What Insurance Policies Are Essential for a New Car?
1 Answers
Here are the must-have insurance policies for a new car: 1. Compulsory Traffic Accident Liability Insurance (CTPL): The first insurance policy to purchase for a car is CTPL, and it is legally required when buying a car. Without it, new drivers cannot license their vehicles, and experienced drivers cannot drive on the road. Driving without CTPL can result in severe penalties. 2. Third-Party Liability Insurance: This insurance covers the compensation for bodily injury or direct property damage caused to others in an accident involving the insured vehicle. Accidents are the last thing anyone wants while driving, as they not only damage your beloved car but also require a significant amount of money to compensate others. 3. Vehicle Damage Insurance: Commonly referred to as comprehensive car insurance, this policy differs from vehicle downtime loss insurance. It covers the insured vehicle against losses caused by natural disasters or accidents within the scope of insurance liability, providing corresponding compensation. However, it does not cover losses caused by earthquakes.