What are the types of road insurance? What protection will my car have in the event of a fire or an accident on the road?
These are just some of the questions that arise when it comes to choosing one coverage or another for our car. A difficult choice in which two factors come into play: price and coverage.
In addition, it is important to point out that the vehicle must be covered by the Compulsory Civil Liability insurance. This coverage is required by law from the moment the car is registered in traffic.
And if you are thinking about insuring your new car or changing the type of coverage, we invite you to visit our road accident insurance page and contact us to get all the information you need.
As an introduction, in this post we will go deeper into what is included in each type of insurance, so that you can choose the best option. There are basically two types:
- third party insurance
- all-risk insurance.
More than likely these names ring a bell, but what does each one include?
Third party car insurance
This is the most basic or standard type of road insurance and is the one that all vehicles must have as a minimum to be able to circulate. As mentioned above, it includes compulsory civil liability insurance, which covers material and personal damages caused by the insured to third parties.
In most cases it usually has a complementary civil liability insurance that economically increases the basic one. As a summary, these are the coverages covered:
- Property damage to third parties
- Personal damages to third parties
- Roadside assistance
- Legal Defense
Extended third party insurance
This is a third party insurance but with extra coverage. It includes everything detailed above (material and personal damages to third parties, roadside assistance and legal defense) plus other coverages to be chosen by the insured party. Normally, insurance companies offer extended third party insurance that include a kind of “package” with:
- Fire insurance: this is a coverage in case of partial or total fire of the vehicle.
- Glass breakage: a very common problem that is included in this extended third party insurance.
- Theft: includes both theft of the vehicle itself and of objects inside the vehicle.
This “package” can be extended with other services such as, for example, the defense in traffic fines; as well as cynegetic, atmospheric, etc. In any case, it is not as complete as the second type of road insurance: comprehensive insurance.
Comprehensive insurance
From the minimum protection (third party), we have gone through the intermediate (extended third party), to reach the maximum coverage: the comprehensive insurance.
Obviously, it is a more expensive insurance than the previous ones, although it includes a wide protection that covers the damages suffered by our vehicle, as well as those of a possible implicated party. What else does it include?
- As the extended third party: glass, theft and fire
- Full vehicle coverage
- Stipulated indemnity in the event of total loss
- Legal defense
Fully comprehensive insurance can be contracted with or without excess:
Franchised
The deductible stipulates the price that the customer will pay for the total repair. That is to say, you know in advance the maximum cost you will assume for each blow, the company covering the rest.
Let us remember that each stroke is a franchise, which is one of the most common doubts.
Without franchise
Comprehensive insurance without excess is the most expensive solution, but also the most complete. The insurance company takes care of the total protection of the vehicle, regardless of the circumstances.
Finally, there are other classifications of insurance depending on the driver’s experience and the type of vehicle (for example, electric vehicles). In any case, remember that no matter which policy you take out, it is important that you let yourself be advised by your trusted professionals to include in your package the essential coverages that sometimes may not be specified as standard. Do not hesitate to contact us for advice on the car insurance that best suits your budget and your coverage needs.
PIB Group Iberia will make sure you find exactly what you need!
