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Why should car keys be insured?

Replacing car keys may be more expensive than your clients realise

The key to your clients’ proper peace of mind is not simply knowing that their vehicle is insured, but that its keys are covered too. You’ve helped your clients to know their vehicle’s value when it comes to insurance – have you made them aware of what it would cost to replace their car keys?

A car insurance policy might cover the loss of or damage to car keys, but the limit allowed may not always be adequate to cover the necessary costs. Just like different car models vary in value, different keys cost different amounts to repair or replace. Let’s take a look at some of the most popular types of keys:

  • Traditional car keys are mostly associated with older vehicles.
  • Transponder keys are updated models of traditional keys, as they contain a chip that communicate with the vehicle’s Engine Control Unit, instructing the car to start the engine.
  • The basic modern key with a fob contains a security chip. Aside from also instructing the car to start the engine, it locks and unlocks the car at the press of a button.
  • Keys integrated into the fob are released via a folding mechanism.
  • Smart keys allow for keyless entry and push-button start, with a traditional key concealed within the fob.

Modern vehicles have become more automated and computerised, offering fantastic driving and passenger experiences with previously unthought of mod-cons. These vehicles’ keys have also advanced and now contain some serious technology. This means that they are more expensive to repair or replace, and require more cover.

A recent, independent investigation revealed that the dealer of a popular 2021 model vehicle delivered a quote of R52 000 to have both keys (the primary and spare) replaced. The quote included all labour and the reprogramming of both keys. To have a duplicate key made from an existing key would have cost approximately R5 200. Are you sure that your clients are covered for these amounts?

Contact us for advice on checking the policy limits on car keys and, if necessary, how to extend it or cover keys separately at a suitable value. We are the key to unlocking your clients’ total peace of mind.

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