Under normal circumstances, insurance is a voluntary contract between the insured and insurer. However, is vehicle insurance compulsory in Zimbabwe? That is the subject matter which we will be touching on in this post.
Is it compulsory to have Vehicle Insurance in Zimbabwe?
We intend to give you a better understanding of what your responsibility is when it comes to vehicle insurance. In Zimbabwe, vehicle insurance is covered under the Insurance Act [Chapter 24:07] and also under the Road Traffic Act [Chapter 18:11] and a few other acts.
To answer the question in summary, it is compulsory to have third party vehicle insurance in Zimbabwe. This policy protects vehicle owners against liability for risks against third parties. Third parties also have a form of recourse in the case of damage to their vehicle, physical injury as well as death.
Can We Use Vehicles Without Insurance in Zimbabwe?
In Zimbabwe, it is illegal to drive a vehicle that is not insured. The minimum requirement is third party insurance which allows third parties an avenue to claim compensation for any damage to property, physical harm as well as death, caused by the insured vehicle.
In order to get a vehicle licence from the Zimbabwe National Roads Administration (Zinara), a vehicle owner would first need to ensure the vehicle has a minimum of third-party insurance. This statute is listed under [Chapter 18:11 of the Road Safety Act.
Third party insurance can also be obtained for vehicles and trailers passing through Zimbabwe for a specific period.
What Are the Disadvantages of Third-Party Insurance?
Although third party insurance has its benefits, there are some disadvantages to it. The biggest disadvantage has to be the fact that you or your vehicle are not covered under it like with comprehensive insurance.
You will have to foot the bill for any damage that occurs to your vehicle. The same also applies for passengers injured while in your car or while disembarking from your vehicle.
You will have some peace of mind due to the fact that you won’t have to worry about damages, death or injury to third parties up to a certain amount. In the event that the damage caused exceeds the cover offered by your third-party insurance cover, you will, in some cases, have to meet the shortfall yourself.
Comprehensive vehicle insurance (Full cover) has higher premiums in comparison to third party cover but you get much more in return should you get involved in a vehicle accident. Full cover affords you all the benefits of third-party cover but it also includes you, your passengers and vehicle.
Repair costs will be covered by the insurer and if your vehicle is damaged beyond repair, you will get compensation that will allow you to get a replacement vehicle.
To wrap it up, third party insurance is mandatory in Zimbabwe. If you own a vehicle or are thinking of purchasing one, this is a non-negotiable. Not having third party insurance as a bare minimum will attract fines and worst-case scenarios, could lead to prosecution.
If you would want more information on third party vehicle insurance or any of our other products or services, please contact us on 08677 200 200 or contact us here