those who use their car just for commuting. “It is important to note that if you increase the load index on the tyres to those above the placard, you should ask what inflation pressure is required to carry the same load as the original tyres,” said Richardson.

The greater the load index number, the more weight each tyre can carry. In all instances, the tyres’ load index must meet or exceed the value displayed on the vehicle’s placard.

How to choose the correct speed rating?

The next thing to look out for is the speed symbol. A tyre with ZR symbols will have a speed capability of over 240km/h.

So which speed symbol and load index is right for you?

Richardson said for most of us who just use our car to commute to and from work with the occasional weekend trip, the speed symbol and load index should not be a high priority when considering which tyre to buy. Instead, finding the tyre that suits your vehicle and driving style should be a priority.

On the other hand, if you drive a performance vehicle, go off-roading very frequently or use your vehicle to transport goods, you’ll need to consider load indexes and speed symbols.

The general rule of thumb is couriers, light truck drivers and tradesmen who often carry a lot of heavy equipment or products will want to select a tyre with a higher load index. Those who love off-roading should note all-terrain and off-road tyres tend to have a lower speed symbol and higher load index. This is because off-road tyres will typically be stressed more than an average car tyre and are required to carry a heavier vehicle and load.

“If you’re not sure which tyres are right for you, we recommend you contact an accredited Tepa fitment centre for tailored expert advice,” concluded Richardson.

Photos by pixabay and Andrew Ensor-Smith
Article featured in Brakpan Herald
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Total blackout warning to South Africans

Many experts warn there is an increased risk of a grid collapse in South Africa, and insurance companies are now excluding all damages related to a total blackout.

The risk of a total blackout remains low as long as Eskom continues using load-shedding to artificially reduce demand and ensure it does not exceed supply.

South Africa’s electricity grid is designed to automatically shut down if demand exceeds supply for safety reasons and to ensure the grid can be restarted.

However, despite this safeguard, many business leaders have warned that a total blackout is not out of the question.

Political analyst JP Landman said Eskom’s decision to shrink the generation reserve margin to reduce the level of load-shedding is very dangerous as it increases the risk of a total blackout.

Landman had particular concerns that load-shedding is being reduced for political reasons and not due to improved performance.

He explained that a reduction in load-shedding may be due to Eskom reducing the generation reserve margin.

This margin creates a buffer between electricity demand and supply to ensure the grid does not automatically shut down.

Normally this buffer sits at 15%, but recent reports suggest it could have been reduced to as little as 6% to reduce load-shedding.

This is very concerning for Landman as it puts South Africa at risk of a total blackout. “Give me stage 15, stage 16 load-shedding rather than a national blackout,” he said.

Nedbank chief economist Nicky Weimar said South Africans should “watch this space” as the country is sailing close to the edge regarding a total grid collapse.

She added that South Africa narrowly avoided a total blackout in February, which shows the risk of toying with established standards.

A US government energy expert has also advised stakeholders in South Africa to start thinking about their disaster management plans.

They said that although a blackout remains unlikely, the risk has increased due to how unreliable Eskom’s coal fleet has become.

Preparing for a total blackout

Despite the low risk of a blackout, businesses are advised to prepare for it because of the devastating consequences if it happens.

GIB Insurance Brokers warned that a blackout would likely result in a catastrophic event with possible looting and civil unrest, which could lead to severe infrastructure damage across the country.

Many businesses have already put plans in place to minimise the impact of a total grid collapse should it occur.

The JSE has created backup systems to ensure that trades can still be placed during a total blackout and ensure investors retain custody of their investments.

Standard Bank has partnered with local industry, the South African Reserve Bank (SARB), and the broader authorities to prepare for this scenario.

Standard Bank CEO Sim Tshabalala said a total grid collapse is a possible scenario with a low probability.

However, because of the enormous impact of such an event, they have plans and understand what needs to be done when a total grid collapse occurs.

Through the Financial Sector Contingency Forum (FSCF), the South African Reserve Bank said it was preparing contingencies for a national grid failure.

“As part of these preparations, the FSCF has been in regular contact with Eskom, the petroleum industry and the telecommunications industry,” the SARB said.

Many other South African telecommunications, retail, mining and financial services companies have also said they have been preparing for a total grid collapse.

