International Car Insurance: Are You Covered in Foreign Countries?

Third-party car insurance is necessary to drive across the borders of countries such as Malawi, Namibia and Botswana. But to travel to many other African countries, you need international car insurance.

There are other circumstances where third-party car insurance won’t be enough when driving abroad. First for Women can help you get the right type of car insurance when travelling outside of South Africa.

In this article, you’ll learn about what international auto insurance is and when and why you need it.

What is international car insurance?

Whether you’re driving within South Africa or a foreign country, you’re exposed to risks that can lead to the loss of or damage to your vehicle. 

It can be very stressful if you have a car accident in a foreign country. Imagine colliding with another car or damaging your tyres! Where do you start with getting help? How would you ensure that your vehicle is safe and gets adequately repaired? Where would you and your fellow travellers sleep if your vehicle can’t be moved? You should consider these questions before setting off on your dream holiday in a neighbouring country. 

International car insurance ensures that you and your vehicle are protected while driving abroad for personal reasons. In the case of problems such as damage due to accidental collision or loss due to theft, you can claim from your car insurer. Discover more with First for Women’s Insurance for Vehicle’s Guide.

However, international auto insurance does not cover you and your vehicle under all circumstances. We will detail what this insurance covers and doesn't cover shortly.

As with all types of insurance, there are terms and conditions associated with international car insurance. When driving in SADC countries (Angola, Botswana, Congo, Swaziland, Lesotho, Madagascar, Malawi, Mauritius, Mozambique, Namibia, Seychelles, Tanzania, Zambia or Zimbabwe), you can use your South African driver’s licence. 

If driving in other parts of Africa, you must hold an international driving permit (IDP). You get this document from the Automobile Association of South Africa[1]. The IDP works in conjunction with your South African driver’s licence. Therefore, you need to have both of these with you. We advise that you keep copies of your original driver’s licence, IDP, and confirmation letter from the Department of Transport.

Additionally, you may need to have proof that you’re the legal owner of the vehicle you are driving. If you are driving someone else’s vehicle, you must have a letter of authority from the owner. If your vehicle is financed, you’ll need a letter of authority from your banker confirming this.

A First for Women comprehensive insurance; third-party, fire and theft; or third-party only car insurance covers you and your vehicle when driving abroad. But these types of insurance cover only short periods such as holidays. 

Other conditions will be attached to the cover. For instance, you might be prohibited from driving off-road unless you have also added 4x4 vehicle insurance. Typical car insurance will also limit coverage to certain countries. When in doubt, it is worthwhile to contact your broker to confirm what’s covered and what is not covered by your specific car insurance policy.

Why do you need international auto insurance?

In South Africa, auto insurance isn’t mandatory. However, third-party liability insurance in countries such as Nigeria, Cameroon and Liberia is compulsory. Moreover, car insurance in some foreign countries may include items that are often excluded in South Africa.

Irrespective of which country you visit, it’s essential to protect yourself and your vehicle against:

• Damages to properties belonging to third parties

• Injuries or death to a third party in case you’re at fault

• Loss or damage to your car

Having international car insurance is the safest way to ensure you have adequate cover. Remember also that roads and driving behaviour in foreign countries may not be amongst the best in the world. As such, the chances of being involved in a car accident might be higher than in South Africa. 

Who should get international car insurance?

People who visit foreign countries for various reasons and have to cross borders should have international auto insurance. Some of the people likely to need this type of insurance include:

• Contractors

• Holidaymakers

• Non-profit employees

• Healthcare workers

• Missionaries

It’s worth checking with your insurance company if you have the right car insurance coverage before undertaking a trip abroad.

What countries are covered under your car insurance policy?

You don’t need to have international car insurance when driving in all foreign countries. First for Women regular car insurance covers you and your vehicle in many African countries, including: 

• Swaziland

• Zambia

• Lesotho

• Namibia

• Mozambique

• Botswana

• Malawi

• Kenya

• Angola

• Uganda

• Kenya

Having said this, you still need to adhere to the terms, conditions and limitations of this type of vehicle insurance to enjoy its benefits.

If you travel to any other country, check with First for Women to ensure you have adequate car insurance coverage. 

What does international car insurance cover?

How would it feel if your vehicle got damaged in an event not covered by international auto insurance? You'll probably feel stressed and devastated. You can prevent finding yourself in this situation if you know what your insurance covers and doesn’t cover. 

