Version 1_202411_TB

Car insurance, VAPs

Warranty

Presented by Yolandi de Goede

Classroom rules
Car insurance overview
We will deliver royal service

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Personal
accident
The king’s car insurance

We cover
Any South African-registered motor car or LDV (light delivery vehicle).
The car that the client has insured with us, as noted on their policy schedule.

Please note:

The king’s car insurance can be taken as a standalone policy and

serves as a mainline cover.
The king’s car insurance
We don’t cover
Taxis and buses.
Emergency vehicles (like traffic control or armed response).
Law enforcement vehicles.
Vehicles used for towing.
Trucks and heavy commercial vehicles (HCVs).
Motorbikes.
Vehicles used for racing or rallying.
Vehicles used for rental purposes.
Vehicles that aren’t licensed or aren’t roadworthy
Vehicles used for driving instruction.
Important info on the king’s car
insurance
Retail value Cars 30
determined by years or Code 3 cars
Only retail
TransUnion Auto older - Only only for 70% of
value 3rd party retail value
Dealers Guide
cover

Cars used for the following purposes are not covered by King Price:

Emergency services (such as traffic control and armed response), law

enforcement, Rental purposes, towing, driving instruction, taxi purposes
and transporting of fare-paying passengers.
Important info on the king’s car
insurance

Please note:

If the client’s car is stolen, hi-jacked or written off and we find that it’s registered as a
previously rebuilt (code 3) vehicle, we’ll pay him up to 70% of its Auto Dealers’ Guide or
reputable independent source value.
Natis codes
Code 1
New cars delivered by dealer to the first owner.

Code 2
Second hand/used cars with . Or more previous owners.
Code 3
Permanently unfit for use. Code 3 cars are code 1 or 2 cars involved in an
incident and subsequently declared unfit for use as a car. Such cars may be
rebuilt. They’ll , however reflect a code 3 allocation and undergo stringent
procedures as set out in legislation.

Code 3 cars are only covered for 70% of their value in the Auto Dealer Guide.
Natis codes
Code 4

Permanently demolished. This means that the chassis of the car

has been:

a) Compacted
b) Compressed
c) Melted
d) Destroyed, or
e) Damaged
To such and extent that the chassis can’t be used to build a car.

i.e. it’s completely kaput

Multiple car discount

In a nutshell…
Our multiple car discount is available only to clients who
comprehensively insure 2 or more cars with the king. And it’s
exactly what it sounds like… The more cars they insure, the more
they could save on their premium.

Our multiple car discount works like this:

1 car with comprehensive insurance equals super cheap

insurance, while 2 or more cars with comprehensive insurance
receive a profile-dependent multiple car discount
Inspections
All vehicles that are NOT brand new (including demo vehicles) must be inspected
and will not be covered for any perils whatsoever until done.

Existence and the condition of the vehicle, previous damages, mileage, and
security.

Inspection is free and takes 5 minutes.

Inspections to be done at the centres as listed on the KP website.

Clients can download our KP app and do the inspections themselves.

Self inspection can also be done via WhatsApp chat.

The king’s car insurance
Previous insurance history
ONLY fully comprehensive cover is applicable.
International insurance history can be used if proof is provided at sale stage.
If a client was making use of a company car, they can use previous insurance
history if:
The car was parked at their own home each night.
They were the only noted regular driver of the business-owned car.

Previous claims
Claims where someone other than the regular driver was the driver:
Must be captured as a claim.
The insurance company was still financially implicated.
The king’s car insurance
Please note:

We can use branded vehicles for previous insurance history. Example estate agents, reps
etc. who have their cars branded etc.
The car must be parked at their home address each night.
They must be the only noted regular driver of the business-owned car.
In this case make sure to advise the client to insure and specify the branding under
accessories as branding can be expensive

Please note that it is important to PROBE to understand what the client does for work and
why their car is branded.
Make sure that it’s not a pool car that the client had (e.g.: Govt vehicles). We do not allocate
previous insurance to pool cars.

In the case of make sure to insure the car for business use and list the branding under
accessories as branding can be expensive.
The king’s car insurance
Regular driver
Person who drives the car most often during any monthly period and must be noted as
such on the policy schedule.

