Thanks to set regulations, every single vehicle owner in the country has at least an auto insurance coverage or more. But what do these policies cover precisely? Do all the insurance policies in operation make accommodation for covering your car repairs? We’ll be discussing this gray area of auto insurance extensively today!
Hello! I’m Stella, Fincrew brand ambassador, and I’ll be explaining just how far the insurance policy you’re operating covers you today. By the time you’re done watching this video, you can determine if you’re insured for the cost of your car repairs. How well do you understand the auto insurance terrain? Are you using the best insurance coverage for you? Learn more about automobile insurance in the country today by following the Insurance360 Video Series! We upload highly educative and informative videos on all things insurance regularly! Join a community of highly informed vehicle owners by hitting that Subscribe button and enabling notification settings now!
Every vehicle owner knows that car repairs will always inevitably come up. That’s just one of the drawbacks of owning and operating a vehicle. Having a policy covering the cost of car repairs would be great as it would remove the financial burden of having to cover such expenses out-of-pocket. You can get only one of the three types of car insurance in Malaysia. You either get:
- Third-Party Coverage,
- Third-Party, Fire and Theft coverage, or
- Comprehensive Coverage
Let’s take a look at these coverage plans:
Third-Party Coverage
This is the insurance coverage policy of choice for most drivers in the country. Its popularity is because it is cheap and fulfills the law’s basic requirements where obtaining auto insurance is concerned. As the name implies, it only financially protects vehicle owners from the financial burden of covering repairs and medical bills to the third party’s person, property or vehicles.
Third-Party, Fire and Theft Coverage
Like the basic Third Party coverage, you’re fully covered for all damages inflicted on another individual. But with the Third Party, Fire and Theft policy, you also enjoy the privilege of not having to pay out-of-pocket if your car falls victim to incidents of fire or theft.
Comprehensive Coverage
This policy essentially does the same thing for you as the Third Party, Fire and Theft package. The one major improvement it has over the former is that you are covered for your vehicle repair costs resulting from a collision, so long as you weren’t at fault. From this brief explanation of the various types of coverage available to drivers, you can tell right away that if you’re on the basic Third Party coverage, you can’t expect any payout for your car repairs. If you’re operating the Third Party, Fire and Theft coverage, you won’t personally have to cover the cost of repairs if your vehicle gets damaged. This is, of course, contingent on the damage occurring strictly due to theft or fire. You would have to pay for repairs out-of-pocket if the damage occurred due to factors such as wear and tear or collision. You have more latitude where your car repairs are concerned if you’re on the Comprehensive auto insurance policy. You’re entitled to filing a claim if your car gets damaged in an auto crash and you weren’t at fault.
However, you still aren’t covered if you require car repairs as a result of wear and tear. Ultimately, the best way is purchasing car extended warranty. Together with auto insurance and extended warranty your vehicle will be fully covered. If you enjoyed this video, click the Subscribe button and turn on notification settings too! We’ll bring you more valuable videos like this one, so you’ll be more informed about the auto insurance world! See you in the next video!
