By: Warwick Bloom, Head: Group Strategic Communications, Hollard

The festive season brings with it a sense of joy and cheer. But for some – especially the uninsured – the risk of unforeseen events bringing financial disaster during this period can dampen the festive cheer. Much like the Grinch stealing Christmas.

But these concerns aren’t exclusive to those without insurance; even those who’ve secured some form of general insurance cover find themselves preoccupied with the security of their assets during this season of candy canes and granny’s tough cookies.

The list of potential mishaps is like Santa’s naughty list – long. Worries about everything from cellphone snatching to weather-induced catastrophes and from car accidents to business robbery – can turn anyone into Ebenezer Scrooge and make for a miserable festive season.

Whether you're a business magnate sipping cocktails on a pristine beach, or an ordinary Andile boarding the first bus out of Jozi to reconnect with family at Makhulu's homestead in Gqeberha, there’s plenty for you to worry about …

Business owners: protecting their enterprise

Whether lying on a hammock in the Bahamas or bedding down at a campsite in Brits, business owners’ blood pressure can spike when thinking about potential disruptions to their operations. Natural disasters, fires, theft and even riots are just a few of their concerns. The festive season also brings with it worries such as a decreased focus on safety due to socialising and even drinking at work, increasing the risk of workplace incidents.

Individual policyholders: a spectrum of needs

Individual policyholders have a variety of insurance needs as diverse as the colours in a packet of Skittles. Wealthier individuals may have a full range of coverage, including comprehensive vehicle cover for multiple vehicles, along with structural and contents insurance for more than one property. While hitting the ski slopes in Europe or hitting the road (with trailer in tow), their primary concern during holidays might well be the security of their homes against burglary and theft.

For those policyholders staying at home for the holidays, the main worry may be the newest driver in the family. Parents of teenage drivers find themselves worrying even more about road safety during this peak party season when the risk of accidents increases and dread having to fill in that claim form after young Johnny’s latest fender-bender.

Budget-conscious motorists

Some people seek out the cheapest car insurance.

Consider the case of Palesa Mokoena, a young professional who takes all her remaining leave days to go on a road trip to Bela-Bela. Instead of enjoying every moment of the drive in her hard-earned used Volkswagen Polo, she’s wide-eyed and paranoid about every bump on the road and the risk posed by every other driver’s poor driving.

Her anxiety is based on the fact that an accident could create significant mobility challenges over an extended period of time, because she’s chosen a particularly high excess to minimise her insurance premium. And can’t afford to effect the necessary repairs as a result.

Furthermore, because she’s gone for the cheapest option, her policy doesn’t include car hire and rather than merely having to adjust to a replacement vehicle, she’s got to get the bus back from Bela-Bela.

Home Contents

Policyholders may find themselves visiting emakhaya, enjoying a braai with relatives, while thinking about their rented room or townhouse turning into a bonfire, and wondering if their precious PlayStation 5 and Apple Mac Pro that they’ve brought along for the ride will be replaced by their insurer.

Travellers

For the uninsured traveller, the risks associated with that once-in-a-lifetime trip can be daunting. Flight cancellations, lost luggage, medical emergencies are only the beginning of the list of things to think about it.

Imagine being Jannie van Wyk, who’s sunk his life savings into a trip to visit family in New Zealand. Jannie’s worried about whether or not the unseasonal snow might see his flight being diverted to Jakarta or (even worse) Sydney but he’s really concerned about the whereabouts of his checked-in suitcase which contains his brand new Bok jersey which he’s been planning to wear around the streets of Wellington to remind the Kiwis about who the world champions are.

Practical tips and solutions

While such anxieties are part and parcel of South African vacation time, there are things you can do to reduce stress levels.

First and foremost, make sure you have your insurance broker’s number close at hand. When something goes wrong, it helps to have someone on your side who knows what to do. If you don’t have a broker, make sure you know your insurer’s claims process and you have all relevant contact information.

Then, if you’re a business owner, make sure your policy premiums have been paid, that your coverage is up to date, that your business is adequately secured and that any personnel working during the holiday period are appropriately briefed in dealing with emergencies that may arise.

If you’re a homeowner, do some pre-holiday home maintenance before leaving for vacation. Check roof tiles for leaks, make sure gutters are free of debris, check that your electric fence and alarm systems are functioning optimally. Arrange with friends or neighbours for regular property checks while you are away. When you leave, unplug appliances to protect against potential power surges and turn off geysers.

If you have contents insurance, make sure that expensive portable Christmas gifts like laptops or cellphones or PlayStations are added to your all-risks section as soon as possible. And remember that insuring gifts like drones is not child’s play.

If you’re travelling internationally, take out a good travel insurance policy and make sure you understand the extent of your travel insurance coverage, taking special care when it comes to medical cover. Just having travel insurance can give your peace of mind, knowing that you’re covered in the event that your bags end up taking their own vacation.

No matter what kind of cover you have, whether you’re a business owner or an individual, it starts with understanding your insurance cover. Because peace of mind comes with effective risk management.

Stay safe, enjoy the holidays and try not to stress too much!