What are the four essential types of car insurance to purchase?
2 Answers
Vehicles must purchase the following four types of insurance: 1. Compulsory Traffic Insurance: This is a mandatory car insurance required by the state. Without it, you cannot drive on the road or pass the annual inspection. 2. Third-Party Liability Insurance: Car owners can flexibly choose the coverage amount based on their location. 3. Vehicle Damage Insurance: This insurance covers the cost of repairs for your own vehicle in case of scratches or collisions while driving. 4. No-Deductible Insurance: In the event of a traffic accident, if the car owner is fully responsible, primarily responsible, equally responsible, or partially responsible, the insurance company will waive 20%, 15%, 10%, or 5% of the deductible, respectively.
I just got my driver's license and bought a new car, so I asked experienced drivers about car insurance. They all said the four must-have insurances are compulsory traffic insurance, third-party liability insurance, vehicle damage insurance, and no-deductible insurance. Compulsory traffic insurance is legally mandatory—you can't drive without it, and it saves a lot of hassle when dealing with accidents. Third-party liability insurance mainly covers others' losses, such as car collisions or injuries, and it's recommended to get higher coverage to avoid panic in case of rear-ending a luxury car. Vehicle damage insurance covers your own car's repair costs, which is especially useful for new drivers prone to scratches and bumps—one repair can make the premium worth it. No-deductible insurance ensures the insurer covers everything without you paying out of pocket, so if your budget allows, don't skimp on it. The total cost of around two to three thousand yuan a year is reasonable. New drivers shouldn't rush to save money—regret comes too late after an accident. Comprehensive coverage gives peace of mind while driving.
