Discover why understanding insurance is crucial for South Africa's youth. This article explores the gaps in insurance knowledge among young adults and offers insights from industry experts on how to make informed decisions for financial resilience.
While almost half (47%) of South Africa’s Generation Z (aged 19–27) have funeral cover, less than a third (31%) have car insurance and fewer than a quarter (23%) have insured their cell phones.
These findings from local market research agency KLA point to a considerable gap in short-term insurance coverage and knowledge among young South Africans.
For many young South Africans and first-time earners, there is a clear knowledge gap when it comes to short-term insurance. Too often, the value of short-term insurance only becomes apparent after something has gone wrong, whether that’s a car accident, a stolen phone or unexpected damage to personal belongings.
At its core, short-term insurance is designed to protect the things you use and rely on every day. Unlike long-term products such as funeral cover, which are often prioritised due to cultural or family expectations, short-term cover is about managing everyday risks that can have an immediate financial impact.
