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What is SASRIA and how does it work with car insurance?

Unfortunately, your car was parked at the wrong place at the wrong time in the city and was severely damaged during the recent unrest. With a sigh of relief, you discovered that SASRIA covered your car. Read on further and learn more about SASRIA and car insurance.1

What exactly is SASRIA? 1

SASRIA is a public enterprise and falls under the PFMA or Public Management Finance Act (No 1 of 1999). SASRIA plays a most crucial role in the car insurance industry as the only non-life insurer protecting private cars and trailers used for professional or domestic use. It covers damage or loss caused by strikes, riots, terrorism, public disorder, and riot civil commotion.

How did SASRIA start? 1

SASRIA emerged more than 40 years ago after the Soweto riots took place in 1976. At this time, car insurers could no longer cover cars damaged by riots. The risk was just too high, and it was virtually impossible to buy reinsurance cover. So the government began to meet with SAIA (South African Insurance Association) and South African Special Risk Association, capping claims at R50 million. As a result, the insurance loss limit increased from R200 million in the 1980s to Gross Written Premiums (GWP) of R1 billion during the last decade.

The SASRIA business model1

The designed business model ensures that premiums are kept affordable to all motorists, government, and NGOs. This is accomplished via agreements made with other short-term insurers and brokers, who are involved in collecting premiums and daily administration. The only time SASRIA comes into the picture is when a claim is made.

Is SASRIA cover compulsory? 1

No, but the client needs to understand what risks he is exposed to when not taking out SASRIA cover from his insurer.

What SASRIA does not cover1

SASRIA does not cover any losses or damage caused by war, neither does it cover personal injuries or loss of life during a riot. In addition, natural disasters such as earthquakes, floods and hail are also not covered.

What happens when I claim? 1

SASRIA does not charge an excess and provides a replacement vehicle while your own car is being repaired.

Are losses or damage due to looting covered? 1

Looting is only covered if it happens during a SASRIA peril occur such as riots for which SARISA takes responsibility.

How is SASRIA coping with the recent unrest? 1

The government, a shareholder of SARIA, has intervened to assist SARIA in settling claims by providing an extra R3.9 billion.


This article can only provide information. Seeing car insurance is a complex matter. You need to obtain professional advice from a certified financial advisor before buying a car insurance product.

SASRIA works closely with certain car insurers to ensure that specific clients are covered for times of rioting and general unrest. The question is if you are adequately covered with SASRIA and by car insurance that covers you during everyday life. Contact PMD for more information on affordable car insurance with excellent service and unique benefits such as fixed premiums* and a reduce to zero excess*.

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