As part of their total blackout preparations, MTN has set up “war rooms” to ensure critical sites remain operational, and the JSE stocked up on diesel to run its operations for seven days.

Insurance companies won’t cover a total blackout

The biggest sign of the increased risk of a total blackout comes from insurance companies that will not provide cover for a total grid collapse.

Numerous South African insurance providers are now excluding damages related to a blackout in South Africa.

GIB sales operation consultant Guy Jameson says insurance companies have no choice but to view a total grid failure as an uninsurable risk.

“This decision has arisen as reinsurers have indicated they would not provide coverage in the event of a total grid failure,” Jameson said.

“This effectively leaves insurance companies with no option but to consider grid failure as an uninsurable risk.”

The South African Special Risk Insurance Association (Sasria) also said it would no longer be liable for any payouts in the event of a total grid failure.

This is telling as the insurer covers unique risks like terrorism, riots, and public disorders, like the July 2021 unrest in KwaZulu-Natal and Gauteng.

In March, Outsurance added grid collapse exclusions to their policies, removing cover for any loss, damage or liability caused by an Eskom blackout.

It has joined the likes of Hollard, Momentum Insure, Naked Insurance, and Santam, which also excluded covering a grid collapse.

Outsurance attributed the change to a need to review its cover in light of the higher risk of a blackout happening.

“The increased levels of load shedding over the last year, with the possibility of an electricity grid failure, has required a review of our cover,” it said in a notice sent to its customers.

Like Outsurace, Hollard spokesperson Warwick Bloom said that while the potential for a total grid failure remains remote, it is now a “possibility”.

Photos by Pixabay
Article featured in dailyinvestor

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Going off the grid? How it affects your insurance

By now you would be hard-pressed to find a South African who is not familiar with the terms Stage 1-6 of load shedding, or even the tongue-in-cheek, Eish-kom. All of these are used to describe the instability of the national power grid.

While we have come to accept the unfortunate reality of power supply interruptions, reports suggest that load shedding Stage 2 or 3 could be guaranteed for the next two years. In this scenario, we are in for a bumpy ride.

Many people are investing in alternative power supplies like inverters, generators, Uninterrupted Power Supply (UPS) batteries, and even solar power to keep the lights on, which has now become even more attractive given the government’s recent introduction of a solar panel tax incentive for individuals.

Insuring at the correct value

Many financial institutions are offering finance for solar power, which makes it more easily accessible. If policyholders install such a system, we require that they inform us. The sum insured needs to be adequate.

Many policyholders often do not insure them at the correct value, which means that if they experience a loss, they would not be able to replace it with the new replacement value of the item insured. A movable power solution must be covered under the contents section of a policy, and fixed or non-movable solutions (like a UPS) must be insured under the building policy.

A trend that the insurer is seeing is an increase in fire claims, likely either from heat emanating from the system, or incorrect installations.

While the policyholder is entitled to use an installer of their choice, ensure that the installer has experience and qualifications. We recommend that all policyholders undertake the necessary due diligence and research before hiring an installer. Our requirement is that – as per regulations – electrical installations must be done by a qualified electrician, who must issue a Certificate of Compliance.

I also advise against using your insurance policy like a maintenance contract. You may have both household contents and buildings cover under your insurance policy, but this does not mean that you would be able to claim for solar panels that no longer store as much energy as they previously did when they were brand new, given a demise in batteries. This would be classed as ‘wear and tear’ and not qualify as an insured loss event.

Risk of hail

It is important to be mindful that if you have solar panels fitted, and you live in an area where there is a risk of hail, your need for insurance may be greater than what you previously considered it to be.

If you live in an area prone to hailstorms, think about whether you have adequate buildings insurance cover in place, as any loss event to your solar panels would likely be covered by this policy. If you had no cover in place previously, now is the time to consider it.

Tips for policyholders who are looking to invest in a solar panel:

·       Ensure installation is done by someone qualified. Electrical installations must be done by a qualified electrician, who must issue a Certificate of Compliance.

·       Insure your solar panel under the correct policy. While it is likely to be a permanent fixture to your home (buildings insurance policy), if you intend to move with it one day, it will need to be insured under your contents section. Speak to your broker to clarify.

·       If you live in an area that suffers from weather events, like hailstorms, double check that your solar panels are included for this in your current policy.

