As the economy and society continue to develop, the quality of life for individuals is also improving, including an increase in the purchase of cars to meet daily transportation needs.
You may be a cautious driver who adheres to traffic laws, but your car could still suffer damage due to intentional or accidental collisions with other vehicles or weather conditions. These inconveniences shouldn’t be something you have to endure because you bought a car for convenience and comfort, not to invite troubles. With insurance fees accounting for 1-2% of the asset’s value, your car will be protected from such troubles.
While insurance is a necessity, not everyone has the time to decide on the right insurance based on their criteria. Moreover, with numerous insurance companies offering similar car insurance products, it’s challenging to gauge the service quality when selecting an insurance provider for your assets. Before addressing these issues, learn what car insurance products entail.
1. Types of car insurance policies
The current car insurance market includes four main types:
Firstly, Compulsory Civil Liability Insurance for Vehicle Owners.
Secondly, Civil Liability Insurance for Vehicle Owners Regarding Cargo Transported on the Vehicle.
Thirdly, Insurance for Physical Damage to the Vehicle.
Lastly, Insurance for Passengers in the Vehicle and Co-driver Accidents.
Among these, Compulsory Civil Liability Insurance for Vehicle Owners is mandatory for all individuals or organizations owning cars in.
2. Benefits of purchasing car insurance
Customers’ cars are compensated in the event of collisions, overturns, natural disasters such as storms, floods, landslides, lightning strikes, earthquakes, hailstorms, total loss of the car, and other unexpected accidents beyond the owner’s control.
Supplementary insurance clauses cover situations such as water immersion (driving in flooded areas), new replacements, choosing authorized repair facilities, and other additional terms depending on the customers’ practical needs.
3. Choosing the best car insurance
Understanding various insurance companies and comparing their insurance rates is necessary. Additionally, understanding the contract’s benefits before joining insurance is advisable.
Opt for reputable insurance companies as they have dedicated, prompt service support teams that guide problem resolution diligently.
Purchasing combined insurance products will provide multiple advantages from the insurance company. For instance, buying car insurance along with health insurance may yield a better insurance premium than purchasing each type separately.
4. Is buying car insurance really necessary?
You can buy any type of car insurance if deemed necessary and suitable for your vehicle’s use. However, Compulsory Civil Liability Insurance for Vehicle Owners is mandatory. Moreover, buying insurance for the vehicle’s physical damage is advisable because:
Firstly, in the event of an accident, the insurance company will compensate for the financial costs incurred due to the accident, providing a sense of security and consolation when facing an unfortunate incident.
Secondly, the compensation extent will be clearly defined in the insurance contract based on the company’s policies and the insurance premium the customer signs up for. You’ll have a clearer understanding and more peace of mind about your rights after entering into the insurance contract.
Lastly, the broad insurance coverage with high liability allows customers to select reputable facilities, thereby actively choosing an insurance product that best suits their needs and offers a highly competitive premium.
Every car owner who has car insurance hopes for fair, timely, and adequate compensation in case of unforeseen incidents. Repairing and replacing damaged parts efficiently to address arising issues. To achieve this, thoroughly study and consider insurance forms and terms that best suit your needs and financial capabilities before signing the contract.
