What are the must-have insurances for cars?
2 Answers
Here are the insurances that must be purchased for vehicles: Compulsory Traffic Insurance: A mandatory liability insurance stipulated by the state, where the insurance company compensates for personal injuries, deaths, or property losses caused to victims in road traffic accidents involving the insured vehicle within the liability limits. Without this insurance, the vehicle cannot legally be driven on the road. No-deductible Insurance: This is an additional insurance attached to other commercial insurances. If the car owner does not purchase this insurance, they may have to bear the deductible portion themselves. Vehicle Damage Insurance: This insurance primarily protects your own vehicle. The cost is based on the price of your car, generally higher for more expensive cars. Third-party Liability Insurance: This covers accidental incidents caused by the insured or legally permitted drivers while using the insured vehicle, resulting in personal injuries, deaths, or direct property damage to a third party. The insurance company compensates for the financial liability that the insured is legally obligated to bear. Scratch Insurance: It is advisable for new cars, especially for new drivers who may inevitably experience minor collisions. Purchasing scratch insurance provides better protection.
I've been driving for over a decade, and I believe the most essential car insurance to buy is the compulsory traffic insurance, commonly known as 'Jiao Qiang Xian' in China. It's illegal to drive without it. Road safety comes first—it covers compensation for injured parties and protects you from major liabilities. I also recommend adding third-party liability insurance with higher coverage limits. In case you hit someone or an expensive car, a few thousand dollars can settle the matter, avoiding financial ruin. Vehicle damage insurance is reliable too, especially for new cars—like when you scrape a wall or your car gets vandalized, the repair costs are covered by the insurer. Don't forget seat insurance, particularly if elderly family members or children often ride with you—it can cover medical expenses. In short, insurance buys peace of mind, spending a little to avoid big troubles.
