If you can pay cash for your desired car, yes, you can buy a car without insurance. … There are three types of car insurance: Comprehensive cover; third party, fire and theft cover; and third-party cover. Comprehensive cover is mandatory if your car is still financed.
Is it legal to buy a car without insurance?
It is mandatory for used car sellers to have a valid insurance cover on their vehicle. Using a motor vehicle without a valid insurance policy is against the law. However, it has often been seen that some car owners try to avoid renewing their vehicle’s insurance policy before selling it off.
Is car insurance mandatory in South Africa?
Unlike in many countries, car insurance in South Africa is not compulsory. However, there are a high number of road accidents and vehicle thefts in South Africa each year. Because car insurance in South Africa isn’t mandatory, many drivers don’t have it. …
What happens if I crash and don’t have insurance?
1. If you’re at fault. If you were the at-fault driver in the accident and you don’t have insurance, you’ll have to pay out of pocket for any damage or injuries you caused — even though you don’t have coverage, the other driver has the right to recover damages from you, meaning they can sue.
What is the punishment for no car insurance?
Penalty points and driving bans
Failing to have car insurance can result in six to eight penalty points on your driving licence. These points stay on your driving record for 4 years. You can be disqualified from driving if you have 12 or more penalty points within three years.
How many vehicles in South Africa are insured?
10 Million Cars, only 2.5 Million Insured
There are roughly 10 million passenger cars on South African roads as you read this, but only 2.5 million or so are insured. So, when you are in traffic and look around you, three of the cars next you are probably not insured.
Is third party insurance compulsory in South Africa?
Insurers welcome plan to make cover compulsory. … Given that about 70% of the approximately 12 million cars on South Africa’s roads are not insured, insurers have welcomed the government’s proposal announced in the Budget to make third-party insurance compulsory for all vehicle owners in South Africa.
When can you drive without insurance?
You don’t need motor insurance if: you have a valid Statutory Off Road Notification (SORN) your vehicle has been kept off a public road since before 1 February 1998. your vehicle has been scrapped, stolen or exported and you have given notice of this.
Can you settle a car accident without insurance?
Drivers must have valid insurance which covers you in the event of damage or injury. But when it comes to a minor scratch or prang, motorists may decide it’s not worth going through the insurance companies. Instead of claiming through the insurer, the parties could agree to handle the issue privately.
What happens if the person not at fault in an accident has no insurance?
Uninsured Drivers in Accidents They are Not Liable For
If you sustain an injury in an uninsured or underinsured car accident that you are not responsible for, you will still be able to file a claim with the at-fault driver’s insurance company and follow the same process you would if you had insurance.