Gari Dombo, Managing Director, Alexander Forbes Insurance
Having your luggage nicked at the airport is only one of the increased risks that South Africans attending World Cup matches face this year.
It is inevitable that as more people move about the country in 2010 more possessions will be lost, stolen or left behind. Yet “people are often not aware of how much stuff they carry with them and what it is worth when it is all added up” says Gari Dombo, Managing Director, Alexander Forbes Insurance.
For example, if a couple with two teenage kids fly to Durban for a match they are likely to take four mobile phones, at least two i-pods, two lap tops, jewelry, watches, clothing and luggage. This all adds up to quite a lot if lost or stolen. What most people don’t realise, however, is that “most general household insurance policies are premises-based policies and will not respond should possessions be taken away from the premises covered by the policy” says Dombo.
And with anywhere between 300 and 450 thousand foreign tourists adding to what will anyway be a domestic travel bonanza there is a higher risk of luggage disappearing at airports, bed and breakfasts, holiday homes, flats, hotels and stadiums.
As such Dombo advises soccer fans and travelers to take out or up-date their existing All Risks policies - providing 24/7 worldwide cover for any possessions that they might take with them when they travel. So, if your baggage is stolen at the airport or from your hotel room while you are watching a soccer match your All Risks cover will replace items at their full retail value.
The catch, however, warns Dombo, is that the insured needs to prove the value of a loss. You should also be sure that the sum insured is enough to replace the items.
In the case of gadgets and jewellery as well as special items like artwork “you must be able to supply a valuation certificate when you claim. Clients should also be aware that collector’s trends, fashion, currency fluctuations and inflation will all influence current value making it important to regularly update the value of any possessions that you might travel with” explains Dombo.
Clients should also be aware that All Risks cover, like any other insurance product, has a number of limitations such as wear and tear and gross negligence. Also, for items that are not separately specified there will usually be an Item limit above which cover does not apply.
Get the latest issue of FAnews