What Does Comprehensive Car Insurance Refer To?
3 Answers
Comprehensive car insurance refers to compulsory traffic insurance + vehicle damage insurance + third-party liability insurance + no-deductible coverage + passenger liability insurance. Under certain conditions, additional coverage such as theft insurance, glass insurance, body scratch insurance, and spontaneous combustion insurance can be added. The following are situations where claims are not covered: 1. Car theft in paid parking lots: Generally, if a vehicle is stolen from a paid parking lot or commercial repair shop, the insurance company will not be responsible for compensation. This is because the insurance company considers that the parking lot is responsible for the safekeeping of vehicles parked in paid parking areas, and the insurance company is not liable. 2. Intentional accidents by the driver: According to the insurance policy terms, intentional actions by the driver are excluded from coverage. Therefore, even in any emergency situation, if the accident is caused by the driver's deliberate actions, the insurance company will not be responsible for compensation.
The term 'full coverage car insurance' might sound like it covers all risks, but it actually refers to a relatively comprehensive insurance package. I bought it when I first started driving. It typically includes liability insurance (covering damage to others' vehicles or injuries), collision insurance (covering damage to your own car in an accident), comprehensive insurance (covering fire, theft, etc.), and may also include medical payment coverage. The advantage is that it provides peace of mind while driving, especially for new or high-value cars. However, don't forget about the deductible, which means you'll have to pay a portion of the cost for minor incidents. Insurance companies determine pricing based on your driving record and vehicle model, so I recommend that beginners consult with a broker and read the terms carefully before signing the contract. Don't assume it's a cure-all.
As a family car user, I believe comprehensive insurance provides a safety net. It covers repair costs after accidents and liability compensation, protecting both the vehicle and family from financial distress. Specifically, collision insurance handles losses caused by one's own fault, while comprehensive insurance deals with external factors like tree branches damaging the car. However, this insurance isn't cheap—premiums increase yearly, and deductibles may start from $500. Therefore, I think it's necessary to evaluate based on budget. Living in urban areas with dense populations and heavy traffic, where risks are higher, makes comprehensive insurance worthwhile. If the car is old, I'd save money by opting for basic coverage.
