Toyota Insurance

Unlike BMW insurance, Toyota insurance only provides shortfall insurance, which can only be taken out if the vehicle is comprehensively insured. Even though they do not offer comprehensive insurance and require you to have comprehensive insurance before taking out the credit shortfall insurance plan, the Guaranteed Auto Protection Plan (GAPP) functions as a stand alone policy. (That is, the insurance falls under its own policy as opposed to existing as an addition or clause in a motor insurance policy.)

Credit shortfall insurance covers the difference between how much is owning on the financed vehicle and how much the comprehensive insurance policy pays out in the event that the car is completely lost. This loss can be a result of theft, hijacking or write-off. The GAPP plan includes the following lines of insurance.

Toyota insurance: shortfall cover

This only covers the difference between the comprehensive policy and the amount owing to the bank. Often the comprehensive insurance policy will only pay out the market related value as opposed to the retail value of the vehicle. This does not cover the total amount outstanding to the bank, which is why comprehensive insurance is required.

Toyota insurance: violation of conditions cover

Instead of taking the insurer directly to the Ombudsman, it may be easier to take out Toyota credit shortfall insurance as it comes with a violation of conditions cover clause. That is, if you fail to live up to your obligations as an insured, or violate your cover which leads to the insurance company rejecting your claim, you can make the claim under this clause. There is however a percentage-based excess charged. (Note that the maximum insurable value on this policy R1 million.)

Toyota insurance: bodyline maintenance cover

Is not an excess waiver, but covers those damages that cost less than the excess on a comprehensive insurance policy. If accidental damage to the body of the vehicle costs less than the amount that the comprehensive insurer is asking in excess, then this can be claimed from Toyota’s insurance. There is no excess payable on this, and the cover includes only the amount to repair the vehicle.

Toyota insurance is available to anyone who purchases a new or used Toyota, which is financed through the Toyota Financial Services and is available from any Toyota Dealer in South Africa. For more information visit the insurance page on Toyota’s website.