Imported goods and insurance

As the rand fluctuates, you might want to look into the replacement value of any imported goods you may have – Italian tiles and carpets, for example, or a Miele kitchen (which can cost R500 000 to install).

A fluctuation in the exchange rate on half a million rand can end up being a huge difference when it comes to replacing expensive goods that have been imported.

Christelle Fourie, managing director of MUA Insurance Acceptances, says that although it’s not practical for you to revalue the contents of your home every time the rand dips or rises, it’s a good idea if there’s been a sustained period of rand strength or weakness.

“Consumers sometimes forget that it is more expensive to buy certain electronic equipment in South Africa than overseas, simply due to the import costs. However, doing a straight rand/dollar conversion is not adequate to determine the replacement cost here in South Africa, so it’s essential that one has a proper valuation done,” she advises.

She also says that jewellery needs to be adequately insured for its replacement value, as there are differences in this segment that also need to be taken into account.

“In the case of antique jewellery and other rare items it is not always possible to actually replace the item in South Africa, particularly when it comes to period jewellery,” she says, advising consumers to have an accurate, up-to-date valuation certificate handy, which includes the date at which the valuation was undertaken, the rand-to-dollar rate and the gold price in dollars at the time of the valuation.

Keep all slips as proof of payment and make sure items have been declared at customs or claims may not be accepted.

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