Licenses
We accept clients with International drivers licenses.
Once a client converted their foreign licence to a SA drivers,
we can use the issue date of the first issued licence (foreign
licence) to give the benefit of the driving years.
If a client has more than one valid licence code (B or C1, C10)
we will capture code B so that the client will always benefit on
the premium.
The date of first issue can be the same date as when they first
got a licence.
The king’s car insurance

Private use
VS Business use
Is for private or social purposes, Includes private use with
including driving between home additional cover, for instances
and regular place of work. where the car forms an essential
part of any work or function at
Covered in: South Africa, Botswana,
Lesotho, Mozambique, Namibia, least 7 trips or more a month for
Swaziland, Zimbabwe, Malawi. which they earn a salary, a wage,
other income or remuneration.
6 Business trips or less = private
use 7 and more times = business use
The king’s car insurance

Please note:

Business trips are only covered in SA.

Only the client, the client's spouse or the noted regular driver or the regular driver's
spouse can be insured for business use of the car.
The king’s car insurance
Please note:

If the client is only Buying the car in the business name but is purely for Personal use,
our direct sales department can sell the policy ( the underwriting department can
change the policy to the business name)
If the car is used for seeing clients, for example, reps, lawyers, or consultants who only
do client visits. The direct sales department can sell the policy for business use

The difference comes in with the USE and ADDITIONAL cover needed:

Example:
If it’s a plumber who wants to cover his tools = commercial.
If they want to insure stock (Goods in transit) = commercial.
If a gardening service wants to cover tools = commercial.
The king’s car insurance

Our service providers are:

All high risk vehicles require tracking devices.

The king’s car insurance

High-risk cars that need tracking devices

Toyota Avanza
Toyota Quantum
Toyota Hi-ace
Hyundai H100
Kia K2700
Toyota Etios
The king’s car insurance

We do not have a grace period for fitting tracking devices in a client's car. You need to notify
your client if the device needs to be fitted and ensure that it is in working condition.
Additionally, if your client fails to pay their premium with the tracking company, theft and hijack
cover will be excluded. This means that if the client's car is stolen or hijacked, they will not
have a positive claims experience If the car is used for seeing clients, for example, reps,
lawyers, or consultants who only do client visits. The sales department can sell the policy for
business use
Leg stretch
Car cover options
Car cover options

Third party,
Agreed value Comprehensive Theft & write-off Third party only
fire & theft
Car insurance options:
Comprehensive
Optional covers:

Hail cover. (if not financed)

Sound and accessories.
Car hire.
Shortfall.
Scratch and dent.
Tyre and rim.
King’s cab.
Car warranty
R1 Insurance
The king’s car insurance options
Benefits of
comprehensive cover

Medical assist Hail cover Roadside assist Accident assist

Decreasing premiums.
Multiple car discount.
Choose your excess
Windscreen cover
Agreed value

In a nutshell…

Agreed value insurance covers the client for accident

damage, theft, and hi-jacking, and for damage to
other people’s property (which in the insurance world
is known as third-party liability) as the result of an
accident, the client is involved in.

The only difference between our agreed value and

comprehensive options is that, with agreed value, the
insured value that’s noted on your policy schedule is
the amount that the car is covered for, for 3 years.
Car insurance options:
Agreed value
it w orks
How
The agreed value that’s noted on the client's policy schedule refers to the amount
that the car is covered for, for the 3 years following the start of the cover.
This agreed value must be agreed on by the client and us. It won’t depreciate, so
the client's car premium won’t decrease monthly.
Accessories and non-standard fitted extras must be noted on the client's policy
schedule and a separate premium paid for them.
Cover under agreed value is dependent on the client's personal risk profile
Car insurance options:
Agreed value
Optional covers:

Hail cover. (if not financed)

Sound and accessories.
Car hire.
Shortfall.
Scratch and dent.
Tyre and rim.
King’s cab.
Car warranty
R1 Insurance
The king’s car insurance
Benefits of agreed
value cover

Medical assist Hail cover Roadside assist Accident assist

Multiple car discounts.

Choose your excess
Windscreen cover
Collectable cars
Collectable cars

In a nutshell…

Great news! The king now offers clients cover for some
of their super special cars… Like classic and high-value
collectable models that aren’t driven every day.
By ‘collectable car’ we mean

Classic cars (normally collector’s items that are older than 30 years).
High-value cars, like Porsches, Ferraris and Maseratis that have been
customised and don’t have a TransUnion retail value.

