Private car insurance covers you to drive your own vehicle for personal and non-business use. You can also insure a number of vehicles on one policy.
Private car insurers compete for customers to offer low rates, strong service and a range of policy options. Public insurers have a limited choice and often provide questionable customer service.
There are a number of coverage options available under private car insurance. Liability cover is the most basic, but you should also consider other types of cover such as comprehensive and collision.
Collision covers the damage to your vehicle if you’re involved in an accident with another car or object, such as a tree or road sign. It isn’t mandatory, but it can help you cover the costs of repairing your vehicle or replacing it if it’s totaled.
You may also want to consider medical payments coverage, which is an optional feature that pays towards the cost of medical bills for your passengers and any other pedestrians who are hit by your vehicle. Other coverages include rental reimbursement, which will pay for a rental car while your own is being repaired following an accident. Usage-based insurance (UBI), which allows your insurer to track your driving habits, can also give you discounts for safe driving. Ultimately, the best way to determine which type of coverage is right for you is to take a close look at your needs and your budget.
Third-party cover is an insurance that pays out if you cause damage to another person’s property or physical injuries. It is a form of liability insurance and comes bundled with standard homeowners, renters, business owner’s and auto policies.
The insurance covers the cost of the medical expenses and bodily injury claims made by other people, and the repair costs to their vehicles. It also covers the loss of earnings and economic damages that are caused by the accident.
However, if you do have any personal losses due to the accident, such as hospital bills, you would have to pay them yourself (unless you are driving a vehicle that has a high value).
It is important to understand what is covered and not covered by third-party insurance. If you need more than the minimum required by law, it is recommended to purchase extra insurance coverage and increase your liability limits. A Trusted Choice agent can help you determine how much you should carry and provide you with affordable options.
Comprehensive cover protects your vehicle against non-traffic damage like fires, vandalism or theft. It also covers damage from weather events and natural disasters.
Whether you need this coverage depends on the value of your car, your financing situation and where you live. But it could be a good investment if you can’t afford to repair your vehicle or replace it after an accident.
You can add this cover to your policy or choose a separate policy. It includes liability insurance, which pays damages if someone else is injured or killed in an accident caused by you.
This type of insurance isn’t required by law, but most lenders require it if you finance or lease your vehicle. It can also protect your remaining loan balance after a total loss or theft.
Motor trade cover
Motor trade insurance is a great option for people who work in the car industry. It provides cover against the risks of repairing cars, as well as having to drive them to and from your business premises.
Generally, these types of policies will cover any vehicles owned by the insured or registered in their name, as well as stock vehicles for sale. They also cover any customer vehicles in the care, custody and control of the insured for service, repair or testing purposes.
Road risk insurance is available in a range of options, including third party, third party fire and theft or fully comprehensive cover. Having the right cover is important for your business, so make sure you choose the policy that meets your needs and budget.