Filing cars with the wrong fuel can leave motorists with a hefty bill

The majority of motorists in South Africa are unaware that they could be left with a huge insurance bill each time their car is filled with petrol, if the wrong fuel is put into the tank – even if the fault is that of the petrol attendant.

According to Leslie Mitchell, Managing Director at Garagesure Consultants & Acceptances - a specialist insurance underwriter, writing on behalf of Compass Insurance - on average he sees around 60 cases per year of the wrong petrol being put into vehicles. “We estimate that around 15% of all petrol forecourt owners in South Africa are affected by this each year. This is a high figure, particularly for the vehicle owner who may be left picking up the tab, as it can have a massive impact on one’s finances.”

Leslie says that over the last year the average claim of wrong fuel being used in a vehicle amounts to around R9 700, with the highest claim that Garagesure paid out amounting to R132 000 . “The underwriter or insurer of the petrol station concerned should be held completely liable in this situation; however, the reality is that not all insurers or underwriters do accept liability when such an event occurs.”

“Some insurers of fuel stations put a cap on the amount that they can be held liable for in each individual case, with a further cap on the amount one station can claim in a year. This is often fine, provided one does not have a large claim such as one for R132 000. Other insurers take it a step further and apportion liability to the owner of the vehicle on the legal basis that there is an onus on their part to ensure that the correct fuel has been dispensed.”

Leslie says this means it can be luck of the draw as to whether the car owner is left to pay the bill, depending on who the station may be insured with.

He says that while it is not feasible for every motorist to ascertain with whom their local fuel stations are insured, they can take some practical precautions. “Aside from buying a home, a motor vehicle is one of the most expensive purchases many people make. It is therefore important that customers take due care, especially during busy periods when the attendant is more likely to make a mistake.”

“Customers should get out of their vehicle when they park at the pump; make sure that the pump has been zeroed and that the correct nozzle has been placed into their vehicle.”

He says petrol stations can also take a number of precautions to minimise the risk of this occurring by ensuring that all staff are properly trained. “It may be an idea to make attendants responsible for a portion of the first amount payable in the event of a claim, so that they become more aware of the importance of paying due care on the job.”

Leslie also says motorists should be aware of other possible occurrences such as oil caps not being properly replaced and a bonnet not being closed properly. “Both of these can result in serious damage yet not all insurers will cover this. However, if negligence can be attributed to the attendant, then it is important that the insurance policy does pay out.”