What types of vehicle insurance need to be purchased?
4 Answers
New vehicles require the following insurance policies: 1. Compulsory Traffic Accident Liability Insurance: It is a mandatory insurance that must be purchased for motor vehicles. The insurance company compensates for personal injury, death, and property damage caused to victims (excluding passengers in the insured vehicle) in road traffic accidents within the liability limits. Simply put, it is a 'compulsory third-party liability insurance'. This insurance cannot be casually lapsed, as doing so would be illegal. 2. Third-Party Liability Insurance: Abbreviated as 'TPL', it refers to compensation provided by the insurance company when the insured or their permitted qualified driver causes accidental harm to a third party, resulting in personal injury, death, or direct property damage during vehicle use. The compensation limit for TPL is chosen by the insured, typically ranging from 50,000, 100,000, 150,000, 200,000, 300,000, 500,000 to 1,000,000, mainly supplementing the shortcomings of the compulsory insurance. 3. Vehicle Damage Insurance: This insurance covers the loss of the insured vehicle due to natural disasters (excluding earthquakes) or accidents within the scope of insurance liability. The insurer compensates according to the provisions of the insurance contract, which is the opposite of third-party liability insurance.
When it comes to car insurance, I think safety should be the top priority. Compulsory traffic insurance is a must—you can't even hit the road without it. It covers medical expenses if you hit someone, providing at least a basic safety net. Then, third-party liability insurance is highly recommended, especially in cities with heavy traffic. If an accident happens, it covers the other party's vehicle damage and personal injuries, so opting for higher coverage brings peace of mind. Vehicle damage insurance is also practical—it covers repairs if your own car is damaged, which is especially important for new cars. Theft insurance depends on your location; if your neighborhood is safe, you might skip it. Oh, and glass insurance and water damage insurance are add-ons—consider them if you live in a rainy area. More expensive doesn’t always mean better; choose a reliable company and regularly check if your coverage is sufficient. Don’t wait until an accident happens to regret it. I drive carefully myself, but having these insurances gives me a lot of reassurance.
When it comes to which car insurance to buy, let me share some money-saving tips. Compulsory traffic insurance is mandatory by law, with no choice. For commercial insurance, opt for higher third-party liability coverage to protect your wallet from others' losses. Vehicle damage insurance depends on your car's value; older cars can reduce coverage to save money. Setting a higher deductible can lower premiums, but ensure you have backup funds. Additional coverage like scratch or water damage insurance isn't essential—assess risks and local weather. I recommend comparing options online for discounts and avoiding small companies to prevent claim difficulties. Don't forget to review changes at annual renewal; fewer accidents can lower premiums. This approach has saved me a lot over the years.
When buying a car for the first time, I pondered how to purchase insurance. Compulsory traffic insurance is a must—it's mandatory. Getting an additional third-party liability insurance is safer, just in case you hit someone and need to handle it. For car damage insurance, it's worth buying if the new car is expensive; for used cars, it depends. Other options like theft or glass insurance—listen to friends' advice or check vehicle forums for experience. Don't be too stingy with coverage; just make sure it's enough to cover accidents. For new drivers like me starting out, the insurance process is simple: choose a few companies with quick quotes and place an order on your phone. Remember to pay on time and don't delay to avoid issues.
