Is Auto Theft Insurance Necessary?
1 Answers
Theft insurance is a type of commercial insurance that can be purchased based on individual circumstances. If your car is usually parked in a secure parking lot during daily use and your commute doesn’t involve particularly secluded areas, you may consider not purchasing theft insurance. However, for those living in areas with poor public security, lacking a fixed parking spot, or owning a commonly stolen vehicle model, theft insurance is strongly recommended. Notes on purchasing commercial insurance: Commercial insurance is divided into two main categories: basic insurance and additional insurance. Basic insurance, which can be purchased separately, includes vehicle damage insurance, commercial third-party liability insurance, comprehensive theft insurance, and passenger liability insurance. Additional insurance must be selected on the basis of basic insurance and includes glass insurance, spontaneous combustion loss insurance, and no-deductible insurance, among others. Vehicle damage insurance and third-party liability insurance are typically essential. Vehicle damage insurance covers losses to the insured vehicle caused by natural disasters or accidents within the insurance scope, with compensation provided according to the insurance contract. Third-party liability insurance covers direct losses to others in terms of personal injury or property damage due to the insured’s liability, with compensation provided as per the contract. No-deductible insurance is recommended; otherwise, in the event of a traffic accident, the insurance company will only cover up to 80% of the total loss. Other types of insurance can be considered as needed.
