Do you have a car you had to save for, a fancy phone that may or may not be on contract, and maybe even a lovely little laptop? Nice.
What you need now is something to protect your precious stash of items.
Something like, oh, I don’t know, short-term insurance.
Unlike long-term insurance, which covers significant life events like disability or death, short-term insurance in South Africa is designed with your possessions in mind. It protects your everyday valuables against damages, theft and accidents.
In this guide, we’ll unpack short-term insurance, explain how it works, and explain why it’s the best tool for safeguarding your lifestyle.
TL;DR – Our version of “I’m not reading all that, *SparkNotes pls.”
- Short-term insurance protects your valuables (car, phone, laptop, household items) against loss, damage, theft, and accidents.
- It’s flexible (monthly/annual cover), renewable, and designed for everyday items—unlike long-term insurance, which covers life events like death or disability.
- Common types of short-term insurance include car insurance, all-risk insurance, homeowners and contents cover and business and travel insurance.
- Pineapple offers instant, affordable, and fully comprehensive short-term insurance (car and all-risk cover).
What is Short-Term Insurance?
If you’re wondering, “What is short-term insurance?” wonder no more.
Short-term insurance in South Africa is a flexible policy that protects your belongings for a period, usually monthly or annual.
Short-term insurance protects your financial well-being by covering potential losses or damages to your property, belongings, or other assets.
The best short-term insurance protects valuables like your phone, laptop, jewellery, and household belongings like furniture, appliances, and electronics, though these usually fall under a specific cover known as household contents insurance.
If you only have a handful of items, you could consider an all-risk policy instead. It provides coverage for single items that you can bucket under one policy. This insurance is usually aimed at, say, a 20-something-year-old who isn’t a homeowner but might want to insure their cellphone, laptop, and bicycle.
Speaking of specific coverage options, here are some examples of common short-term insurance policy types:
- Car insurance (comprehensive, third-party and third-party fire and theft)
- All-risk insurance (items you carry with you: laptops, phones, jewellery)
- Homeowners insurance (for property structures)
- Home contents insurance (belongings inside your home)
- Business insurance (stock, gadgets, tools)
- Travel insurance (passports, money, other valuables)
The best short-term insurance policies are a lot like Netflix: a subscription you might regret paying for… until you’re incredibly grateful that it’s readily available without a huge upfront cost or commitment.
How Does Short-Term Insurance Work?
Now that you know what it is, your next question might be, “How does short-term insurance work in South Africa?”
We’re glad you asked.
Here’s a 5-step breakdown of how short-term insurance works:
1. Choose the item you want to insure.
Short-term insurance is an umbrella term for different policy types. So, take the time to decide on items to insure carefully. This decision will likely be influenced by which assets are valuable to you and if their potential loss or damage would significantly impact your finances. Pro Tip: Always provide proof of ownership when insuring items like phones or laptops.
2. Get a quote.
Once you know what to insure, comparison platforms like Hippo can help you generate quotes from different insurance providers. Or, if this is too much work for you, insurance brokers can take this responsibility on for you at a fee. The quotes typically come with an estimated premium price—the regular payment you’ll make for the insurance coverage. The premium is based on the item’s value and your risk profile. Getting multiple insurance quotes lets you compare coverage options, helping you find the right policy.
3. Select an excess.
An insurance excess is the amount you agree to pay out of pocket for a claim. So, if you need to claim R20,000.00 worth of damage and your excess is R5,000.00, the insurance will pay the remaining R15,000.00. Your excess also directly affects the monthly insurance premium; a higher excess, meaning less risk for the insurance provider, results in lower premiums and vice-versa.
4. Complete a pre-inspection.
Most insurance providers require photographic or video evidence of the item you want to insure. This is because 1) they want to confirm that the item does, in fact, exist and 2) to verify the item’s condition. Most insurers will require you to complete a pre-inspection step in any case, either as part of the quoting process or after you have purchased the policy. This helps them confirm that the item does, in fact, exist and that you’re not fraudulently taking up cover. Plus, this also helps insurers confirm the item’s condition to ensure you won’t try to claim for pre-existing damages.
