What types of insurance should be purchased for a new car?
2 Answers
New cars require the following types of insurance: Compulsory Traffic Insurance: This is mandatory as required by the state. Commercial Insurance: (Third-party liability insurance, commonly purchased for most vehicles, covers compensation for bodily injury or property damage to third parties caused by accidental incidents involving the insured vehicle, as stipulated in the insurance contract. Vehicle Damage Insurance: Generally essential for new cars, as minor scratches are inevitable, helping to reduce personal repair costs. No-deductible Insurance: In the event of a traffic accident, the insurance company will cover the full cost. The above are the main types of insurance to purchase. There are many other types of commercial insurance available, which can be selected based on individual needs.
When buying insurance after purchasing a car, I believe comprehensive consideration is necessary. For a new car, compulsory traffic insurance comes first—it's legally required and provides basic coverage for third-party compensation in case of an accident. Then, vehicle damage insurance is crucial. If the car gets scratched or damaged, the insurance company will cover the repair costs, saving me from paying out of pocket. I recommend opting for a higher coverage amount for third-party liability insurance, such as 2 million or more. With so many luxury cars on the road nowadays, the cost of an accident could be devastating. Theft insurance is also worth it since new cars are more prone to theft. Lastly, passenger liability insurance is essential—it ensures timely medical assistance for injuries to family or friends in case of an accident. I’d also add a no-deductible clause to reduce out-of-pocket expenses. Spending a bit more overall brings peace of mind, as safety always comes first.