·       Only claim if your solar panel suffers damage from a sudden and unforeseen event. Claims for wear and tear will be rejected as maintenance is your responsibility.

·       If you have an inverter in an enclosed area like your garage, make sure you take the steps necessary to protect it from overheating. If you experience damage to your property due to overheating from the system, it is unlikely that your insurance policy will cover this event.



Photos by Andrew Ensor-Smith
Article by Lizo Mnguni
Article featured in
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Save responsibly on your insurance premium without compromising your cover

Many South Africans are taking note of their spending habits and looking for the best ways to save money.

We understand you may want to cut back on a few things, but one thing you should not skimp on is quality insurance.

Cheaper insurance options could save you some cash in the short term but will usually end up costing more in the long run, especially if you aren’t sufficiently covered.

You can still get affordable cover without compromising on quality.

Here are some savings tips to help you enjoy affordable car, home contents and building insurance.

Tips to get the best car insurance premiums:

  • Consolidate your cover: The easiest way to save on insurance is to combine your car, home contents and buildings insurance with one insurer.
  • Tracking device: Recently had one fitted? Then you could get a discount on your motor insurance premium.
  • Lower powered, lower value, low-theft risk? If this sounds like your vehicle, these factors could mean a lower premium.
  • Raise your excess payment: The higher your excess, the lower your premium. When getting vehicle insurance quotes, you will be asked to select the voluntary excess sum you’re prepared to pay in the event of a claim. Insurers enforce a compulsory minimum excess, but you can choose to increase it. This would mean paying more out of your pocket if there is a claim, so make sure you can afford it.
  • Pay for smaller damages yourself: Keep a rainy day fund for smaller nicks and dents, and you will manage to stay claim free for longer and get a reduction in your premium.
  • Regular driver: Make sure the correct person is noted in your policy as your risk factor is determined by the person who most often drives the car. This includes the person’s age, gender, marital status and licence information.
  • Consider third party insurance only: This is the minimum amount of cover you can get for your vehicle, making it the cheapest option.

Tips to get more affordable home contents insurance:

  • Beef up your home security: Add burglar bars and an alarm system or consider living in a secure complex. Improved security could lower your premium considerably.
  • Do a home inventory: The insured sum of your home contents should represent the new replacement value. If this sum is overly inflated, you will pay a higher premium without any extra benefit if you claim. Rather calculate it accurately, item by item, room by room, instead of guessing.
  • Higher excess equals a lower premium: This is another way to save if you can put some money away to use in the event of a claim.
  • Correct descriptions: Ensure your address and the type of construction of the roof and walls are accurately noted in the policy as these are used as rating factors that could affect your premium.

Tips for budget building insurance:

  • Total value insured amount: Find out the current building replacement costs of all structures on the premises to check if you might be over-insured and paying higher premiums than necessary.
  • Building materials: Note the address of the property and the type of construction of the roof and walls in the policy. Again, these are used as risk rating factors.
  • Choose to pay a higher excess: Opting to pay a higher excess sum in the event of a claim would result in a lower premium.

Check in regularly with your insurer to save.

It’s important to do a regular audit of your lifestyle, profile, and assets as these are factors that determine how much you are charged every month.

Things change all the time – you may have installed extra security measures at home and not informed your insurer, changed jobs, married, or had a child move to university. Simply by updating your profile, you may find your premium decreases, or that your risk profile has changed.

Remember, a car depreciates in value every year. Make sure the insured amount reflects its reasonable market value. This is vital because if you lodge a claim you will only be paid either the insured amount, or the reasonable market value, whichever is lower.


Photos by pixabay
Article featured in Moneyweb
Brought to you by Santam
link to original article:


There is no mistaking that the world is changing rapidly. The rate of climate change is powering increasingly adverse weather events, the changing world of work has supercharged cyber threats and some countries are even making plans to build volcano powered crypto cities to help futureproof themselves. In this kind of environment, knowing how to navigate the complex nature of risk is a vital part of any business’s plans to remain future-fit.

Philippa Wild, Head of Commercial Lines at Santam, says, “Given the surge in new and complex business risks, companies can ensure they have one less thing to worry about by taking out insurance cover that protects them adequately against events and perils that could harm their operations severely.”

