How Does A Car Insurance Policy Protect You From The Unexpected On The Roads?

Having a car is a real pleasure as you can easily commute to so many places. The enjoyment you get from it is something that cannot be obtained otherwise. It's a real pleasure to drive the hottest new car in the market. However, along with usage comes the risk of car travel.

How Does Car Insurance Mitigate Unexpected Expenses?

What would happen if you were to suddenly meet with an accident? You might be admitted to the hospital. Even if the accident is a small one and you incur minor injuries and repairs, still the cost will be heavy to bear, because of rising costs. Car insurance is your only aid under such circumstances. Here is a look at the top five ways in which car insurance helps you out:
It pays for repair expenses arising from damage to the vehicle due to accident
In case your vehicle is stolen it compensates for the loss
If your vehicle is damaged due to man-made disasters, it pays for the loss
In case natural disasters ruining the vehicle it compensates
If the vehicle's driver it suffers from permanent disability or loss of life, it pays for the losses

One of the key coverage that it offers is third party liability. Under third party car insurance coverage if your vehicle happens to hit another vehicle and causes damage to it or injury to the driver, the policy will pay for the losses incurred. It also pays out if your vehicle damages a third party property. Legal expenses arising when a third party sues for damages will also be settled by the policy. Only compensation from the policy will help offset such losses.


When taking a car insurance policy, do not just go in for the basic plan. Though it offers vital coverage, you might also want to consider additional benefits. These add-ons can increase your premium costs, but they offer excellent compensation under so many different circumstances. Opting for add-ons such as depreciation cover, medical treatment expenses cover, invoice price cover, loss key cover etc protects you against such risks and enables you to face them when they occur.

Car insurance is deemed mandated by the law, so you must have it before you take the vehicle on the roads. If you happen to use the vehicle, existing insurance can be transferred to the new owner. In case you are buying a new car to replace the old one, you can transfer it to the new vehicle. Car insurance is not expensive. You can easily afford a basic policy. Policy costs can be reduced by fitting an ARAI approved anti-theft device in the vehicle. It can also be reduced by making use of the no claim bonus.

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About the Author

Kirti Saxena

Kirti Saxena is a web enthusiast and a writer for different areas including insurance and banking and numerous other sectors.