Nedbank has announced the launch of Nedbank Pay per K, a unique car insurance product where monthly premiums are determined largely on kilometres travelled.
The product is aimed at vehicle owners who travel 1Â 600km and less per month. Nedbank Pay per K differs from other car insurance products in that, in addition to an applicant’s usual insurance risk profile (age, gender, address, type of vehicle, security devices in the vehicle), the actual monthly distance travelled is the one factor that largely influences the premium.
“We recognise that the less one drives, the less the risk. Why pay as much as someone driving 5Â 000km per month if you only drive 500km?” says Seamus Casserly, head of Nedbank Group Insurance Brokers.
“This product is ideal for licensed drivers aged between 30 and 65, whose cars are less than 10 years old and who drive 1Â 600km and less per month, allowing them to enjoy premium savings and still retain the benefits of comprehensive insurance underwritten by a leading insurance company,” says Casserly.
In order to benefit from the product, it is necessary for car owners to have their actual kilometres travelled recorded on a regular basis.
“The solution is simple,” says Casserly. “All applications for Pay per K are accepted on the basis that a Nedbank NedFleet Card is used for all fuel purchases for the insured vehicle — in this way, every time that the vehicle is refuelled, an odometer reading will be recorded on the transaction document.” — I-Net Bridge