Take Charge of Your Money

An in-depth discussion on car insurance with Ernest North

March 21, 2022 Brendan Dale Season 2 Episode 2
Take Charge of Your Money
An in-depth discussion on car insurance with Ernest North
Show Notes Chapter Markers

Take Charge Of Your Money podcast with Brendan Dale
Season 2, Episode 2 - 21 March 2022


Sponsored by Naked - The new way to insure your stuff

A great chat with Ernest North who is one of the co-founders of naked. Ernest has over 16 years of experience in the short-term insurance industry and has spent many years doing technical pricing for car insurance. As in, how premiums are calculated for individuals based on a variety of factors.

Ernest goes into great detail about what insurance is, why we need it, how excess works, why you're possibly over-paying, etc.

Main topics discussed:
0:00 Podcast into and thanks to my sponsor
1:09 Guest intro, Ernest North
2:29 The risks in owning a car 
6:12 Why don't people have car insurance?
8:39 Fully comprehensive vs 3rd Party 
9:48 How premiums are calculated
14:18 Are we being overcharged?
18:15 Why we pay excess
22:44 Our responsibilities towards the insurance company
26:35 Things to do after an accident
29:01 Closing thoughts

Why do we need car insurance?
We need car insurance to cover us for the financial risk of loss or damage to our vehicles, as well as the legal liability against us should someone sue us for damaging their property (while driving).

The questions to ask yourself are, if my R200,000 car is written off, do I have the money to buy a new one?

And, if I drive into a R5 million rand Porsche and the owner sues me for damages, can I afford to take that risk?

More on insurance
I have a ton of articles on my blog about insurance. Go to the Insurance topic from the menu and scroll through the articles.
All my insurance articles

All you need to know about car insurance - blog post from Naked

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Guest intro, Ernest North
The risks in owning a car
Why don't people have car insurance?
Fully comprehensive vs 3rd Party
How premiums are calculated
Are we being overcharged?
Why we pay excess
Our responsibilities towards the insurance company
Things to do after an accident
Closing thoughts