What Is Car Insurance
Vehicle insurance also known as car insurance motor insurance or auto insurance is insurance for cars trucks motorcycles and other road vehiclesits primary use is to provide financial protection against physical damage or bodily injury resulting from traffic collisions and against liability that could also arise from incidents in a vehicle.
What is car insurance. Insurance companies consider many factors when setting car insurance premiums. Plpd stands for personal liability and property damage but knowing what it stands for and knowing why its important are two very different things. Vehicle insurance may additionally offer. Some excesses such as the basic or standard excess will apply whenever you make a claim.
As a responsible driver you will no doubt be aware that having insurance for your vehicle is mandatory but due to the terminology used by insurers you may not have a complete understanding as to what exactly it is and why you need it. Car insurance policies have many types of excesses that can apply in different situations. Car insurance find answers to your car insurance questions including what policy is right for you insurance rules and pricing. A car insurance excess is the amount you pay when you want to make a claim.
Every insurers goal is to balance the amount it charges you with how likely you are to require an insurance payout. A commonly abbreviated car insurance term is plpd. Car insurance is a legal requirement. Understanding this coverage type will help you navigate your own insurance decisions keep you knowledgeable about what is covered in.
Comprehensive and collision each offer coverage for physical damage which comes with a lot of rules regarding what is covered and what. Car insurance can pay to repair your vehicle after an accident depending on what coverage you select. Excesses mainly exist to deter people from claiming really small damages or claiming things too often. Personal auto insurance will also not provide coverage if you use your car to provide transportation to others through a ride sharing service such as uber or lyft.
For example a 16 year old boy in a brand new sports car will pay much higher insurance premiums than a 40 year old woman in a station wagon. Car insurance is for physical damage repairs. What you need to know about insuring your car. Get important information on how to save money while getting the.