There are two types of car insurances. One is comprehensive insurance, the other is third party liability insurance. Comprehensive car insurance covers damages caused due to a number of causes. These causes include fire, theft and natural calamities. It also covers damages caused to the victim”s vehicle. Hence, it covers all aspects of a car during an accident. And third party liability insurance pays only for the losses suffered by the third party in case of an accident.
There are certain factors which determine the insurance amount that you ultimately pay. These include the make and model of the car, the age and the condition of the car. Also, if the car in question was involved in an accident in the past then the car insurance premium you pay will be different. The coverage may also be affected due to the same.
How to choose a particular insurance policy?
One must always remember that both, comprehensive car insurance or third party liability insurance are only valid for a year. Hence choosing the right type of insurance is imperative. A good way to zero in on a particular insurance policy is by comparing different car insurance quotes. These quotes offer a bird”s eye view of all the offers that firms in the market are offering. This way you will be able to choose a good policy to ensure that you do not shell out a lot of cash if you are to be ever involved in an accident.
One main thing to remember however, is that if your car is too old and your make and model are not recognised by the insurance company, you will be required to use the car”s original value i.e., its original showroom price. Hence, if you want to insure an old vintage car, it could be pricey.
A good place to buy car insurance is on the internet. Not only is it fast, it is efficient and makes it easy to compare different insurance policy. This makes it easy to see what all options you have. Also, the quotes shown on the internet may often be cheaper than those quoted otherwise. This is because when you use an agent to buy insurance, the money you pay also includes the commission for the insurance agent. The internet however, is the cheaper option due to the absence of any middleman.
Things to remember:
” Insurance is cheaper online
” Getting car insurance quotes is simpler online
” The make and model of your car will affect the car insurance premium you pay
” Depreciation costs are factored in when buying the insurance
” You pay the premium in one lump sum
” For a very old car, the original showroom price has to be utilized to get insurance coverage
Hence, comprehensive car insurance will cover almost any and all damages caused both to the policy holder and to the affected. The car insurance premium you pay will be different for different insurance policies. In the unlikely event of a second accident, the insurance company will investigate the accident before they fulfil the insurance claim laid down by the insurance policy holder.