What is the difference between scratch insurance and vehicle damage insurance?
3 Answers
Scratch insurance and vehicle damage insurance are the same in legal nature. Both are types of commercial auto insurance, profit-oriented, and participate in the profit distribution of insurance companies, distinguishing them from the non-profit compulsory traffic insurance. Scratch insurance is an additional coverage under commercial auto insurance, while vehicle damage insurance is a main coverage. More details are as follows: 1. Insurance coverage: Scratch insurance: Full name is "Body Scratch Insurance." Its coverage includes damage to the vehicle's surface paint caused by isolated scratches. If such an insured incident occurs without obvious collision marks, the owner can claim compensation. Vehicle damage insurance: Full name is "Vehicle Damage Insurance." Its coverage includes compensation by the insurance company within reasonable limits when the insured or an authorized driver causes damage to the insured vehicle during operation. 2. Target audience: Scratch insurance is suitable for owners who frequently park their cars on the roadside; park in areas with poor security where vandalism or fights often occur; or live in neighborhoods with many mischievous children where cars are prone to tampering. 3. Different definitions of vehicle state for claims: Scratch insurance defines the claimable vehicle state as stationary, meaning damage occurs while the vehicle is not moving. Vehicle damage insurance defines its claimable state as during movement or operation, meaning damage occurs while the vehicle is in motion.
I've owned a car for several years and have some insights about insurance. Comprehensive insurance and scratch insurance are quite different. Comprehensive insurance covers major accidents, such as collisions, water damage, or natural disasters that cause damage to the vehicle body, but it doesn't cover everyday scratches, like minor paint damage from keys. On the other hand, scratch insurance specifically targets these small damages, especially accidental human-induced scratches, like when someone scratches your car in a parking lot. Last time I washed my car, I noticed a small scratch and used scratch insurance to get it fixed quickly. However, scratch insurance is usually an add-on and must be purchased separately. It's not expensive, but the claim conditions are limited—for example, intentional damage isn't covered. Comprehensive insurance has a broader coverage range and higher premiums, suitable for various serious risks. Scratch insurance is quite practical for new cars because small scratches are common and affect appearance, but don't expect it to cover everything. My advice is to understand the policy details thoroughly and not skimp on this expense to avoid turning minor issues into major hassles.
As someone who pays close attention to car expenses, I often do the math. Comprehensive car insurance protects the entire vehicle, covering major losses like accidents and natural disasters. The premiums are generally higher, but the claims process is more comprehensive. On the other hand, scratch insurance is an additional safeguard specifically for minor paint scratches, such as those caused by tree branches or accidentally brushing against a wall. It is not included in comprehensive car insurance and must be purchased separately at a relatively low cost, but the claims threshold is lower. From an economic perspective, scratch insurance is suitable for new or high-end cars because even minor scratch repairs can be costly. Comprehensive car insurance, however, is valuable for mitigating major risks, such as accidents requiring repairs costing tens of thousands. In daily life, many people overlook the cost-effectiveness of scratch insurance, mistakenly believing that comprehensive car insurance covers everything. For cars older than five years, scratch insurance is often a waste, as paint aging leads to more exclusions. Insurance should match personal risk levels, and the way to save money is to assess vehicle usage frequency and environment in advance.