Wild suggests that companies wanting to navigate today and tomorrow’s complex risks try the following tips:

#1 Keep up to date with our changing risk and product environment

Part and parcel of mitigating one’s risks in the current landscape means understanding what risks affect your particular business and what insurance solutions are available and appropriate to protect your business. For instance, a security consultancy will probably have little need for drought insurance but would really benefit from cyber insurance. Here are some examples of recent developments to consider: 

  • Cybercrime costs South Africa R2,2 billion per year, and it can cost small businesses anywhere between R50 000 and R250 000 to recover from cyberattacks. Any business that uses some type of digital technology is vulnerable to such attacks and should consider its data and system risk management protocols as protection provided by cyber insurance.
  • Climate change is one of the major issues of our time. Across the country we are seeing its effects in the form of floods in KZN, fires across the Western Cape and droughts throughout the central regions of the country. These events can affect a range of businesses and as such it is crucial to be in touch with your insurance broker to ensure every potential angle of risk is covered.
  • The accelerating rate of change, both technologically and systemically, has resulted in significant changes in our behaviour and has had a profound impact on the insurance industry. In some instances, for example, where risk has decreased as many people now work from home and spend less time in their cars on the road, it has led to innovative insurance products like SmartPark, a distance-based vehicle insurance benefit that uses AI and machine learning to determine a client’s insurance premium based on how much he or she drives. Clients who spend less time on the road are less exposed and therefore pay less for their car insurance.

#2 Prepare for the worst

Consider what could go wrong and impact your business detrimentally. Develop risk management and safety protocols to help limit the impact and make sure you have adequate and appropriate insurance cover in place. Skilled intermediaries can act as real-time risk advisers and advise you on insurance cover options that best suit your needs.

#3 Ensure your cover evolves as the business evolves

At least once a year, on your insurance cover renewal date, you should do a comprehensive review of your cover and assess whether it is still appropriate, given the risk landscape and your insurance needs. Your financial adviser is well placed to assist you in this regard. Also remember to make changes as your risk profile changes during the year, for example as you purchase more assets, or change your business in any way that impacts your risk.

Whatever your business needs, building a relationship with a broker or intermediary will strengthen your business’s ability to withstand whatever may come its way and give you the freedom to focus on what makes your business great.


Photos by Pexels
Article written by Philippa Wild – Head of commercial lines Santam
Article featured in FIA
Link to original article:

Business under-insurance is on the rise, especially among SMEs

In Aon’s latest 2023 Weather, Climate and Catastrophe Insight report, flooding was identified as the second largest peril across the globe and the most prevalent peril on the African Continent, with a devastating economic loss of $66bn (R1,185bn). While the KZN floods of April 2022 were noted as the largest flooding event on the continent with an economic loss of $3.6bn (R64,672bn), what is more concerning is the fact that only 18% of losses were insured.

While technological innovation has allowed for better insight as catastrophes unfold, allowing for faster and more thorough assessments of damages following an event, Aon’s 2023 Weather, Climate and Catastrophe Insight report examines resilience and the ability to overcome climate-related consequences. It highlights the reasons why businesses need to factor possible losses from climate-related risks into their insurance portfolio, especially for small and medium sized businesses where under-insurance can cripple business recovery from an outright or severe loss.

“As economic pressures mount, cases of business underinsurance are being noted, with small and medium commercial businesses being hardest hit. In the context of weather catastrophes such as fire and flood which often result in losses, underinsurance on property, plant, fleets, stock, machinery and business interruption will have potentially severe consequences for the balance sheet and the ability of the business to recover from an uninsured or underinsured loss,” says Clayton Ellary, from Aon South Africa’s Commercial Risk Solutions.

Clayton points out that insureds don’t always keep pace with the impact of volatility and changes in their operating environment which means that their valuations as well as the terms of their cover may be out of date.

“Some businesses may insure for the market value of their premises rather than considering what it will cost to rebuild at today’s prices. It may also be that a business has changed its operating model and as such its exposures have changed, but it is still using previous, outdated valuations that are not applicable to the changed business circumstances. An example would be a business that is holding more stock on the premises to counter supply chain vulnerabilities, in which instance the business would need to re-evaluate its sums insured to reflect the change in stock holding levels. Another example is a business that has changed the very nature of its operation, where an insurer may require additional fire prevention measures to be put in place if the nature of the business being conducted on premises has changed,” Clayton explains.