Please note:

Collectables are for very old or very expensive cars. Not for the in-between years we don’t
want to insure. Collectable cars are not the workaround option to insure cars we don’t
normally insure, because they are just a little older than the 30 years we insure.
The king’s car insurance

Here are some examples of classic

cars:

1955 Ford Thunderbird Roadster

1956 Mercedes Benz 190SL
1965 Rolls Royce Cloud III
1969 VW Beetle Karmann convertible

https://www.jbclassiccars.co.za/stock.html
The king’s car insurance

Here are some examples of custom

high-value cars:

2017 Ford Shelby GT350

2015 Dodge Challenger SRT Hellcat
2010 Chevrolet Camaro
2007 BMW 335i
2009 Porsche Carrera

https://www.bing.com/images/search?q=high%20value%20custom%20cars%20&qs=n&form=QBIR&sp=-1&pq=high
%20value%20custom%20cars%20&sc=1-23&cvid=B3B72B9C25DD462BB290E8DF327F79FD&first=1&scenario=I
mageBasicHover 37
Inspections
Clients who want to insure their collectable cars, need to:

Self-inspect their cars via the King Price.

Send their mileage reading when their cover starts, via our app.
Send monthly mileage updates while their cars are on cover.
Re-inspect their cars after cash-in-lieu claim settlements.
Agreed value
Most collectable cars don’t have a formal industry retail value.
Our client must advise how much they want to insure their car for, and we
must agree to this value (we call this the ‘agreed value’).
Our client also needs to provide a valuation certificate for their car (this will
help verify the agreed value).

Please note:

It’s our client’s responsibility to let us know if the value of their car changes.
Agreed value
The agreed value will be noted on the client's policy schedule and:

Is the max amount payable by us in the event of the total loss of the car. The
agreed value, must be verified with a valuation certificate.
Must include the non-standard fitted extras and accessories, as well as any
parts and accessories that are stored at the insured address.
Won’t depreciate.
How they’re covered

Our ‘pay-per-k’ chilli car insurance is the perfect cover for collectable cars because they
generally aren’t driven much (in fact, this is the only cover that’s available for collectable
cars).
Collectable car insurance = premiums that don’t decrease.
Insured for an agreed value.

Please note:

While we aren’t selling chilli cover for ‘normal’ cars at the moment, we’ll still cover your
collectable cars under chilli.
What is Chilli cover

Chilli is comprehensive car cover, just way cheaper because the less you drive,
the less you pay. Just like the comprehensive car cover, the client is insured
against accident damage, theft and hi-jacking, and for damage to other people’s
property (which in the insurance world is known as third party liability) as the
result of a car accident that their involved in.
Claims
Most collectable car parts aren’t readily available and that’s why we settle these
claims in 1 of 2 ways.
Once we’ve agreed to cover the necessary parts and labour:
If possible, we’ll manage the repairs through 1 of our accredited providers.
Or we may offer a cash-in-lieu settlement and allow the client to manage the
repair process.

By ‘cash-in-lieu’ we mean:
When cash is paid to a client instead of using King Price suppliers for
repair/replacement.
It remains our choice whether to settle cash-in-lieu and it will be a full and final
settlement.
Remember:

Once a cash-in-lieu claim is settled; the client must have

the car inspected again once the repairs are done.
Car insurance options:
Theft & write off

Benefits included:
Accident assist.
Medical assist.
Choose your excess

Optional covers:
Sound and accessories.
Car warranty.

excluding hail
Car insurance options:
Theft & write off

What is covered:
Damage caused during an attempted theft or hi-jacking,
and damage found after a car is recovered.
Covered only in the event of total loss.
Car insurance options:
Third party, fire and theft

Benefits included:
Choose your excess

Optional covers:
Car hire.
Tyre and rim.
King’s cab.
Car warranty.
Car insurance options:
Third party
Benefits included:
Choose your excess

Optional covers:
Tyre and rim.
King’s cab.
Car warranty.
Liability to others
Liability to others

The policyholder, the regular driver, and financially-dependent family members who
live with the policyholder at the address stated on the policy schedule, are covered
for legal liability arising from incidents that cause injury to other people or damage
to other people’s property.
The policyholder’s children who are full-time students are also covered for liability,
whether they live at the insured address or not.
Car liability
Liability to others… What’s covered
The regular driver.
Financially dependent family members who live with the client at
the address stated on the policy schedule.
Children who are full-time students whether they live at the insured
address or not.
Covered for incidents that involve:
An Insured car, stated on the policy schedule.
Any car towed by the insured car, as stated on the policy
schedule.
A car driven by the client or regular driver which they don’t own.
Car liability
Liability to others… What’s not covered
Death, bodily injury or emotional shock.
Liability arising from loss of, or damage to:

Property owned by the client, or in his control.

Property owned by any member of the household, the regular driver or by any
employees.

A car driven or hired by the regular driver, any employees or members of the
household, which is not owned by them.

A car being towed by the insured car.

