Sasria is the only business insurer who covers large-scale civil unrest

Here’s how to make a claim or get cover

After a period of civil unrest in the wake of the looting and rioting that swept South Africa in July 2021, the results and possible long term effects thereof are starting to become evident. For many business owners, it has meant that their livelihood has been stolen from them. And many everyday South Africans were left wondering where their next meal was going to come from when supply chains were interrupted.

Those hoping to claim from their insurers have been having a tough time since all but one insurer do not provide cover specifically for loss or damage during civil unrest, striking, looting and the like. This has meant that many business owners whose shops/offices/warehouses were ransacked have lost everything. Those who were insured by Sasria (The South African Special Risks Insurance Association) have some sense of hope though.

Sasria does not provide direct cover, however. It must be bought through another insurance company who will manage the cover. For this reason, it is best to think of your insurance company as a middleman who mediates and negotiates your claims on your behalf with Sasria. The cover provided to businesses can pay out between R500m to R1.5b, which will depend on the level of cover purchased.

Those who have Sasria cover through their insurer can expect to resolve their claims within a week from the claim being made. Sasria holds that claims can be made without arduous legal and documenting processes: all claims related to the riots will be deemed valid. However, this process will be facilitated through your insurer who may require a few documents and proofs to be submitted before sending the claim through to Sasria.

Sasria is an independent and self-funded insurer, meaning that they are not reliant on the government to guarantee payouts. They are also in good stead to be able to cover all losses and damages related to the recent riots and looting without the need to liquidate some of its many investment assets, which provides much-needed hope for business owners who do have Sasria cover.

Your broker will be able to assist you with your claim or, should you not currently be covered, add Sasria cover to your existing short-term cover. This is not a worry for our clients as TFM ensures that all the business insurance policies we administer include this cover from the outset.

In case of a claim to be made, you will need to have an open police case reference number, as well as photo, video, or media evidence related to your claim. Your broker should be able to assist you with any queries in this regard.

Normally, in the case of new cover to be added, there are a few things to keep in mind. Policy holders must ensure that before they apply for Sasria cover, no pre-existing damage may be present on your existing property (including any damage that may have been caused during the recent unrest). Furthermore, your Sasria cover cannot outweigh the sum for which you are covered on your underlying policy through your insurer. Due to recent events, however, there may be a waiting period of up to 14 days for new requests to add Sasria cover in Gauteng and KwaZulu-Natal.

Should you have any queries with regard to Sasria cover or claims, please feel free to contact your broker who will guide you through the process to be followed in view of your particular circumstances.

This article is a general information sheet and should not be used or relied upon as professional advice. No liability can be accepted for any errors or omissions nor for any loss or damage arising from reliance upon any information herein. Always contact your financial adviser for specific and detailed advice. Errors and omissions excepted (E&OE)