December 2018 was littered with sentiments as the country battled to understand the new spectre of Load shedding, reminiscent of over a decade ago when South Africans were first introduced to rolling blackouts.
During the period of load shedding in December 2007 and January 2008, South Africans came to understand that this could become the new norm.

Power surges due to rolling blackouts can cause damage to electronic devices (computers) and appliances (fridges and Tv’s), which has led to more frequent insurance claims.
It is therefore important to read your policy document, schedule and wording in fine detail because load shedding in itself, is not an insured peril.

It is important to note that load shedding is not accidental, nor is it sudden and unforeseen, but rather a deliberate act on the part of the supplier (Eskom).

Accordingly, any damage arising from load shedding is not covered. We encourage customers and policy holders to take all the necessary and reasonable precautions to better manage related risks and ensure the safety of their people, premises, plant, equipment, etc.

Having an uninterrupted power supply (UPS) installed, allows your home or office to receive a steady and stable flow of electricity. Even when there is instability in the flow of electricity (Load Shedding), a UPS can quite literally save a business and it’s electronic equipment, especially during unexpected power interruptions.

The other aspect to load shedding which customers seldom take into consideration is their Home or business alarm system.
Some alarm back up batteries are only designed to run surplus power up to 2 hours.
If a monitored alarm with 24 hour armed response is a condition for theft/burglary cover, it is the clients obligation to meet this warranty.

That means, in the unlikely event of a burglary there must be an alarm activation report and the patrol unit would need to conduct an on site inspection, in order for the insurance policy to respond. Please ensure that you communicate with both your security provider and Insurance Adviser to discuss the requirements during these periods.

Some Insurers may require you to purchase Power Surge cover separately, it’s therefore imperative that you familiarizes yourself with the policy terms and condition of your Insurance contract. At the same time being cognisant that damage caused through load shedding can’t be construed as Power Surge.

Should you have any queries or concerns or wish to know the difference between Lightning/power surge and load shedding damage, please feel free to contact our offices or leave your details on our website www.esbrokers.co.za and we will call you.

Article written on 6 October 2020 by Andrew Ensor-Smith, managing member of ES Brokers