5. Read your policy document.
Once you’ve taken up cover, it’s crucial to do what many people don’t: Read. Your. Policy. Documents (please)! Remember, an insurance policy is a legally binding contract, and the policy document outlines everything you need to know about your insurance coverage: what is and isn’t covered, the policy’s conditions, key terms and the claims process. You can avoid awkward disputes and misunderstandings by thoroughly reading your policy document. If anything in the document confuses you, don’t hesitate to ask the insurance provider or your broker for clarification.
6. Renew, adjust or cancel anytime.
Most short-term insurance policies automatically extend to ensure continuous coverage, but you still have control. The policy renewal stage allows you to check for potential changes like increased (or decreased) premiums due to factors like inflation, your claims history, or an insurer updating their pricing model. Policy renewal also gives you a chance to adjust your coverage, add or remove options (car hire, short-fall cover) or change the excess amount. You can also cancel your policy at any time, and the cancellation is usually immediate. But look out for any pro-rata fees (depending on your policy’s T&Cs).
What Does Short-Term Insurance Cover?
Sometimes, life just… happens. When it does, short-term insurance is the only thing standing in the way of your belongings and costly accidents. Coverage will depend on the item you insure, plus the policy you choose.
That said, here are a few perils that short-term insurance can cover you against:
- All-Risk Insurance (Single items, i.e. gadgets, electronics, etc.)
- Theft
- Accidental drops, cracks, liquid damage
- Fire
- Power surges
- Car Insurance
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- Hijackings
- Accidental and malicious damage (vandalism)
- Weather-related damage
- Third-party liability
Want the best protection for your car? Explore Pineapple’s comprehensive car cover here.
- Household and/or Home Contents Insurance
- Break-ins and burglaries
- Water damage (e.g. burst geyser, floods)
- Fire or structural damage
Short-Term vs. Long-Term Insurance: What’s the Difference?
The difference between short-term and long-term insurance is their duration of coverage (meaning the length of the policy’s coverage) and the types of perils (risks) they protect you against.
The difference between short-term and long-term insurance can best be summarised in table form (this article’s getting long, and we’re trying to keep your attention).
| Feature | Short-Term Insurance | Long-Term Insurance |
| Covers | Cars, tech gadgets, household and building cover | Life, income, disability |
| Duration | Monthly/Annually* | Multi-year or till death do you part |
| Flexibility | Highly flexible | Long-term commitment |
| Example(s) | Laptop, jewellery, musical instruments | Life insurance, retirement policies |
*Most policies auto-renew annually.
Simply put, short-term insurance is best for protecting valuables and assets for a limited period, typically a few months or a year. The aim is to put you back in the same financial position you were in before an insured event occurred.
Long-term insurance focuses on you as a person and your financial well-being. It protects against life-changing events like disability and death and provides financial security for you and your beneficiaries (those named in your policy) in the long run.
How to Get Short-Term Insurance in South Africa
The best way to get short-term insurance in South Africa is by following Pineapple’s five easy steps:
1. Compare insurance providers. Look at the policy’s coverage, premium and excess amounts.
2. Get a quote online or via an app (Pineapple lets you do this in under 90 seconds!).
2.1. Request a callback if number 2 is not an option. Most insurance providers offer telephonic support (and Pineapple does, too—we’re an all-channel insurance provider, after all).
3. Provide proof of ownership. This could be a store receipt or the item’s original packaging.
4. Select an excess. Adjust the policy’s excess amount according to your affordability.
5. Start your cover. Choose a policy start date or activate your cover immediately.
A quick disclaimer for point number 5: Say you pay a monthly premium of R100 for car insurance (in this economy? A dream). If you start your motor insurance policy halfway through the month, there will usually be a pro-rata amount.
In insurance, pro-rata determines the premium amount due for a policy that only covers a partial term. So, starting your car coverage halfway through the month would mean paying just R50—you’d only pay for the half-month of coverage you received.
Who said insurance wasn’t fair?
Is Short-Term Insurance Worth It?
The answer to “Is short-term worth it?” depends on how “worth it” your belongings are to you.
