Stage 6 load-shedding: Advice for homeowners pertaining to insurance

When the first bout of load-shedding began in 2007, no one could have imagined that the mounting pressure on the national grid would become a full-blown energy crisis. Today, load-shedding is a South African reality that experts predict will persist into the near future.

For local homeowners, this presents several unique, power-related challenges which have implications for various types of insurance coverage. Offering her insights on how consumers can safeguard their property and assets from the effects of the various stages of load-shedding is the head of customer experience at MiWay Insurance, Greta Goosen.

This includes:

• Double check your backup battery

Touching on some of the associated risks that accompany load-shedding, Greta urged consumers to ensure that the backup battery for their electric fencing or alarm system can withstand power outages for long hours. Typically, a high-quality battery can last for up to 8 to 10 hours given that it has had adequate time to charge. This is an important factor to bear in mind given that opportunistic criminals may aim to capitalise on security system failures when the lights go out.

• Be aware of the risks involving fire

Load-shedding also brings with it an increased risk of fire damage, given that South African households may be using alternatives such as candlelight or gas for heating or cooking. Homeowners need to check whether their insurer provides cover for both fire and gas-related explosions, as well as what their responsibilities are in mitigating the risks that come with using energy alternatives.

• Prepare for power surges and dips

One of the most common damages caused by load-shedding in South African homes is electrical failure as a result of a power surge. This occurs when the voltage input into a piece of equipment exceeds the norm and flows at a sudden higher voltage and frequency when the power is turned back on. This can cause appliances to shut down completely or significantly shorten their lifespan. The chance of data being wiped from a hard drive or work on a PC or laptop being lost in the process is also high.

Surge-proof adapters are an effective way of mitigating the risk of a power surge. These surge-protection devices can be installed in individual power sockets or on your home’s distribution board. The latter option will require the expertise of a qualified electrician to ensure correct and safe installation.

Many South Africans may be concerned as to whether their home contents insurance policy covers damage related to power surges. The answer will depend on the insurer’s offering.

• How to ensure a speedy claims process

In the event of needing to process a claim, Greta advised homeowners to first report any crime-related incident due to load-shedding, to the SAPS. In cases involving theft or vandalism, a police case number will be required to initiate the claims process.

Homeowners are also advised to collect as much information on how the property destruction or damage occurred. This may include affidavits by witnesses or bystanders, receipts of purchase to validate the worth of an item as well as photo and video evidence.