Cape Town - With claims streaming into insurance companies, estate agents are warning that several homeowners who lost their homes are without adequate cover.
On Monday, insurance assessors were processing claims and Old Mutual Insure claims head Hennie Nortje reported they had already processed 80 claims running into “tens of millions” and this amount was expected to increase.
Nortje said the amount for the entire insurance industry would be far greater as claims are processed for loss of property, home contents and vehicles.
“Our assessors are currently on the ground. We cannot definitely say how long it will take to process all the claims, but Old Mutual Insure is working flat out to assess, lodge, process and pay out all claims as soon as possible. This is to enable our policyholders to begin the hard process of rebuilding their lives as soon as possible."
Once each claim was registered, a preliminary amount of R10 000 was released, while Trauma Benefit for policyholders was also activated so that they could access trauma counselling for them and their families, said Nortje.
Western Cape Institute of Estate Agents of SA general manager Annette Evans said Garden Route residents were still in shock and had not ascertained the total damage done, as many had lost everything, “escaping only with their lives”.
“The shock in the area is palpable. A coffee shop manager said that nearly one third of her clientele have lost their homes. Some homeowners were not insured, and do not know how they will put their lives back together at this point,” said Evans.
"Over the next few months demand for homes, firstly for rentals in the area, will outstrip supply as those who lost homes seek temporary accommodation.
“From a real estate perspective, those who lost their homes will need to find housing in the interim and will build or buy another home.
"So bearing in mind that the area is in crisis, the public needs to be patient and understanding if they had trips planned to the area,” said Evans.
Meanwhile, the fire has been contained and cleaning up has begun in the affected areas. Western Cape Premier Helen Zille thanked those who have assisted in what she called the “biggest disaster rescue operation in South African history”.
Zille commended public and private organisations, NGOs, family and individuals who “stepped up to the challenge and came to the assistance of thousands in desperate situations”.
Social Development MEC Albert Fritz said his department's social workers were assisting with trauma counselling for residents affected by the disaster.
Social Relief of Distress (SRD) officials were identifying and assessing residents eligible for social relief to be issued monthly for a minimum of three months, he said.
The relief will be administered with assistance from SA Social Security Agency (Sassa), which would disburse the grants.