What Types of Insurance Does Compulsory Traffic Insurance Cover?
1 Answers
Compulsory traffic insurance for vehicles does not differentiate between types of coverage; it is a mandatory insurance system stipulated by national law. Below is relevant information about motor vehicle insurance: 1. Definition of Motor Vehicle Insurance: Motor vehicle insurance, also known as auto insurance (abbreviated as car insurance), refers to a type of commercial insurance that covers liability for personal injury, death, or property damage caused by natural disasters or accidents involving motor vehicles. 2. Development of Motor Vehicle Insurance: The true development of motor vehicle insurance occurred after World War II. On one hand, the widespread use of automobiles made road accidents a common social hazard. On the other hand, many countries included third-party liability insurance for various motor vehicles, including cars, within the scope of compulsory insurance. As a result, motor vehicle insurance has become a universally significant insurance business worldwide.