Car Insurance: How to Choose for Your Car?
Choosing car insurance varies according to the personal needs of each and the state and age of the car especially, as well as the economic capacity of each individual. You must distinguish between two main types of insurance: third party insurance and liability insurance.
The third party insurance is the most used, and covers the material and physical damage caused to third parties, but does not cover these same damage on insurance beneficiary or on your vehicle. Note that this type of insurance, you can incorporate additional coverage, such as theft or roadside assistance.
The all risks insurance provides greater coverage than before, but its price is higher and includes the same coverage that the third party insurance, plus other coverage, such as roadside assistance or replacement vehicle and damage coverage, among others.
When choosing this type of insurance for the car you have to take into account the franchise, which is a fixed amount to be paid in each car repair, but it makes the price of insurance down. The amount of the excess tends to vary between 400 USD (300 Euros) and 1000 USD (800 euros).
READ also: Save money on car rental with a few smart tips
Choosing the third party insurance is recommended for vehicles with eight or more years, where maintenance costs are significantly higher, and in case of accident, there is a high probability that the vehicle be given total loss and will low compensation to the owner, so it is recommended one basic insurance for such cars.
It is also recommended to choose this type of insurance for cars from the four years, because even though the vehicle is still in good condition, the economy is resentful because it begins to spend more for the workshop, ITV begins to pay for what if you have had during the first four years all risk insurance is a reasonable safe mode change to third.
All risk insurance is recommended for new or high end cars, although impacts on the economy, especially suitable in case of loss, so you can be the loss of the car cover, and especially to make the payments, if it is funded.