Dirk Pienaar - Consult By Momentum

09/06/2026

The True Cost of Cheap Short Term Insurance

When it comes to protecting our health, most of us understand the importance of having the right cover in place. We wouldn't choose a medical aid solely because it has the lowest premium. We know that when a medical emergency happens, the quality of the cover matters far more than the amount we saved each month.

Yet when it comes to short-term insurance and protecting our assets, many people do exactly that.

A common question when shopping for insurance is: "What's the cheapest premium you can get me?"

While affordability is important, focusing only on price can be a costly mistake.

Your vehicle, home, household contents, business equipment, and personal belongings represent years of hard work and investment. Choosing insurance based purely on the lowest premium often means accepting reduced benefits, higher excesses, limited cover, or insured values that may not accurately reflect the true replacement cost of your assets.

The danger is that everything seems fine until you need to claim.

Imagine losing your vehicle in an accident, suffering a burglary, or experiencing a devastating house fire. That is when the policy wording, sums insured, and cover limits become critically important. If your assets are under-insured or certain risks are excluded to achieve a lower premium, you may find yourself having to carry a significant portion of the loss yourself.

This is known as inadequate cover, and it can have serious financial consequences.

For example, if your home is insured for less than its replacement value, insurers may apply average, meaning you could receive only a portion of your claim settlement. The same principle can apply to household contents, leaving you responsible for replacing many of your belongings out of your own pocket.

Insurance is not designed to be the cheapest financial product you own. It is designed to protect you from potentially life-changing financial losses.

The goal should not be to pay the lowest premium possible. The goal should be to achieve the best balance between affordability and adequate protection.

A good insurance advisor doesn't simply find the cheapest option. They help ensure that when disaster strikes, you have the cover you need to recover financially and replace what you've lost.

The real question isn't, "How much can I save on my premium?"

The real question is, "Can I afford the financial loss if my cover isn't enough when I need it most?"

When it comes to protecting your assets, cheap insurance can sometimes become the most expensive decision you ever make.

Let me help you assess your current insurance portfolio, provide a comprehensive protection solution, and uncover any hidden risks that could result in unexpected financial losses when you need cover most.

Consult

07/05/2026

Consult

13/04/2026

💡 Short-Term Insurance is NOT just “short-term”… it’s peace of mind.

Too many people think insurance is just about paying the lowest premium. But here’s the reality: if you don’t fully understand what you’re paying for, you could be leaving yourself seriously exposed.

Insurance is not just a policy — it’s protection for the things that keep your life moving.

🚗 Your car isn’t just a car… it gets you to work and helps you earn an income.
🏡 Your home isn’t just a building… it’s your stability, your safety, your life.

If something happens and you’re not properly covered, the impact can be devastating.

That’s why short-term insurance should be treated with the same importance as life or disability cover. It’s about protecting the assets that support your everyday life.

⚠️ The truth?
9 out of 10 times, it’s not that the insurance product failed…
It’s that the client didn’t fully understand what they were covered for.

And that’s where I come in.

I don’t just sell policies — I work closely with you to:
✔️ Understand your needs
✔️ Identify risks you may not see
✔️ Make sure your cover actually protects you when it matters

Because real value isn’t in the cheapest premium… it’s in knowing you’re properly covered.

If you want honest advice and personal service to make informed decisions, let’s talk.

📩 Your peace of mind is worth it.

Consult Dirk Pienaar Danielle Birkenstock Pienaar

13/04/2026

Give me a call Today , Insurance is not just Insurance , it should be peace of mind

Consult Danielle Birkenstock Pienaar Dirk Pienaar

27/01/2026

Why Cheap Short-Term Insurance Can Cost You More

When most people look at short-term insurance — home, contents, car or business cover — the first thing they look at is premium.

Not the cover.
Not the benefits.
Not the exclusions.
Just the price.

And in today’s economy, that makes sense. Everyone is under pressure. Every rand matters.

But here’s the problem:

Short-term insurance has become a industry where clients are encouraged to negotiate the premium down, without fully understanding what is being removed in the process.

You don’t negotiate the price of:

Your groceries at Checkers or Spar
Fuel at the petrol station
Your cellphone contract
DSTV or Fibre

You pay what the shelf, pump or contract says.

Yet when it comes to protecting assets worth hundreds of thousands — or even millions — people expect discounts.

And every discount has a cost.

What happens when premiums are pushed down to make insurance cheaper ? Something must be removed:

Lower claim limits
Higher excesses
Fewer benefits
Restricted cover
Slower claims service

Less time spent on advice and support

You don’t always see these cuts upfront — but you feel them when it matters most.

