Share

New cellphone law may lead to lower premiums

Cape Town - Stricter laws on cellphone use while driving in Cape Town will probably bring down car insurance premiums, an insurer said on Tuesday.

"This ruling is likely to result in fewer claims being paid due to a decrease in the number of accidents," IntegriSure CEO Helen Szemerei said.

"Fewer claims mean a larger pool of premium funds and should therefore result in a subsequent relief in motor insurance premiums."

According to the new bylaw, which went into effect on Monday, motorists caught talking or texting on their cellphones would be fined R500 and have their phones confiscated for a day.

Safety and security mayoral committee member JP Smith, hoped these measures would "help people get the message" and improve road safety.

He said the new regulations formed part of the provincial road safety campaign to halve road deaths by 2014.

Szemerei said it was crucial to monitor the success of the regulations to determine whether they should be extended to the whole country.

"If it does result in fewer accidents on the roads then we would advocate this legislation being rolled out to all provinces."

She said global studies indicated that texting while driving caused more accidents than talking, as motorists' eyes were taken off the road. Hands-free kits did not solve the problem of texting.

IntegriSure warned motorists that insurance companies might not pay out claims if it could be reliably proven that they had driven negligently or recklessly.
We live in a world where facts and fiction get blurred
Who we choose to trust can have a profound impact on our lives. Join thousands of devoted South Africans who look to News24 to bring them news they can trust every day. As we celebrate 25 years, become a News24 subscriber as we strive to keep you informed, inspired and empowered.
Join News24 today
heading
description
username
Show Comments ()
Rand - Dollar
19.07
+0.5%
Rand - Pound
23.60
+1.0%
Rand - Euro
20.32
+0.3%
Rand - Aus dollar
12.24
+0.5%
Rand - Yen
0.12
+0.4%
Platinum
943.20
-0.8%
Palladium
1,035.50
+0.6%
Gold
2,388.72
+0.4%
Silver
28.63
+1.4%
Brent-ruolie
87.11
-0.2%
Top 40
67,314
+0.2%
All Share
73,364
+0.1%
Resource 10
63,285
-0.0%
Industrial 25
98,701
+0.3%
Financial 15
15,499
+0.1%
All JSE data delayed by at least 15 minutes Iress logo
Company Snapshot
Editorial feedback and complaints

Contact the public editor with feedback for our journalists, complaints, queries or suggestions about articles on News24.

LEARN MORE
Government tenders

Find public sector tender opportunities in South Africa here.

Government tenders
This portal provides access to information on all tenders made by all public sector organisations in all spheres of government.
Browse tenders