What is Car
By John Mussi
Insurance is compulsory in the US and UK. You are required by law
to have a policy to cover your liability to other road users.
The Road Traffic
Act requires all motorists to be insured against their liability
for injuries to others (including passengers) and for damage to
other people's property resulting from use of a vehicle on a road
or other public place. It is an offence to drive your car or allow
others to drive it without insurance.
Owning and driving
a car means taking on many risks to yourself and others. When a
traffic accident happens, damage, injuries, loss or all of these
factors may be inflicted upon you and others. Damage and loss of
your property may also occur. Fire, theft, vandalism and natural
disasters are other possible risks.
protects motorists and drivers against liability in the event of
accidents they may cause. It can also provide cover for the motorist's
is what safeguards you against loss due to traffic accidents, thefts
or other reasons. Taking out car insurance is very important as
insurance is what secures you from economic loss or damages. In
case you do not have car insurance and you are involved in an accident,
in spite of who is at fault, you will be paying the compensation
concerned with damages. Car insurance is designed to protect yourself
and others against these risks.
types of cover are available, ranging from third party cover which
protects individuals against liability should they injure a third
party or cause damage to a third party's property, but does not
provide any cover for the individual's own vehicle or property,
through to comprehensive cover, which can offer protection for accidental
damage, theft, fire damage as well as liability towards third parties.
The minimum legal requirement for car insurance to drive in the
UK is Third Party Only,
is a contract between you and the insurer, specifying each party's
rights and obligations. Essentially the car insurance company promises
to provide specific coverage for you in return for your payment
of the car insurance premium.
It is vital
to know what your car insurance policy covers. It could be a complete
and comprehensive policy that covers you for all risks that might
be surrounding your car. The basic requirement is that in the event
of an accident, you are covered for the compensation that you may
have to pay for injury to other people and their vehicle. This is
an amount that could run into several thousands which will be covered
in the car insurance policy.
There are two
main types of car insurance policies available in the UK :
insurance covers the insured when driving on private property as
well as on public roads. This policy offers protection against legal
liabilities as well as covering third party claims.
insurance cover is the most popular form of cover, the most important
addition being accidental damage cover, where policyholders can
get their own vehicle repaired in case of damage. For people who
want to be covered against as many risks as possible, then comprehensive
policies is the solution.
You should read
your car insurance policy carefully to ensure it gives you the level
of cover you are seeking. There should be no small print or difficult
language in modern insurance policy documents. If you are unsure
about what the policy does or does not cover then just ask your
insurer or insurance adviser to explain.
Mussi is the founder of Direct Online Loans who help UK
homeowners find the best available loans via the http://www.directonlineloans.co.uk
more inspiration for your car insurance / auto insurance questions