Despite being Africa’s most developed country, South Africa has one of the highest violent crime rates in the world. According to an article by NPR (National Public Radio), in 2023, South Africa saw “an average of 75 killings and 400 robberies with aggravating circumstances every day.”
Accidents, natural disasters, and other unforeseen events can lead to loss or hefty repair bills, legal fees, and other expenses.
Having short-term insurance can help cover the cost of repairing or replacing your precious items. This means you won’t have to drain your bank account, deplete your savings or go into debt.
Other benefits of having a short-term insurance policy include:
- Peace of mind 🧠. Short-term insurance is there when things go wrong.
- Maintaining your standard of living 🛍️. Short-term cover offers financial security.
- Flexibility 🤸. You can adjust the coverage based on your needs.
- Affordability 💰. You pay for the protection you need: no frills or unnecessary extras.
- Digital convenience 📱. Insurance providers like Pineapple allow you to insure your stuff without a single phone call—simply download our app. However, we have other options (WhatsApp, telephone communication, or via our website).
Don’t wait or hesitate; get a quote and celebrate. Click here for Pineapple’s 90-second short-term insurance quote.
FAQ: Short-Term Insurance in South Africa
1. What is short-term insurance?
Short-term insurance is a contract with an insurance provider offering temporary protection against insured risks, a.k.a. perils. By paying a monthly fee, called a premium, you can enjoy policy benefits and protection that aim to put you in the same financial position before a loss occurs.
2. What’s the difference between short-term and long-term insurance?
The key difference between short-term and long-term insurance lies in their duration and coverage. Short-term insurance protects your assets for a limited time, and policies typically auto-renew. Examples include car insurance, all-risk cover and home contents insurance. Long-term insurance covers events that can affect your life, such as death or disability. Policies are for extended periods, often many years or even a lifetime, such as life insurance, disability cover and retirement annuities.
3. How do I claim short-term insurance in South Africa?
The claims process varies between insurance providers, but here are some general steps:
1. Report the incident. In losses involving theft, you’ll need to report the incident to the police and obtain a case number. This can be shared with your insurance provider as proof of your claim.
2. Notify your insurance. Try to notify your insurance provider immediately or, at the very least, within 30 days after the fact. For car insurance, specifically, you should report incidents involving injury or death within 24 hours and one working day if no one was hurt.
3. Provide proof. Along with your case number and police statement (if relevant), you may have to provide the following documents:
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- Pictures/Videos of the damage
- Invoices or receipts for the damaged item(s)
- Medical report (if injuries occurred)
4. Comply with the insurer. Be prepared to answer questions and comply with the insurance provider as they gather information, verify the facts and assess the damage(s).
5. Follow up. Once you’ve completed and submitted your claim, your insurance will conduct an investigation that may take days or weeks. The duration will depend on your claim’s complexity. Be sure to follow up via email, WhatsApp or other communication methods to ensure you’re up to date with your claim’s outcome.
You will receive a settlement payout according to your policy’s terms if your claim is approved. If your claim is denied, you can dispute this with the insurer or the National Financial Ombud Scheme (NFO).
Conclusion
Short-term insurance can be the best thing you never knew you needed. Having this insurance coverage allows you to bounce back quickly when life just won’t stop life-ing.
Insuring your items against curveballs like a cracked phone screen, a chipped windscreen, or a stolen laptop means you won’t have to pay out of pocket for costly repairs. Aside from the excess fee, of course.
And if you choose Pineapple as your go-to insurance provider, you save money and time. Our comprehensive car insurance starts from just R589 p/m, and did we mention quotes take 90 seconds?
Activate your policy in minutes to enjoy a lifetime of quality insurance protection (or until you decide to end your policy).
Ready to protect your valuables? Of course, you are. Get a quote today and enjoy cover that can keep up with you.
Please Note: The information provided above is for informational purposes only; you should not construe any such information as legal or financial advice.
Pineapple (FSP 48650) is underwritten by Old Mutual Alternative Risk Transfer Insure Limited, a licensed Non-Life Insurer and authorised FSP. T&Cs apply.
