Which types of car insurance can be purchased?
4 Answers
Car insurance must include compulsory traffic insurance, third-party liability insurance, vehicle damage insurance, theft insurance, passenger liability insurance, scratch insurance, spontaneous combustion insurance, and water damage insurance. Compulsory traffic insurance is mandatory in China and must be purchased for all vehicles. Relevant information about compulsory traffic insurance is as follows: 1. Introduction: The full name of compulsory traffic insurance is "Compulsory Traffic Accident Liability Insurance for Motor Vehicles." It is a mandatory liability insurance where the insurance company compensates for personal injuries, deaths, and property losses (excluding the vehicle's occupants and the insured) caused by road traffic accidents involving the insured vehicle within the liability limits. 2. Necessity: Compulsory traffic insurance ensures compensation for victims of motor vehicle road traffic accidents and promotes road traffic safety. It provides timely and basic protection for victims of traffic accidents.
When it comes to choosing car insurance, I think we should start with mandatory and optional coverage. First, compulsory traffic insurance is legally required—it covers third-party bodily injury and property damage, providing basic liability protection in case of accidents. For commercial insurance, the most essential ones are third-party liability insurance and vehicle damage insurance. The former covers high compensation costs for others (handling luxury car collisions in urban areas), while the latter covers repairs for your own car without financial stress. Passenger liability insurance is also worth adding to protect occupants. Many optional coverages exist, like theft insurance against car theft, standalone glass breakage insurance for shattered windows, and water ingress insurance for rainy seasons. Last time, I added a zero-deductible endorsement—no out-of-pocket costs after accidents, which was hassle-free. In short, don’t over-insure; pick the right combo based on your driving frequency and regional risks.
I've driven quite a few cars and realized that the core of insurance is to protect the key parts. Compulsory traffic insurance is fundamental and indispensable, covering third-party liability. Among commercial insurances, I highly recommend third-party liability insurance and vehicle damage insurance. The former should have higher coverage, say over 500,000 yuan, to avoid being unable to afford responsibility in major accidents; the latter makes it easier to repair your own car. Passenger liability insurance is also important, especially when traveling with family. Optional insurances like theft insurance can be skipped if parking in secure areas, but glass insurance is worthwhile if you frequently drive on highways. Water damage insurance is practical in rainy regions, while scratch insurance is worth considering for new car owners. My advice is not to over-insure but to assess based on actual usage, ensuring adequate coverage for peace of mind on the road.
General car insurance options include compulsory traffic insurance, which is mandatory. Commercial insurance options include vehicle damage insurance to cover your own car repairs, third-party liability insurance to cover compensation for hitting someone, and passenger liability insurance to protect passengers. Additional options like theft insurance guard against car theft, glass insurance covers broken glass, and water damage insurance protects against floods. Beginners should start with third-party liability insurance and vehicle damage insurance to ensure adequate coverage without wasting money.
