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What are the widely used types of car insurance?

1 Answers

Ferreira

07/25/25 1:48am

Car insurance mainly includes two types: compulsory traffic insurance and commercial insurance. Compulsory traffic insurance is a mandatory coverage required by the state, while commercial insurance is optional for car owners. Commercial insurance includes liability insurance, third-party insurance, water damage insurance, and theft insurance. The following details pertain to compulsory traffic insurance: 1. Introduction: The full name of compulsory traffic insurance is "Compulsory Traffic Accident Liability Insurance for Motor Vehicles." It is a mandatory liability insurance where the insurer compensates for personal injury, death, or property damage caused to victims (excluding the vehicle's occupants and the insured) in road traffic accidents within the liability limits. 2. Necessity: Compulsory traffic insurance ensures compensation for victims of motor vehicle traffic accidents and promotes road traffic safety. It provides timely and basic protection for traffic accident victims.

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