Outsurance joins the rest - adds exclusion for total grid collapse

[Jan]

Outsurance excludes total Eskom blackout from insurance policies

Outsurance has joined a growing list of insurers that have added grid collapse exclusions to their policies, removing cover for any loss, damage or liability caused by an Eskom blackout.

It has joined the likes of Hollard, Momentum Insure, Naked Insurance, and Santam. Outsurance attributed the change to a need to review its cover in light of the higher risk of a blackout happening.

 

[epah]

You always get something out

 

[DapperDanMan]

Not to worry, they'll put it back in

... as soon as Eskom is all fixed up, which could be any day now, my leaders tell me.

 

[Utterly Confused]

Mmmm! I thought you always got something out according to their adverts

 

[Quicks]

Would expect nothing less from this company!

 

[3WA]

I wish I had home cover so I could be outraged about this.

 

[whatwhat]

I thought big business was going to save South Africa and prevent it from being the next Zimbabwe.

 

[FiestaST]

Exact wording on le mail. Dissect as you wish:

 

[Dan C]

Would expect nothing less from this company!

The problem is not with Outsurance, it's the reinsurance companies.

 

[charlieharper]

Insurance is nothing but a game of chance innit.

 

[Gordon_R]

The problem is not with Outsurance, it's the reinsurance companies.

Maybe the Competition Commission will investigate... /s

 

[Nithan15]

Mmmm! I thought you always got something out according to their adverts

Does getting screwed count

 

[Jacada]

So if they are removing cover, surely your premium should be coming down?

 

[Yoztruly]

Interesting that they claim that a black out is not an unforeseen event yet loadshedding (literally scheduled) is covered. They are playing with words now.

 

[The Darkness]

This clause removes the point of even having insurance then, since they can claim that any loss is indirectly caused by LS. This would mean the only way to recover losses from LS if all insurance companies follow suit would be by class action lawsuit against government/Eskom.

 

[TheChamp]

Insurance is nothing but a game of chance innit.

That's being too diplomatic, it's a scam, a sophisticated one but still a scam.

 

[PsyWulf]

Interesting that they claim that a black out is not an unforeseen event yet loadshedding (literally scheduled) is covered. They are playing with words now.

What I gathered is an unexpected Total grid collapse ie blackout is not covered,while rotational loadshedding ie. rotational brown-out is

 

[Vanessa13]

What I gathered is an unexpected Total grid collapse ie blackout is not covered,while rotational loadshedding ie. rotational brown-out is

But only if you first spend money proving that it was indeed a power surge that caused the damage... and only if you word your claim as 'power surge' instead of 'load shedding'. Else they will possibly reject it 'because turning off the power does not cause damage'.

 

[Rayne]

Load shedding is not and was never an insured event.

 

[Yoztruly]

What I gathered is an unexpected Total grid collapse ie blackout is not covered,while rotational loadshedding ie. rotational brown-out is

I get the distinction they make. What I’m struggling with is what claim could arise from a total blackout that is not applicable to loadshedding? E.g a power surge under loadshedding is cover but I assume not from a blackout. What would make them so different?