Petzer, Du Toit & Ramulifho

RISK MANAGEMENT DURING THE FESTIVE SEASON

INTRODUCTION
With the Festive Season upon us many people are getting ready to take a well earned rest with their family and friends. This is unfortunately also a time when criminals increase their miserable activities and the risk of becoming a victim of crime increases significantly. As with a business it is always prudent to first identify and evaluate the risk and then to take the necessary steps to implement strategies which mitigate that risk.

Going on holiday creates certain increased risks of which many people are unaware. These risks can be placed into four main categories, namely, legal risk, the increased risk associated with travelling, the increased risk associated with accommodation and the increased risk associated with leaving behind an unoccupied house.

LEGAL RISK
It is vital to ensure that your short-term insurance and long-term insurance policies are up to date and that the premiums have been fully paid. If this is not checked your claim could be repudiated in the event of an incident. It is also equally important to ensure that you have a valid will and that the contents of your will reflect your last wishes. Failure to do so could result in your estate devolving on individuals to whom you did not want to inherit.

TRAVELLING RISK
We are all aware of the huge increase in motor vehicle accidents during the Festive Season. Some simple precautions can be life saving. Make sure your motor vehicle or trailer or caravan is roadworthy. Check your tyres including the spare tyre. Take regular breaks, do not exceed the speed limit and of course do not drink and drive. Always wear your seatbelt and make sure your children are buckled up in the back seat of your car. Check that your licence disk on your car or trailer or caravan has not expired and is displayed in a conspicuous place. Always carry your driver’s licence with you.

With the use of new technology the Police and Metro Police are able to check whether you have any outstanding traffic fines or warrants at the push of a button. To avoid an unpleasant and unexpected delay in your journey make sure that you have paid all your traffic fines and any outstanding warrants, before you go on holiday. You can check this information on the website at www.joburg.org.za, click on eservices or you can phone 011 – 375 5469.

ACCOMMODATION RISK
Many people book their holiday accommodation without first checking out the place they are going to be staying in. Many people also pay the full amount before they have arrived at their holiday destination only to be disappointed with the accommodation. If you are unable to check and verify the accommodation first, you should only pay a deposit and the balance should be paid on arrival or departure. If the owner or his agent has misrepresented certain features of the accommodation to you, you may be entitled to cancel the booking and reclaim the full amount or you may be entitled to claim a reduction in the booking price. It is important to realise that by making a booking over the telephone you have entered into an oral contract which is valid and binding in law. The only difference between a written and oral contract is the manner used to prove the terms and conditions thereof. A valid and binding contract is also entered into by the use of e-mails or for that matter an SMS.

UNOCCUPIED HOUSE RISK
Of course a house which is unoccupied for any length of time increases the risk of it being burgled. Some simple steps can be taken to mitigate this risk. Ask someone to remove your post regularly. Leave lights on and if possible use a time switch to make your lights come on at irregular intervals. Make use of the services of a private security company, if possible. Install an alarm system. Ask a neighbour whom you can trust to keep an eye on your property and leave them with an emergency number.