If the claim is rejected.
Liability that’s already covered by legislation and/or other insurance contracts.
What’s not covered under car
insurance
Driving with an endorsed licence or without a valid driver’s licence.
Driving under the influence.
Leaving the accident scene unlawfully.
Racing, drifting or using the car to earn an income.
Selling your car.
An un-roadworthy car.
Intentional loss or damage by household members.
When the car is used without the clients’ consent.
Modifications to alter performance.
Incorrect fuelling.
Loss or damage, after keys left/forgotten out in the open.
Car excess
 Ca r exce ss

Car excess options

Min R1,500
Basic excess R6,500
Max R27,500
Clients 45+ years qualify to choose an R0 excess.
 Ca r exce ss
Car radio excess
Factory-fitted, not specified: selected basic vehicle excess will apply
Non-standard, specified = R750

Car window excess

Replacement (excluding sunroofs and panoramic glass) =
R1,250
Chips: No excess

Please note:

If the client qualifies and selects the R0 excess, the above-mentioned excess
will not apply. In other words, there will be no excess for radio and window glass
claims.
 Ca r
al exc ess
addition
If the incident driver is not the regular driver and younger than 25 years old, or
has had a drivers license for less than 2 years = R4,500

If the incident occurred outside of South Africa and the car isn’t drivable =
R7,500

If the incident occurred in the first 3 months of cover = R3,500

Third party Liability/liability to other parties

R5, 000, 000
 Ca r exce ss
New policy:
If a client claims within the first 3 months of the risk inception on a new policy, an
additional excess of R3,500 will apply.

Adding a new car and new regular driver:

If a client adds a new car with a new regular driver to an existing policy and makes a
claim within the first 3 months of the risk inception, an additional excess of R3,500 will
apply.

Changing regular driver:

If a client changes the regular driver on an existing car on their policy and makes a claim
within the first 3 months of the risk inception, an additional excess of R3,500 will apply.

Adding a new car with the same/existing regular driver:

If a client adds a new car to an existing policy with the same regular driver and makes a
claim within the first 3 months of the risk inception, the additional excess of R3,500 will
NOT apply
Let’s take
a break.
Car warranty
Car warranty insurance

What is car warranty insurance?

Our royal car warranty cover ensures that the client's car's moving parts that fail are
repaired or replaced… And that the client’s car will be back on the road as soon as
possible. That’s our responsibility. It’s the client's responsibility to ensure these car parts
are serviced and maintained as they should be.
The best thing about our car warranty is that anyone can sign on the dotted line for it. If
the car is insured with us, if the car isn’t insured with us, and even if the client's car isn’t
insured at all... He can have King Price car warranty cover.
Car warranty insurance
How does car warranty insurance work?
To repair/replace the client’s car’s moving parts that failed.
To ensure the client’s car is back on the road as soon as possible.
It remains the client’s responsibility to make sure these car parts are serviced and maintained.
Cover can be given even if the car is not insured with King Price, or at all, the owner can still get
our warranty insurance.

Please note:

Our car warranty insurance isn’t a maintenance plan. The client remains responsible for
maintaining and servicing their car as per the manufacturer’s guidelines.
Car warranty insurance
By ‘car’ we mean
Any light motor vehicle or light delivery vehicle (LDV; which
weighs less than 3,500kg) that’s registered in SA.

Not available for

Taxis and buses.
Emergency vehicles (like traffic control or armed response).
Law enforcement vehicles.
Vehicles used for towing.
Trucks and heavy commercial vehicles (HCVs).
Motorbikes.
Vehicles used for racing or rallying.
Vehicles used for rental purposes.
Vehicles used for driving instruction.
Vehicles that aren’t licensed or aren’t roadworthy.
Car warranty insurance

Excess
Default excess is R500.

How to claim
Dial 0860 50 50 50 and follow voice prompts.
Car warranty insurance

How it works
To be eligible for cover, the client must:
Reside permanently in SA.
Be able to provide an RMI (Retail Motor Industry Organisation)
approved full-service history of the car.
Ensure the kilometre reading doesn’t exceed 200,000km at the
point of sale.
Not have made any modifications to the car linked to the warranty
product.
Car warranty insurance

c o v e re d
What’s

Cost of repairs
The usual and reasonable charges for parts and labour to repair or replace the parts that the client is
claiming.

Multiple parts
Any number of failures or repairs from the same incident will be treated as 1 claim
The amount we pay is limited to the higher benefit amount.
Car warranty insurance

c o v e re d
What’s
Mechanical or electrical failure
After an unforeseen and unexpected mechanical or electrical failure or breakdown,
the client is covered for the repair or replacement of the parts, as well as the cost of
the necessary labour and associated outwork.

