Vehicle Insurance is Insurance for cars, trucks, motorcycles, and other road vehicles. Its 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 them.
Vehicle Insurance may additionally offer financial protection against as theft of the vehicle, and against damage to the vehicle sustained from events other than traffic collisions, such as keying and damage sustained by colliding with stationary objects. The specific terms of vehicle insurance vary with legal regulations in each region.
There are three types of policy:
1) Third party
This is the minimum legal requirement and covers you for damage to someone else’s vehicle or property or injury to someone else in an accident. This includes accidents caused by your passenger. It doesn’t cover repairs to your own vehicle.
2) Third party, fire and theft
This includes third party and also covers damage or loss to your own car by fire or theft.
3) Comprehensive cover
This includes third party, fire and theft and repairs to your own car. Your policy may also cover:
- death or injury of yourself or a family member, up to a set amount
- cover for belongings stolen from your car
- cover for medical or legal expenses
- hiring a replacement vehicle.
For further specialist advice on vehicle insurance visit the Citizens Advice page which provides further detailed knowledge.