Business Interruption under-insured

On business interruption, under-insurance can be catastrophic to business continuity and the ability to recover, even if cover for assets is in place. On average, 43% of business interruption insurance is underinsured by 53%, according to the Chartered Institute of Loss Adjusters (CILA).

“One of the reasons for this is that the selected maximum indemnity period turns out to be far shorter than the actual period of disruption caused by an insured peril to the property. Your broker will be in a position to do a business interruption calculation that factors relevant data into the equation that will allow you to make an informed decision that is better able to support your business during an interruption,” says Clayton.

Business interruption insurance is critical to keep the revenue generating ability of a business intact following an insured event such as a fire, flood or other catastrophic circumstance that can torpedo the financial health of the business. Yet despite its importance to business continuity and the ability to fully recover from a loss event, sums insured can be insufficient to cover a catastrophic loss and the increased costs of working during a recovery period.

“The fact that we see businesses that are often underinsured on their Business Interruption sums insured is indicative of the enormous complexity that comes with calculating the correct insured sums that takes into account the knock-on effects and increased costs of working following an insured event, like a fire or flood,” explains Clayton.

Three key factors need to be considered when it comes to setting the correct sums and indemnity periods for Business Interruption (BI) insurance:
• Sum insured – The sum insured must be calculated based on the insurance gross profit, not necessarily the accounting financial gross profit. This requires a deep understanding of a client’s financial records and its operating models.
• Indemnity Period – An indemnity period associated with BI insurance refers to the period of time it will take for the business to recover from a worst-case scenario. The appropriateness of the indemnity period needs to take into account factors such as the nature of the business and its assets, such as specialised machinery and equipment, seasonality of the business and competition within the market. As a simple example, if a hotel located at the coast suffered major structural damage following a flood, the BI insurance claim would look very different during winter months than it would during their peak holiday season. The indemnity period needs to account for complete building reinstatement, possible legal ramifications/delays if investigations due to human casualties are involved, building plan approvals, site preparation and the like.
• Business Continuity – While business continuity in itself is not an insurable risk, poor risk management can render a business uninsurable. Risk mitigation efforts undertaken by a business has a fundamental effect on the eligibility for insurance and the cost of insurance. Another critical aspect that is considered is the interdependency of different business units, and what impact each has on the continuity of the entire business. A catastrophic event in one business unit could impact other divisions or subsidiaries across the entire network as well as the ripple effect on customers and suppliers not to mention one’s own staff.

“As highlighted in the indemnity period section, above; one of the most miscalculated areas of BI is how long it will take to overcome a catastrophe and get back to business. Getting a large production line or manufacturing plant up and running again can be a very lengthy process, as opposed to an admin office, for example,” Clayton explains.

“As risk advisors, we work with our clients to understand their insurance programme as a strategically important exercise, and not simply as a transactional insurance exercise. If the adequacy of sums insured and declared values are not properly calculated, insurance cover will simply not be able to put the business back into operation on the same footing as before the peril, with dire financial and operational implications. Don’t let underinsurance scupper your business’ ability to recover from a major event. Engage with an expert broker to comprehensively identify, evaluate, quantify and mitigate risk with a solutions-based management approach that covers you for worst case scenarios while finding economies. Better decisions start when you are better informed of the risks you are faced with, and their interconnectivity with other factors,” Clayton concludes.


Photos by Pixabay
Article featured in Truck and Freight
Link to original article -

Here’s why you shouldn’t rely on a plug repair for tyre punctures.

Getting a puncture is a frustrating experience, and one that could be costly depending on the damage to the tyre. However, one should also be careful of the easy and cheap solutions.

Apart from potholes, nails and screws are common culprits when it comes to punctures, and this is often because of construction vehicles dropping them onto roads.

Vishal Premlall, national director of the Tyres Equipment Parts Association (TEPA) warns that push-in plugs could be a dangerous solution. In fact there was a move to ban these products a few years ago, but the idea was canned.

“Push-in plugs should only be seen as an emergency measure to allow you to get to an accredited fitment centre or workshop so that the correct tyre repair can be performed,” Premlall said.

