Is Full Coverage Insurance Mandatory for New Cars?
3 Answers
Full coverage insurance is not mandatory for new cars; the types of insurance to purchase can be decided based on your actual situation. Additional information: 1. For cars purchased with installment payments: During the installment period, commercial insurance must be purchased at the dealership every year, and full coverage insurance is also required. 2. If the car is purchased outright, some 4S stores may stipulate that the first year's commercial insurance must be purchased at the store; otherwise, the car will not be sold. If there are no such complicated regulations and consumers are free to choose, they can select insurance types based on their circumstances: (1) Car insurance includes compulsory traffic insurance and commercial insurance, with compulsory traffic insurance being mandatory by the state. (2) Commercial insurance includes many types, such as third-party liability insurance, vehicle damage insurance, etc. If your driving skills are very proficient and you have never had any scratches or dents in over a decade of driving, you may choose not to purchase vehicle damage insurance. If your driving skills are not very proficient and you often experience scratches, you might consider purchasing vehicle damage insurance for your car. If the security in your residential area is not very good, you could buy theft insurance for your car. If your area frequently experiences heavy rainstorms, you might consider purchasing water damage insurance for your car.
I've done quite a bit of research on buying insurance for new cars. New cars don't necessarily require full coverage insurance—the law only mandates compulsory traffic insurance, and driving without license plates is illegal. However, full coverage is part of commercial insurance, such as vehicle damage insurance and theft insurance, which are optional. Since a brand-new car has high value, minor scratches or theft could result in significant out-of-pocket expenses. Last year, when I bought a new car, the 4S dealership recommended full coverage for peace of mind, so I opted for a package that included windshield insurance. Premiums are based on the car's value, so they may be slightly higher for new cars, but they help avoid financial losses. If you have good driving habits and stable road conditions, you might consider saving money by only purchasing compulsory insurance and third-party liability coverage. However, for new drivers or high-risk vehicles, full coverage is more secure—trying to save small amounts could lead to bigger losses.
We just got a new car at home, and my wife and I had an argument over it. For new car insurance, comprehensive coverage isn't mandatory—only compulsory traffic insurance is required, but full coverage is an additional option. I think the new car is valuable, and having full coverage gives peace of mind; the premium isn't too high and can cover accident repair costs. My wife, however, wanted to save money and only get basic coverage. In the end, we compromised and got third-party liability plus vehicle damage insurance. The probability of an accident in the first year of a new car isn't high, but the potential loss is significant—repairs can be shockingly expensive. A friend of mine had a minor scrape without full coverage and ended up paying several thousand. It's advisable to choose based on your habits and budget, as the break-in period in the first few months is when accidents are most likely to happen.
