Insurance covers loss or damage of property as a result of “sudden accidental and unforeseen causes”. Insurers reserve the right to reject the claim in terms of gross negligence.

The insured must observe due care, and not act in a negligent manner.  The “reasonable man’s test” is applied in measuring whether the insured was negligent or not.  In other words, would an ordinary responsible person act in the same manner as the insured did or not if faced with a similar situation?  An example is not physically checking whether a vehicle is locked, but assuming it is locked by “merely” pressing the vehicle immobilizer button.  In these days of vehicles being “remotely blocked” by a “jamming mechanism”, it would be assumed that a “reasonable man” would press the remote button and in addition, check physically if the door is locked.  The former may be assumed as negligence.

(Most laptops and notepads claim are caused by such actions and the Insurer/Insured is compromised as Insurers may repudiate the claim in the absence forcible entry into the vehicle.)

 Insurers also requires you to “act as if you are not insured”.   

In this requirement, the Insurance is impressing on the need to exercise due care in protecting the Assets.  The insured should act in a morally responsible manner, thus removing the moral/behavioural hazard.

Duty of Care

A duty to take care should exist in protecting Assets.  Each one of us has a duty to regulate his/her actions and not cause injury to others or damage to property.  We should also protect property in our custody as if it were our own and remove the burden of claiming from the Insurers.

Claims Procedures

In terms of an Insurance policy, the following terms should be observed to avoid claims repudiation.  Failure to observe these conditions may warrant repudiation by the Insurers.

  • In order to avoid unnecessary delays and repudiations.  You should observe the following conditions without fail otherwise the claims will be repudiated.
    1. Do not under any circumstances admit liability either
      verbally or in writing as your Insurers have the right of representation under the subrogation condition. 
    2. All claims or possible claims must be advised to the broker immediately in writing as soon as reasonably possible. 
    3. Police report must be made within 24 hours for accident and theft claims. This is law.
    4. Your insurers have the right to assess a loss.
    5. Your insurers have the option to repair, replace, reinstate or pay cash.
    6. Do not dispose of damaged property and/or salvage until authorized to do so.
    7. Do not repair or replace lost or damaged property without obtaining authority from your Insurers or their representative.
    8. In the event of a motor accident please ensure that the following information is obtained at the scene.
      a) The name of the Third Party, as well as the contact address.
      b) The registration number of the Third Party vehicle.
      c) The name/number of the Police Officer in attendance and the accident report number.
      d) Names and addresses of any witness.
    9. It is essential that you check all Company vehicle drivers’ licences regularly preferably every 12 months and advise your broker immediately of any endorsements other should a license be endorsed, Insurers have a right to reject the claim.
    10. You are obliged to co-operate with the broker/Insurer at all times during the claim.

Laptops Notepads and Cell phones Warranty

The insured property should be placed in locked boot and all doors of closed vans and/or motor cars are locked and roofs closed when left unattended.

If you are ever in doubt, please contact us and we will assist.

Are you currently having problems with your insurer/broker regarding a claim? Let us give you a second opinion, free of charge.

Get in touch