“The problem with the push-in plug is that it can flex when cornering, braking and accelerating. This seal could be broken and air could escape, leading to a drop in pressure. This difference in pressure can result in uneven handling and compromised safety,” he added.

Reduced pressure often leads to excessive heat build-up in the tyre which results in the failure of the tyre - and these blow-outs can be deadly if you lose control of the car. That’s why it is so important to always keep an eye on your tyre pressures.

But are mushroom plugs an ideal solution?

A ‘mushroom plug’, as the name suggests, has a larger cap, which is bonded to the interior of the tyre and results in a much more stable and secure repair.

This is appropriate to the tread area of the tyre only and should not be applied to the sidewall of the tyre, for safety reasons. This is because most sidewall damage is considered irreparable due to the extreme flexing and pressures exerted on that part of the tyre when cornering or braking.

Les Richardson, TEPA Vice Chairman, says the cost of repairing a puncture with a mushroom plug versus a push-in plug is around double the price (R100 to R150 versus R200 to R250).

“The reason for this is that when repairing with a mushroom plug, the tyre is removed from the rim and cleaned with a scouring disk before the inner mushroom and inside of the tyre are bonded together. This is then refitted to the rim, the wheel balanced and you are good to go.

Premlall concludes, “If you have no other choice a push in plug is advised but then ensure you visit an accredited fitment centre or workshop as soon as possible and replace this with the more stable mushroom plug. This has an airtight seal and will be good for many years,” he explains.”


Photos by pixabay
Article featured in IOL (insurance on line)
Link to original article:




Why money matters in love – the art of ‘financial dating’

Financial compatibility is not always top of the list when ticking the boxes of your perfect partner wish list. However, given the current cost of living crisis and constant interest rate hikes, financial wellness can no longer be ignored.

“Too many couples are not taking financial compatibility into account,” says Janine Horn, Financial Adviser at Momentum. “There is a lot of emphasis placed on love languages. However, people often completely disregard financial compatibility as one of the most critical love languages of all.”  

We often don’t realise that money is the golden thread through all the love languages, as most day-to-day functions require money in some form. “That’s why it’s important for us to discuss the universal love language of money with each other, particularly with our loved ones,” says Horn.   

Numerous studies have found that the lack of financial compatibility is one of the leading causes of breakdowns in romantic relationships and marriages. To address this, Horn has coined the concept of “financial dating”, which is set to drastically improve the longevity and success of financial relationships, including marriages, co-parenting, co-habiting and maintenance. “Financial dating is the key to redoing, renewing, and restoring financial relationships,” Horn says. 

Speaking to what financial dating is, she says, “To understand what financial dating is, we need to realise that it is a concurrent journey that people go on when they decide to build a long-term financial future together. As partners, you focus on the financial factor/s and goal/s. The sooner one starts dating with finances and financial goals in mind, the more solid the foundation of the relationship is – and solid foundations are what happy homes and relationships are built on.”  

“It is also important to note that we all view money through a different lens. Our perception of money is shaped by various factors such as upbringing, employment, discipline, and so much more. This is why knowing the contents of your partner’s financial heart and their financial intentions is crucial to any relationship,” Horn says.  

For her, trust, open communication, and consideration are essential pillars in relationships, and these concepts should also be applied when financially dating. “Being open and honest about how you view finances can be a useful tool in preventing mistrust, resentment and conflict in the relationship,” she says. “Relationships are opportunities. They give us the space to evolve, to grow, to learn to love the parts of ourselves that we don’t always pay attention to. Relationships take work, conscious effort, and the desire and willingness to unlearn toxic patterns together.”  

All in all, Horn says, it is okay if you and your partner are not financially compatible. “Financial compatibility is something you can work towards. But with the right advice, you and your partner can define your financial future together on your collective journey to success.” 

Photo by Pixabay
written by Momentum
Article featured in Bluechipdigital
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Buying a new car versus used car

Buying a new car is not as bad as many people suggest and, in many cases, can be a better investment than buying a second-hand vehicle.

Most people have heard that the moment you drive a new car off the showroom floor, it loses 10% of its value.

This belief is so pervasive that it is widely accepted that a new car is a worse investment than buying a used vehicle.

Add to that the benefit that used cars are more affordable than new cars, and it is easy to see why the second-hand car market is so large.