Let’s start with what is covered.

1. Repatriation of your vehicle and its occupants. Your vehicle may break down in a foreign country, and all attempts to fix it may fail. For example, the problem might need to be fixed at a particular facility unavailable in the country where it broke down. For the vehicle to be repaired, it’ll have to be returned to South Africa — a process called repatriation.

In some cases, your vehicle may have been involved in an accident that seriously injured you or other occupants. The injured person might need to be repatriated to South Africa for proper medical attention. 

International car insurance will cover both of these repatriation scenarios. However, the cost of repatriation will be limited based on your insurance policy.

2. Emergencies. An emergency can be one of two kinds: the vehicle might be involved in an accident and need emergency repairs to be mobile again, or the vehicle might have been involved in an accident and subsequently, fail to move irrespective of all emergency repairs made. 

Fortunately, international auto insurance can pay for emergency transport and accommodation up to a certain limit per day or per incident.

3. Breakdowns. International auto insurance also covers your watercraft or vehicle breakdowns up to a given limit. Your vehicle will be covered for both electrical and mechanical issues, including labour expenses.

4. Loss or damage to your vehicle. Vehicle accidents and theft aren’t unique to South Africa. In many parts of Africa, vehicle accidents are caused by poor roads. International auto insurance will pay out to repair damages to your vehicle or replace it if stolen.

What is not covered under international auto insurance? 

Now that you know what is covered by First for Women’s international auto insurance, it’s just as important to understand what it doesn’t cover.

1. Loss, injury, damage, or third-party liability caused by political or civil unrest are not covered. If a thief steals your vehicle or gets damaged due to events such as martial law, war, strike, or political unrest, your vehicle will not be covered. Neither you nor the occupants of your vehicle will be covered if you sustain injuries due to the activities mentioned above.

2. Business purposes. International car insurance won't cover if you use your vehicle abroad for business purposes and it gets stolen or damaged. Business uses include attending meetings as part of your job function or collecting company material such as stock, postage, or equipment.

3. Unauthorised use. Loss or damage to your vehicle may occur because you or an authorised driver left the vehicle’s keys in the ignition or somewhere in it. If an unauthorised person drives your vehicle and causes a collision or hits a pedestrian due to this negligence, this is not covered by international car insurance.  

4. Poor maintenance. There are many reasons that could lead to an immobile vehicle. When the cause of the breakdown is sudden and unforeseen, international auto insurance covers your vehicle. For example, thieves might steal two of your car’s wheels — in which case your vehicle will be covered. If needs be, your vehicle will be repatriated. However, it will not be repatriated if your vehicle can’t move for any reason besides vandalism, mechanical failure, electrical failure, theft, a road accident, or hijacking. Breakdowns due to wear and tear or poor maintenance — such as inadequate vehicle servicing or using an incorrect lubricant or fuel — are not covered.

5. Breakdown due to road unworthiness: if your vehicle is involved in an accident while in an unroadworthy condition, you are not covered.

It’s advisable to familiarise yourself with all the conditions that are not covered by your international auto insurance policy. Doing so will help you avoid rejected claims.

Vehicles that need international insurance

As stated earlier, you’ll need to have a minimum of third-party-only car insurance when crossing South Africa’s and other African countries borders. The same can be said about insurance for other vehicles, such as motorcycles, caravans, trailers and watercraft. For this reason, you’ll need to have the right international vehicle insurance when you cross into countries outside South Africa.

In the case of caravans, international insurance for caravans protects against loss or damage to your investment due to perils such as fire, theft, or vandalism. If included as an add-on, it also covers contents such as a fridge or bed.

Motorcycles, trailers and watercraft (boats) can also be insured against loss or damage while abroad. Ensure you provide all the necessary information about your vehicle to get adequate cover.

Get online car insurance quotes from First for Women

If you travel to other parts of Africa where your regular car insurance does not cover you and your vehicle, it’s a no-brainer to get international car insurance.

It all begins by requesting a free and no-obligation online car insurance quote from First for Women. Our trained consultant will guide you through the car insurance that meets your needs.

Sources:

[1] Automobile Association of South Africa: International Driving Permit 

Disclaimer: The information in this article is provided for informational purposes only and should not be construed as financial, legal, or medical advice. First for Women is a licensed non-life Insurer and FSP. T’s & C’s online.