What types of insurance are available for vehicles?
2 Answers
There are several types of insurance available for vehicles: 1. Compulsory Traffic Accident Liability Insurance (CTPL): A mandatory insurance required by the state. Failure to purchase CTPL may result in the vehicle being impounded by traffic authorities and a fine of twice the insurance premium. 2. Third-party Liability Insurance: This commercial insurance covers compensation for bodily injury or property damage caused to third parties (excluding passengers in the insured vehicle) due to the policyholder's fault in an accident. 3. Vehicle Damage Insurance: Covers losses to the insured vehicle caused by natural disasters (excluding earthquakes) or accidents within the scope of insurance liability. 4. Theft and Robbery Insurance: Compensates for the loss of the entire vehicle due to theft or robbery. 5. Passenger Liability Insurance: Covers medical expenses for passengers injured in an accident involving the insured vehicle. 6. Spontaneous Combustion Insurance: Covers losses caused by the insured vehicle catching fire due to electrical faults, fuel system failures, or cargo combustion. 7. No-deductible Insurance: Allows the policyholder to receive full compensation without any deductible for claims under Vehicle Damage or Third-party Liability Insurance. 8. Glass Breakage Insurance: Covers the cost of repairing or replacing glass that is broken or shattered while the vehicle is parked or in use, provided no other parts of the vehicle are damaged.
When I bought my car, I carefully researched the types of insurance. The most basic is compulsory traffic insurance, which every vehicle must purchase as mandated by the state, mainly used to compensate for injuries or damages to others. There's also third-party liability insurance, with optional coverage amounts, so if I accidentally hit someone while driving, this money can cover medical expenses or property damage. Vehicle damage insurance covers my car's repair costs, meaning I pay less out of pocket for minor scratches or dents. Theft insurance is very useful if living in a high-theft area, protecting against the loss of the entire car value if stolen. Glass insurance saves money on separate glass repairs, especially since road debris can easily shatter it. Seat insurance protects passengers' safety inside the car, making it a must for long trips. I also added a no-deductible insurance, reducing my out-of-pocket expenses when making a claim. Combining these insurances makes daily driving much more reassuring.