If the car’s mileage is:

Less than 200,000km, the client is covered up to the limits noted in the policy
schedule.
Between 200,001km and 250,000km you’re covered up to 75% of the limits.
Between 250,001km and 300,000km, you’re covered up to 50% of the limits.
More than 300,001km, you’re covered up to 25% of the limits.
Car warranty insurance

c o v e re d
What’s
Multiple parts
The client is covered for any number of failures or repairs that result from the same incident.
Such cases will be treated as 1 claim and the amount we’ll pay is limited to the higher
insured value. The balance is for the client’s account.

For example, if your car’s engine control unit/module (system) fails and
this affects the starter motor (electrical components), and the car warranty option
you’re paying a premium to cover both these components, we’d cover them both up
to the maximum payout of the management system as it’s the higher limit.
Car warranty insurance

OT c o v ered
Wha t ’ s N
Accidents and unreasonable use
Alterations and modifications
Betterment
Burnt valves
Claim limits
Car warranty insurance
OT c o v ered
Wha t ’ s N
Damage while servicing Lack of maintenance
Depreciation Odometer
Driveshafts & steering racks Oil leaks
Existing causes Parts
Exhausts and catalytic converters Pre-existing damage
Faulty workmanship or materials Routine maintenance
Hoses and pipes Service items
Insured costs Towing and repatriation
Intentional acts Unauthorised repairs
Unlicenced or drunk driving
Usage (only personal lines usage permitted)
Car warranty insurance

Please note:

The client is not covered for the cost of bringing his car back to SA if it’s damaged in
another country.
Car warranty insurance

T’ s & C ’ s Authorised providers

All repairs must be done by an authorised repairer of our
Eligibility choice, and we’ll pay all claims directly to the repairer.
To be eligible for cover the client must:
Be able to provide a full-service history of the car.
Reside permanently in SA.
Ensure the kilometre reading doesn’t exceed 200,000km at the point of sale

End date
The client’s cover under this policy will end when:
He sells the insured car (Please note that he cannot transfer the
policy to a new car).
The insured car is written off, stolen, hijacked, and not recovered.
Client tells us to end cover.
Car warranty insurance

T’ s & C ’ s
Please note:

When the cover ends it does NOT have a cash value.

Can a client have more than one warranty cover?

No, You should not have more than 1 warranty product. This means you won't be covered
by 2 insurers for the same items, that are damaged in the same incident.

Waiting period
First 30 days – no cover.
Second 30 days – only 25% cover.
After 60 days – full cover up to sums insured.
Car warranty insurance

Important info for our client

Prove up-to-date service history.
Salvage and abandonment of parts.
GRSA (our in-house claims administrator for warranty claims).
No inspection.
Car warranty insurance
Servicing

If the client doesn’t have an up-to-date service history for the car when he takes out our car
warranty cover, he won’t be able to claim. (So, the client has to take the car to a manufacturer-
approved or RMI-registered service centre and have it done before the car is signed up.)
Car owners should service the car as per the manufacturer’s set requirements.
Car owners should service their cars at the prescribed intervals.
A new car owner, who does not have an up-to-date service history when they take out this
warranty cover, won’t be able to claim.
This new car owner, must take their car to a manufacturer-approved/RMI-registered service
centre and have it serviced.
Their cover will commence once they have this service subject to the following rules:
Car warranty insurance
Servicing continues…

If the client’s car was not serviced according to the manufacturer’s requirements before taking
ownership, we’ll provide indemnity for breakdowns covered in terms of this warranty cover,
However, we will not provide indemnity for breakdowns resulting from a previous failure to
undertake a major service and/or failure to replace service items or items that need to be
replaced at specific/regular intervals (V Belts, Cambelts, Injectors, Glow plugs.
Depending on the circumstances, a partial contribution may be paid solely at our discretion.
Car warranty insurance
e fi t s
be n
a nt y
Warr
Car warranty insurance
Summary
Covered for
Covers specific unforeseen, mechanical and electrical failures.
Up-to-date service history is required during the client’s ownership of
the car.
We cover up to the limits as per the client’s option, which is stated on
their schedule.
Waiting periods apply: 30 days R0 cover, 31-60 days 25% of cover
limit.
Claims are limited up to 50% of the car’s value in a 24-month cycle.
Excess R500.
This is a standalone cover.
Let’s recap
Thank you
Any questions?