What Would Happen If You Miss A Payment On Your Insurance

In South Africa we have seen that January is normally a tough month when it comes to our finances. We tend to over spend over the holidays, then it is Christmas and then the parents get hit with back to school fees. People then sometimes decide to skip a payment on their insurance to give them some financial space. In this article I will explain what will happen if you skip a payment.

It is important that you know that if you skip a payment then you won’t be covered for that month. We have seen people that are still on holiday then they are involved in a car accident, and then they are not insured because they missed a payment on their monthly premium. With short term insurance you are allowed to pay upfront. It is important that you put your insurance first.

It is important that you understand the terms and conditions in your contract. The contract will stipulate that you have to make advance monthly payments in order to be insured, whether it is a car or a house. It is important that you know that the insurance company is allowed to cancel your policy if you fail to make a payment. The reason for this is because you are breaking the contract.

Some people sometimes come to the conclusion that they simply can’t afford insurance anymore, thus creating stress because they are living with out any form of cover. It has never been so important to have insurance. Nowadays with the rising market of insurance in South Africa, one can obtain affordable insurance policies.

There are thus a few things that one can do in order to improve your situation so that you never miss a premium payment. It is of utmost importance to include your insurance in your monthly budget. There are numerous websites on the internet to help you set up a budget and to give you assistance and advice. It is important not to live beyond your means and to know what your priorities are. Insurance is most definitely something that should be on top your priority list.

To conclude. We can see that it is of utmost importance to not skip a payment on your insurance. Rather look at ways to lower your premiums in order to make it more affordable for you.

 

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