Auto Insurance - Types of Auto Insurance Coverage
Having a car is a big responsibility. One needs to take care of it always, have it for a regular machine check and everything needed in order for it to be safely used. However, if one does his responsibility of owning a car, there are still unwanted traffic accidents on the road. That is because as our population grows more and more are driving cars. To be prepared of these unwanted accidents, it is best for a car owner to have auto insurance. The insurance will make sure that every penny shall be paid for all the damages inflicted on people and property. There are different types of auto insurance coverage a car owner can choose. The types of auto insurance are as follows: Fully Comprehensive Insurance - This type of insurance is considered as one of the most expensive auto insurance there is. However, it is also the most common type of insurance a car owner usually applies for. This will basically cover all unwanted incidents that may happen to a car, from theft to being involved in an accident. The best thing about having this type of insurance is there is no more need to show the evidence of "fault" of the accident. Whether there is evidence or not, one can still claim the insurance. In the case of a car being stolen, it is a must to read the insurance policy as most auto insurance company only covers eighty percent of the whole amount. Fire, theft and third party - This insurance is also popular to car owners who have already paid for their auto loan. Somehow it can be viewed as full coverage because one can claim the insurance in case the car caught fire or have been stolen. However, in the case of traffic accidents, the company will only pay if you are at fault of the accident and there is another car involved. Therefore, when ones' car hit a wall or has lost its brake and fell down a ravine, the insurance company is not held liable for payment. Third party insurance - This is the cheapest auto insurance that is offered in every auto insurance company. This type of insurance only covers specific types of accidents such as collision with another car wherein the accident is found to be your fault. This is usually the choice of owners who have a car that is quite old and has of little value. It is best to insure the car in order to be prepared in case accidents happens. Some may be very expensive but having the car insured will show that the owner is responsible and has the sense of accountability.