Who pays for the discount? Every rand negotiated off a premium comes from somewhere.

It usually comes from:

The insurer reducing benefits to stay afloat or the adviser being paid less for the same work

That means the person you expect to:

Advise you properly
Help manage your claims
Fight for fair settlements
Be available when things go wrong

… is being asked to do more for less.

Would you accept 20% less service if you pay 20% less premium?

Short-term insurance is not a commodity

Insurance is not bread, milk or petrol.

It is a promise — a promise that when disaster strikes, someone will stand between you and financial loss.

A cheap promise is not the same as a strong one.

Before choosing the lowest premium, ask:

What am I giving up?
What happens when I claim?
Who will help me when things go wrong?

Because the true value of insurance is not what you pay each month — It’s what you receive when you need it most.

Consult

11/11/2025

💡 Short-Term Insurance: Let’s Talk Real-World Numbers

In the last 24–36 months, South African insurers have seen clear trends across key claim categories:

🏠 Buildings
• Weather-related claims (hail, wind, storm, flood) have increased across most provinces.
• Average repair costs have risen by ±30% due to building material inflation.
• Roof repairs, walls, ceilings and waterproofing now cost significantly more than they did just a few years ago.

🛋 Home Contents
• Burglary and theft claims remain high, especially where alarm systems aren’t active.
• Accidental damage claims (TVs, appliances, furniture) have also increased.
• Average burglary claim values are up ±18%, meaning people are often under-insured without realizing it.

🎒 All Risk / Portable Items
• Cellphones, laptops, smartwatches and jewellery are now some of the most frequently claimed items in the industry.
• These items must be specified to be covered properly, especially outside the home.

🚗 Motor
• Repair parts shortages have increased repair times by 25–40%.
• Labor and part costs are higher, so even smaller accidents result in larger claim values.
• Write-offs have also increased because repair costs sometimes exceed vehicle value.

Now Here’s the Important Part: Replacement Value & Under-Insurance

Most policies work on the principle of Replacement Value.
This means: Your items should be insured for what it costs to replace them today, not what you paid originally.

If your home contents are insured for R300,000, but the actual replacement value is R450,000, you are under-insured.

This activates the Average Clause.

Example:
You are insured for R300,000, but you should have been insured for R450,000.
That means you are 33% under-insured.

So even if you claim R30,000, the insurer will only pay ±R20,000.
You carry the shortfall.

Under-insurance = You pay more out-of-pocket at claim stage.
And unfortunately, many people only discover this the day they claim.

If you’d like me to review your current cover and make sure everything is correctly insured and up to date, I’m here to assist.

Consult

05/11/2025

🚗🏡 Short-Term Insurance: More Than Just a Premium

Most people look at short-term insurance (car, home, household items) as a grudge purchase — something we wish we didn’t have to pay for. And because of that, the premium becomes the main focus.

But here’s the truth:

✅ Short-term insurance is the most used insurance in our daily lives.
✅ The premium is only a small part of what matters.
✅ What truly protects you is the quality of your cover, the benefits, and the claim support behind it.

When we focus only on the cheapest option, we may unknowingly remove cover we actually need. And that’s when we hear the sad stories of claims not being paid or people being left financially stuck during an emergency.

Insurance should give peace of mind, not stress.

So rather than asking: “How low can we get the premium?”
Let’s ask: “Am I properly covered when something goes wrong?”

Because the right cover today prevents big problems tomorrow.
Protect the things you’ve worked hard for ❤️

If you'd like me to review your current policy and make sure your cover fits your needs — just send me a message. I’m here to help. Consult

28/10/2025

🏠 Crime is down — but not where it counts most for your wallet.

According to the latest Stats SA Victims of Crime Survey (2024/25):
• 🚗 Vehicle theft and hijackings remain among the most common crimes affecting insured losses.
• 🏡 Housebreakings are still the #1 household crime in South Africa, with more than 1.2 million households reporting incidents this year.
• 🔧 Theft of personal property affected around 2.6% of South Africans aged 16 and older.

Yet, despite this — most South Africans still have no short-term insurance to protect their homes, vehicles, or valuables.

Insurance data shows that a small, higher-income group holds the majority of all short-term policies, while millions remain uninsured or underinsured.

🧠 The reality: Crime doesn’t discriminate — but being uninsured can make recovery almost impossible.

💬 If you’re unsure whether your cover is still right for you, it might be time for a quick review. Consult

Send a message to learn more

11/03/2024

5 reasons why insurance is a pain in the neck.

14/03/2022