25 percent Cash back for Liberty Short-Term car insurance clients
08 Apr 2020
Cash back for Liberty Short Term Insurance clients
During these challenging times we are here to help our clients know that we are here for them. To make it a little easier, we are giving Liberty Short-Term car insurance clients, 25% of their car insurance premiums, paid during the lockdown period, back in cash!
Why are we doing it?
We recognise that there will be fewer vehicles on the road during the lockdown period, and as a result, there will likely be less accidents. In response to this reduced risk, we are going to be refunding all our insurance clients 25% of their car insurance premiums, paid during the lockdown period within 14 days after the lockdown period ends.
How do clients qualify?
To qualify, clients need to ensure that their premiums are paid up to date.
How is it calculated?
We will be calculating the cashback at a rate of 25% per day on the premium that clients pay on their car insurance. The cashback is only applicable on premiums paid during the period of the Government announced lockdown:
- The lockdown came into effect on 27 March. This means that for the last 5 days of March 2020 clients will be refunded at 25% per day of their car insurance premium for March (27 – 31 March 2020).
- The current lockdown is currently set to end 16 April 2020. This means that clients will be refunded at 25% per day of their car insurance premium for April 2020 (1 – 16 April 2020).
- Each month's cashback will be calculated separately.
Should the current lockdown period be extended, we will adjust clients' cashback and extend it to cover the full period of the lockdown to ensure that they get the maximum cash back.
This is how we will calculate clients' cashback:
- Say a clients' car premium is R1000. April has 30 days, that means R1000 car premium / 30 days = R33.33 per day. March has 31 days meaning R32.26 per day.
- April is anticipated to have 16 days under lockdown and March had 5 days under lockdown making the total 21 days of the lockdown.
- 5 days x R32.26 per day = R161.30 for March.
- 16 days x R33.33 per day = R533.28 for April.
- This means 25% of R533.28 = R133.32 (for April) and 25% of R161.30 = R40.33 (for March).
- Meaning that on a R1000 per month car insurance premium, the refund will be R173.65 (R133.32 + R40.33).
When and how will the cash back be paid?
The 25% cash back on car insurance premiums will be paid as a once off payment within 14 days after the lockdown period (or extended lockdown period) ends. The cash back will be paid into the same bank account from which we collect clients' car insurance premiums.
We wish our clients and their families' good health and safety during this challenging time. In uncertain times, Liberty is in it with you. Speak to your Liberty Financial Adviser or your Broker about any concerns and to help you make good financial decisions.
0860 456 105
Standard Insurance Limited is an authorised Financial Services Provider in terms of the FAIS Act (no. 33348). Liberty Short-term insurance is underwritten by Standard Insurance Limited a short-term insurance company registration number 1993/007593/06. Terms & Conditions apply.