Unreasonable Excess Fee on Telkom Mobile Insurance

I am lodging a formal complaint against Telkom Mobile Insurance regarding an unreasonably high excess (access) fee charged on a lost cellphone claim.

I have been paying my mobile insurance premiums consistently since the inception of the policy and this is my first-ever claim. To my shock, I was informed that the excess fee payable is almost equivalent to the cost of purchasing a brand-new phone. This completely defeats the purpose of having insurance in the first place.

An insurance product is meant to provide financial relief in the event of loss. In this case, Telkom’s insurance offering provides no meaningful benefit and instead places an unfair and disproportionate financial burden on the customer. At no point was it clearly communicated that a first claim would attract such a punitive excess fee.

I believe this practice is unreasonable, misleading, and poor value for money. Loyal customers who have never claimed should not be penalised in this manner. I have requested a review and reduction of the excess fee, but I am yet to receive a satisfactory resolution.

I am sharing this experience to warn other consumers and to urge Telkom Mobile Insurance to reconsider its excess fee structure and address this matter fairly and transparently.

I expect Telkom to engage constructively and resolve this issue without further escalation.

— Jerry Letwaba