Every automobile needs insurance, right. So once you’ve gotten any random insurance policy, you should be just fine, right? Wrong! Taking out insurance on your vehicle is something you should do very carefully, not just because you have to. But how do you know if you have picked the right policy? Is there really any difference between comprehensive auto insurance and the other policies out there?
Yes, there is!
In today’s episode, we’ll be extensively discussing comprehensive auto insurance and how it differs from the other vehicle insurance policies. Hello, I’m Fincrew brand ambassador and will be your guide on all things auto insurance Stella, and today, we’ll be highlighting all the factors that distinguish comprehensive auto insurance from the rest. You don’t want to miss a single clip in the Insurance360 Video Series! Get on all the relevant updates you need to make the most of your precious ringgits! Simply click on the Subscribe button and enable notifications, so you know when we make a new release!
There are many kinds of insurance policies out there today, so to understand how one differs from the result, you have to know what each of these policies mean. You’ll find three auto insurance policies in operation today. They are:
- The Third Party auto insurance,
- The Third Party, Fire and Theft auto insurance, and
- The Comprehensive insurance policy.
The Third-Party Auto Coverage
This is the smallest and most basic auto insurance you can take out on your vehicle. Essentially, what this policy does for you is offer you a measure of financial security should you get involved in an accident that damages another driver’s vehicle or property. This policy will cover the cost of repairs to the other party’s possessions and health bills if it’s required. However, that is the extent of this policy’s coverage. As the cheapest automobile policy you can take out, its coverage doesn’t reach repairing your own vehicle or catering to your health bills.
The Third Party, Fire and Theft Auto Coverage
This policy bears remarkable similarities to the primary Third-Party auto insurance coverage policy. It also seems to cover the financial implications of repairing the other driver’s vehicle or property and sorting out the medical expenses. However, it offers one important additional feature; Under this policy’s coverage, you have the right to claim if your vehicle is stolen or gets damaged to any extent due to a fire or theft. Remember that you have to exercise a measure of caution when filing a claim under this policy because it doesn’t cover the costs of repairs for damages resulting from an accident.
The Comprehensive Auto Insurance Coverage
This is arguably the most expensive vehicle insurance policy in the country today. Yet, more and more drivers get it each day. It continues to gain increasing popularity because of the wide coverage it offers your automobile. Besides offering all that you can get from the basic Third Party and Third Party, Fire and Theft policy combined, it also provides some special features unique to just this coverage type. Perhaps the greatest of these features is the fact that it covers the cost of repairs of your vehicle if it gets damaged as a result of an accident! This is a precious tool to have handy if your car is expensive or exotic and you can’t afford to replace it just like that. However, as awesome as this policy is, it doesn’t cover you in every single driving accident scenario. For example, a claim cannot be filed in the event of your death or bodily injury under this policy. Also, should any custom-fitted car accessory get damaged or stolen, this policy won’t pay out to cover that expense.
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