Full coverage insurance is not mandatory for the first year of car purchase. Here are the specific details about auto insurance: Compulsory Traffic Insurance: This is a legally required insurance that every car owner must purchase. It provides basic coverage for traffic accidents. In the event of an accident, compulsory traffic insurance can help the owner cover difficult-to-afford economic compensation. 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 damage to the insured vehicle caused by an accident while being driven by the insured or an authorized driver. The insurance company will provide compensation within reasonable limits. The premium for vehicle damage insurance is closely related to the purchase price of the car 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. The insurance company will compensate according to regulations. Whole Vehicle Theft Insurance: This insurance provides compensation for losses caused by the theft or robbery of the entire vehicle. After a theft or robbery incident, if the public security authorities file a case and the vehicle is not found within 60 days, the owner must provide documents such as the vehicle registration certificate, vehicle license, and purchase invoice to prove the vehicle's origin and legality in order to receive the compensation.
