Hollard Pay As You Drive
Car Insurance | Pay as you Drive | Hollard Insurance
Home - Short-Term Insurance - Hollard Pay as you Drive
A South African first.
Hollard Pay As You Drive™
How it works
A step by step explanation of how Pay As You Drive works:
- Pay As You Drive is a comprehensive car insurance product where premiums are based on the actual distance the insured car travels on a monthly basis rather than an assumed “average” across all insured vehicles. If you travel less than the average, rightly, you should pay less than you would for a typical car insurance product.
- Based on the estimated monthly distance travelled in the insured car, and allowing for that annual holiday, you can select one of the following DrivePlans; Drive500, Drive750, Drive1000, Drive1250, Drive1500. The numeral indicates the monthly Kilometres insured as part of the DrivePlan.
- Alternatively, the DriveMax plan offers unlimited mileage, and also acts as the maximum premium you could be charged if you do unusually high mileage in a particular month
- At inception of the policy, Pay As You Drive will credit your policy with one extra months DrivePlan Kilometres (called Grace Period Kilometres). Over the first two months of the policy Pay As You Drive will monitor the distance travelled by the insured vehicle and will advise you whether the vehicle is on the correct DrivePlan or not. The Grace Period Kilometres ensure that there are no nasty surprises if you have underestimated the insured car’s typical monthly mileage. The Grace Period Kilometres are free and can only be used in the first two months of the policy.
- In order to track the Kilometres the insured car travels, you will be required to install a Data Collection Device in the insured car. This device also serves as a vehicle recovery unit in the event that the car is stolen. Pay As You Drive has negotiated a significant discount on the Tracker SkyTrax unit for policyholders.
- In any particular month, if you do not use the DrivePlan Kilometres, any unused Kilometres are carried over to your DriveSave Account for future use. This does not apply to the Grace Period Kilometres.
- In the first year of the policy, Pay As You Drive adds 10% Bonus Kilometres to the insured car’s DriveSave Account to act as a safety net for those months when the insured car exceeds its DrivePlan Kilometres! In subsequent years, the Bonus kilometre allocation may vary based on driving behaviour, claims experience and duration of the policy.
- In the event that the insured car exceeds the DrivePlan monthly kilometre allowance, and has used the accumulated Kilometres available in the DriveSave Account, Pay As You Drive will bill you at a rate-per-kilometre (DrivePlus rate) for the excess Kilometres. The DrivePlus rate is provided at quotation stage and with your policy document.
- Each month a statement is e-mailed to you that details every trip the insured car did during the previous month. This itemised trip summary will enable you to verify your monthly trips. The premium for any DrivePlus Kilometres will be billed together with the DrivePlan premium the month after you receive the statement.
- In the event that the insured car consistently travels more or less than the DrivePlan Kilometres, we will recommend appropriate plan changes on the monthly statement. The options presented will always indicate what would be best for you in terms of price.
- At no stage will you pay more than the premium applicable to the Pay As You Drive DriveMax plan, even if the travel is business related.
- Pay As You Drive undertakes to keep your premiums as predictable as possible. For this reason we will not adjust your premiums due to claims at any time other than on the anniversary of your policy.
- Also included in the policy are the following value added benefits:
- Accidental death cover of R15 000 is paid in the event that the policyholder dies in an accident in the insured car.
- Up to R10 million for third party liability cover that pays damages, legal costs and expenses if you become legally liable following an insured event - i.e. an accident in which damage or injury is caused to a third party.
- Pay As You Drive's assistance service benefit provides cover for accident management, roadside assistance and medical assistance in the event of a breakdown or an accident.
