Avoid regret: Insurance tips for making smarter decisions

News24

2 days ago

Insurance adds value to both life and items we own, offering stability, security, and peace of mind. It plays a critical role in helping us manage life's uncertainties that have financial implications.
Santam's 2025 insurance barometer report, surveying nearly 900 South African customers, businesses and brokers, highlights the emerging risks we face today. It makes a case for the importance of informed, forward-thinking insurance decisions.
The risks identified in South Africa
The report notes how South African households are feeling impacted by the persistently high inflation and interest rates, with 84 percent of consumer survey respondents saying they have had to make adjustments to cope with the increased cost of living.
Atang Matebesi, CEO of Santam Client Solutions, notes how the changes in the local and international risk landscape mean the local short-term insurance industry must continue to adapt at a rapid pace.
Atang says, 'Weather volatility, infrastructure concerns and socio-economic challenges have created a tough environment for local insurers.'
READ MORE | 6 ways to master financial resilience through tough economic times
Beyond the cost of living, the report highlights other concerns, which include:
Crime - '16 percent more consumer respondents citing it as a top three risk for their households now, compared with 2023'.
Climate change - '78 percent of consumers citing they are in some way concerned about the threat of extreme weather events'.
Cost of living - 47 percent cite economic challenges.
With the changing role of insurance brokers, the report highlights how insurers must provide meaningful risk management tools. Beyond this, there's the growing question of how to make more informed insurance choices. Where does it start and where does it end?
Types of insurance
Investopedia, a U.S.-based financial publication, notes these four types of crucial insurance policies you need:
Life insurance;
Health insurance;
Long-term disability coverage; and
Car-insurance.
READ MORE | Nicolette Mashile on financial literacy - 'It should be a basic human right'
Tips on picking the right insurance policy for you
South Africa-based MiSure Insurance Brokers suggests you consider the following: