Does Car Insurance Cover Flood Damage from Natural Disasters?
1 Answers
Currently, the primary insurance that covers damages from natural disasters such as heavy rain is the Vehicle Damage Insurance. Since flooding due to heavy rain meets the criteria of a natural disaster, most vehicle losses can be compensated through Vehicle Damage Insurance. If a vehicle is submerged in water, as long as the engine is not flooded and only requires part replacements or electrical circuit repairs, these are all covered under Vehicle Damage Insurance. Below are the specific details of car insurance: Compulsory Traffic Accident Liability Insurance: This is a mandatory insurance required by law for every car owner. It provides the most basic insurance coverage in the event of a traffic accident. Once an accident occurs, this insurance helps the owner cover the economic compensation that may be difficult to pay. The compensation amount is determined based on the owner's liability proportion in the accident and whether it resulted in personal injury or death. Vehicle Damage Insurance: This insurance covers damages to the insured vehicle caused by an accident while being driven by the insured or an authorized driver. The insurance company will compensate within reasonable limits. The premium for this insurance is closely related to the vehicle's purchase price and the number of seats. Third-Party Liability Insurance: This insurance covers compensation for personal injury or direct property damage to a third party (excluding the driver and passengers of the insured vehicle) caused by an accident, as stipulated by the insurance company.
