What Parts of Car Insurance Do You Need to Buy?
2 Answers
Car insurance that must be purchased is compulsory traffic accident liability insurance, which is mandatory as per national regulations. Without it, you cannot drive on the road. If caught driving without it, you will face penalty points and fines. Other types of car insurance, such as no-deductible special insurance, vehicle damage insurance, third-party liability insurance, and other common types, can be purchased selectively by car owners based on their needs. Below is an introduction to the basic information of various car insurance types: 1. Vehicle Damage Insurance: This insurance covers the cost of vehicle damage. Whether your car is involved in a collision or hit by falling objects, the insurance company will compensate for the loss. Since minor bumps and scratches are inevitable when driving, this insurance is highly recommended. 2. Third-Party Liability Insurance: Commonly referred to as "third-party insurance" or "TPL insurance," it protects against personal injury and property damage to third parties. 3. No-Deductible Insurance: This is an additional insurance that requires the purchase of a primary insurance policy first. For example, vehicle damage insurance and third-party liability insurance have deductibles, meaning you have to bear a portion of the cost in case of an accident. However, if you purchase the corresponding no-deductible insurance, the portion you would otherwise pay out of pocket will be covered by the insurance company.
I've been a taxi driver for 15 years and know car insurance inside out. Compulsory traffic insurance is mandatory by the state and covers medical expenses if you hit someone. Among commercial insurances, vehicle damage insurance is the most practical—it covers repairs for scratches or water damage to your own car. Third-party liability insurance is recommended to be at least 2 million, as luxury cars and pedestrians are everywhere these days, and you really can't afford the compensation. Seat insurance depends on the situation; add it if you often carry family members. Scratch insurance is worth it for new cars in the first two years, but forget it for older cars. Glass insurance is good if you frequently drive on highways. I always buy the no-deductible option, otherwise the insurance company only covers 80%, which is a raw deal. When buying insurance, consider your car's condition and the usual road conditions you drive on to make the right combination.
