Best car insurance in South Africa in 2025

Did you know that in South Africa, as many as 65% of vehicles on the road are uninsured, leaving thousands of drivers exposed to devastating out-of-pocket costs after an accident or theft?

While car insurance is not legally required, banks typically make it mandatory for financed vehicles and the risks of going without cover are high, with frequent incidents of road accidents and car theft across the country. Many drivers struggle with rising premiums, unwelcome policy exclusions, and the complexity of understanding exactly what’s covered—or not—when something goes wrong. Relying on savings alone can mean enormous financial pressure, especially since uninsured damages or liability can easily exceed R100,000 in a single incident.

Comparing different insurance policies is essential not only to save money but also to find transparent, reliable protection suited to your needs. At HelloSafe, our mission is to empower South Africans by offering accurate, independent comparisons across the leading insurers, so you can choose your policy with confidence, clarity, and peace of mind.

How does car insurance work in South Africa?

Car insurance in South Africa is a contract between you and an insurer that protects your financial well-being if your car is stolen, damaged, or involved in an accident. Most policies cover third-party liability, own damage, and theft, with options to tailor your plan to your budget and driving habits. While not legally required for all drivers, it is mandatory if your vehicle is financed, and strongly recommended to safeguard against the country’s high rates of road accidents and car theft.

Choosing a good car insurance plan ensures compliance with lenders, offers flexible formulas—like comprehensive, third party, or limited cover—that suit your needs, and gives you peace of mind with clear reimbursement levels and optional international coverage if you drive across borders. Reliable insurers also offer extras such as roadside assistance and quick claims processing, making insurance a smart investment for South African motorists.

What does car insurance cover?

Basic car insurance in South Africa, commonly called third-party only or legal liability cover, pays for damages or injuries you cause to other people or their property while driving your car. This mandatory minimum does not usually cover damage to your own vehicle or theft.

Optional add-ons include comprehensive coverage (covering your own vehicle for accident damage, theft, fire, and more), limited cover like third-party, fire and theft, as well as extra features such as roadside assistance, car hire, and cover for custom parts or glass.

Reimbursement is typically based on the amount claimed for covered events, minus any deductible (called an excess in ZA), and may depend on your policy limits and conditions. Some plans also include waiting periods or extra restrictions for specific risks, so it’s important to understand what your chosen cover entails.

What is not usually covered by car insurance?

Car insurance policies in South Africa commonly exclude cover for intentional damage caused by the policyholder, as well as for regular maintenance costs or wear and tear. Claims resulting from driving under the influence of alcohol or drugs are not paid, and personal belongings left in the car are usually not covered unless specified. Damage caused by unlicensed or unapproved drivers, claims exceeding policy limits, and certain incidents during waiting periods or outside covered geographical areas are also excluded. It is essential to review your policy to understand every limitation and avoid unexpected losses.

How much does car insurance cost in South Africa?

Car insurance pricing in South Africa is influenced by several important factors, including the driver’s age, driving history, and the type of car being insured. Younger drivers, particularly those under 25, often pay higher premiums because they are statistically more likely to be involved in accidents, while a history of at-fault claims or traffic violations can also cause rates to rise sharply. Premiums go up when you add more comprehensive coverage, lower your deductible, insure a high-value or high-risk vehicle, or live in a region with high accident or theft rates (such as urban areas compared to rural areas). The annual distance you drive also plays a role, as higher mileage usually increases your risk profile. Over time, your premiums may increase due to aging, claims history, or if you add extra benefits to your policy, while changing your address to a location with more crime or traffic can also push costs higher.

Best car insurance policies in South Africa

Best for everyday commuting (school/work)

OUTsurance “Essential Plan” is a popular choice for commuters, offering reliable third-party, fire, and theft or fully comprehensive cover with roadside assistance and up to R5 million liability protection. The product is known for its speedy digital claims and rewards for claim-free years, making it practical for daily drivers who need hassle-free support and security.

Best for families with multiple vehicles

Discovery Insure “Classic Plan” allows families to insure several vehicles under one policy, offering bundled discounts and a single deductible option for multi-car incidents. Comprehensive benefits include accident and theft cover, roadside assistance, and access to the Vitality Drive program, which rewards safe driving for all covered vehicles—helpful for busy households managing costs and safety.

Best for tight budgets

MiWay “Third Party, Fire and Theft” cover is budget-friendly, starting from as little as R180/month for low-risk drivers, and includes essential protection against major risks without the cost of full cover. The plan focuses on key events like theft, hijacking, or third-party damage, which keeps premiums low but still meets legal requirements.

Best for expats or international drivers

Santam “Executive Motor” policy is highly recommended for expats due to its broad acceptance, policy flexibility, and support in English or other major languages. It covers accidental damage, theft, and third-party liabilities, and offers insurance for vehicles registered shortly after relocation—ideal for international drivers seeking smooth onboarding and reputable local service.

Best for senior drivers

King Price “Comprehensive Car Insurance” is especially attractive to drivers over 60, featuring premiums that decrease monthly as the vehicle depreciates, plus great service and quick claims. It covers accident, theft, hail, and third-party liability, and provides extra roadside assistance, reflecting the insurer’s strong reputation for helping mature motorists save and stay protected.

Best for students or young drivers

Budget Insurance “Third Party Only” plan is a leading option for young drivers or students, offering core legal coverage and low monthly costs, with the chance to add windscreen or accident cover as needed. Students benefit from easy online management and discounts for proven safe driving, making the product both flexible and accessible.

Best for flexible/part-time drivers

Naked Insurance’s “App-based Comprehensive Cover” lets drivers switch between full, parked, or limited cover in real time, directly from their mobile phone. It is ideal for freelancers, remote workers, or anyone who drives irregularly, as they can pay only for coverage they actually need, with digital claims and no broker fees.

How can you reduce the cost of your car insurance?

Here are some of the most practical ways to lower your car insurance premiums in South Africa:

• Compare offers: Use the HelloSafe comparison tool at the top of the page to quickly find and secure the best rates from leading insurers.
• Increase your excess: Opting for a higher excess means you’ll pay more out of pocket if you claim, but your monthly premiums will usually drop.
• Maintain a clean driving record: Avoid accidents and traffic violations, as insurers reward claim-free and responsible drivers with lower premiums.
• Bundle your policies: If you have other insurance needs, such as home or contents cover, combine them with your car policy to access multi-policy discounts.
• Install security features: Adding anti-theft systems, such as tracking devices or alarms, reduces your risk profile and makes you eligible for additional discounts.
• Limit your annual mileage: The less you drive, the lower your risk, so notify your insurer if you drive fewer kilometres each year for potential savings.
• Choose your vehicle wisely: Cars that are less expensive to repair, have strong safety ratings, or are less likely to be stolen typically attract lower rates.
• Review your cover regularly: Check your policy each year to remove unnecessary extras or adjust coverage as your circumstances change.

FAQ

Thandi Mokoena

Financial educator and writer

Thandi is a South African financial educator and writer with a deep interest in economic inclusion and personal empowerment through financial literacy. She holds a degree in Economics from the University of Cape Town and a postgraduate diploma in Financial Planning from the University of Johannesburg. Before joining HelloSafe, Thandi worked in consumer education for a nonprofit focused on financial wellbeing, and later as a digital content strategist in the banking sector. At HelloSafe, she creates accessible, insightful content on savings, insurance, credit, and budgeting—designed to support South Africans in making confident, informed financial decisions.