Substandard Service

So, I had a comprehensive insurance on my car with PMS including mag and tyre damages, as we know how South African roads are, and for any unforeseen circumstances. I had just drove from my resident exit, and after closing the gate, I drove off to the next intersection, not more that 200m from my gate. There was a taxi on the other oncoming lane (two way road) as I was about to pass it, there was a stray dog that quickly ran in the road from the LHS, i think it was trying to cross. It ran so close that I sweved on the left side pavement and scratched my mag. Nothing happened to the tire, just a cosmetic damage on the mag.

So I claimed it, took so long for correspondence, only to find the response that says the pavement is not considered as the hazardous condition of the road. Really? So according to the insurer I was supposed to hit the dog, damage all my front components of the car probably amounting to over R50k for repairs (probably even risking car to be written off) vs just R1.8k for full refurb of the mag?

I don't find a logic at all. And funny even further, a waiver amount of R200 was sent to me, with a notion that I'm a loyal *** what to do with it?

I'm totally off with their service.