Loss of use insurance cover is an extension (or an add-on benefit) you can take out in addition to your existing car insurance policy. Please refer to the previous glossary entry where we discussed loss of use following an accident. We will now look at loss of use following theft. The same basic principles apply and the same people who take out loss of use car insurance following accident will probably extend the cover to theft as well.

Remember that any extensions to your car insurance will increase the monthly premium so if you have a back-up car available, in case your car is stolen, you should not bother to take out the additional coverage. The following conditions will apply if you have this cover and your car is stolen:

The insurance company will pay for a rental car effective from three days after you have reported the theft of your car and have submitted a claim.

• The rental period will expire the day that either:
• Your car is recovered and returned to you or
• The day the claim is settled.
• Should there be damage to your car resulting from the theft or recovery, the car will first be repaired and you can continue the use of the rental car until your car is returned to you.
• You will be responsible for paying the administration costs involved with the car rental as well as fuel costs.