What types of insurance are mandatory for private cars?
2 Answers
The following four types of auto insurance are mandatory: 1. Compulsory Traffic Accident Liability Insurance: Car owners must purchase compulsory traffic accident liability insurance. Without it, vehicles cannot be driven on the road. If caught by traffic police without this insurance, the vehicle will be impounded, and the owner will be fined double the premium. The insurance must be purchased immediately to resume driving. Additionally, new cars cannot be registered without this insurance. 2. Vehicle Damage Insurance: Vehicle damage insurance covers damage to the insured vehicle caused by an accident while being driven by the policyholder or an authorized driver. The insurance company will compensate within reasonable limits. 3. Third-Party Liability Insurance: Third-party liability insurance supplements compulsory traffic accident liability insurance. It primarily covers bodily injury and property damage to third parties involved in a traffic accident. Third parties refer to anything other than the insured vehicle, including other motor vehicles, non-motor vehicles, people, animals, and road traffic facilities. 4. No-Deductible Insurance: In the event of a traffic accident, most auto insurance policies have a certain deductible rate unless the policyholder is not at fault. The higher the liability, the higher the deductible rate, meaning the policyholder must pay out of pocket for this portion. However, with no-deductible insurance, this cost can be transferred to the insurance company, which will cover the full amount. Therefore, no-deductible insurance is highly practical and strongly recommended.
Well, as a veteran driver with decades of experience, I must emphasize that private car insurance is not something to be taken lightly. Compulsory traffic insurance is absolutely mandatory—it's a state-regulated requirement, and you can't hit the road without it. If caught without it, you'll face fines and penalty points. Additionally, third-party liability insurance is essential. When I was younger, I was involved in an accident and had to pay a huge sum in compensation—fortunately, I had this coverage and avoided bankruptcy. Comprehensive insurance is also worth considering, especially for older cars where repairs can be costly. Spending a little extra for peace of mind is wise. Passenger liability insurance is great for protecting your family, so don’t skimp on this small expense. Overall, safety comes first when driving—these insurances are your safety net. Don’t wait until an accident happens to regret it. With so many vehicles and accidents in cities today, saving money on car maintenance isn’t as important as protecting lives.