Many buyers do not consider that a new car typically comes with a full service plan and a comprehensive manufacturing warranty.

Apart from featuring the latest technology, better fuel efficiency, and higher safety standards, new cars also reduce risk.

With a new car, you know exactly what you are getting, whereas used cars could often have unnoticed problems that could show after purchase.

It raises the question of whether buying a new or used car is better from a financial perspective.

To answer this question, Daily Investor analyses pricing data for the popular Toyota Fortuner 2.8 GD6 4×4 automatic which costs R855,100 new.

We considered second-hand Fortuners with different mileages at different ages up to 9 years old to track the trend in vehicle value depreciation.

The data shows that the Fortuner held its value well and lost very little in the first two years.

An interesting observation is that the normal trend of exponential value decay is not seen as time progresses.

In fact, a Fortuner’s value deprecation accelerates as time progresses, according to the data.

It suggests that it makes more sense to buy a new vehicle instead of buying a second-hand car to preserve value.

It should be noted that the pricing trends will differ according to car make and model.

Photos by Pexels
Article featured in Daily Investor by Drikus Greyling
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Car Insurer’s Advice: What to Do if You’ve Been in a Car Accident?

If you are ever involved in a car accident, no matter how minor or serious, car insurers stress the importance of keeping your perspective and following a set of procedures in order to file a successful car insurance claim and to stay on the right side of the law.


Budget Insurance recommends taking the following steps if you ever find yourself in this particular situation.

Step 1: Checking for injuries & calling for help

Budget Insurance reminds drivers that it is considered a criminal offence if you fail to stop your vehicle at the scene of an accident, especially if your passengers, other commuters or pedestrians have been injured, or if property has been damaged.

A driver who fails to stop after an accident is liable to be prosecuted, fined or sent to prison (or both).

Car insurers advise that you stop your vehicle in a safe area off the road so that you’re not obstructing traffic, switch on your hazard lights and call for professional medical assistance, if necessary.

Wait for help to arrive.

Step 2: Assessing the damage to vehicles

Once the injured have been attended to, car insurers recommend that you assess the damage to your own car and any other vehicles or property involved in the collision.

It’s recommended to take several detailed photos from different angles. Use your cellphone if you are able to do so.

Step 3: Exchanging important information

While the situation might be stressful, Budget Insurance recommends keeping your cool.

Avoid unnecessary confrontation with any other drivers, and avoid discussing who is at fault as this may escalate into a dangerous scene.

Rather keep calm and remain alert.

You will need to exchange the following information from the other driver(s):

  • Full name and surname as it appears on their South African identity card
  • ID numbers
  • Contact details (cellphone number, email address, business details, postal and/or physical address)
  • Vehicle registration
  • Description of the vehicle (model, make and colour)
  • Location of the car accident (street number and suburb)
  • The time of the incident
  • Road conditions and any other noteworthy points to consider
  • Name and description of any attending authorities, like paramedics, police officers or tow truck drivers

Car insurers recommend you take some notes about what happened, before, during and after the car accident, before you forget the details.

All these points are very important if you decide to submit a car insurance claim to your insurer or the Road Accident Fund.

If your car needs to be towed, make sure you are using your car insurer’s authorised towing company to avoid an out of pocket expense.

Step 4: Report the car accident to the police

You are required to report any car accident to the police within 24 hours. You will be required to submit your name, address and vehicle registration details.

You can also get a copy of the accident report upon request.

It is an offence not to report an accident, especially if there are any injured parties or if property was damaged, regardless of whether anyone intends to take legal action or file an insurance claim.

If you were injured during the accident and had to be hospitalised for treatment, report the accident as soon as possible and explain the reason for the delay.

Step 5: Report the car accident to your car insurer

Having followed the correct steps listed, you can now go ahead and report the accident to your car insurers and submit a claim, if necessary.

Remember that you need to report the accident regardless of whether or not you will be claiming against your policy.

Car insurance to cover car accidents and collisions

When selecting the right kind of car insurance to insure a car or vehicle, make sure you fully understand the type of cover you’re getting and what kind of options are available.

Comprehensive car insurance from Budget Insurance will cover you for accident damage, theft, hijacking and third-party cover.


Photos by pixabay
Article featured in Mybroadband (presented by Budget insurance)
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