Insurance is for safety purpose. We don’t know when the emergency strikes. So the motor insurance is for personal as well as commercially used vehicles.
Is Motor Insurance Mandatory?
Whether the motor Insurance is mandatory or not it depends upon the location and the policy of the country too. From the view of risk management, it is better to do insurance than the compulsion. Most of the country makes compulsion to buy motor insurance before start driving.
Benefits of doing Motor Insurance?
Insurance provides the financial safety by providing the cost in the following conditions.
• Repair charges of the vehicles at the time of the accident.
• Medical treatment facilities.
• Lost wages due to injury.
• Damage repair charges of other vehicles in the accident done by you.
The level of Motor Insurance
The motor insurance has 3 levels. One the insurance party, second the insured vehicles and the third parties (That refers to vehicles and man). The gender, age of the vehicles, the classification of vehicles is the matters that determine the premium of the insurance.
What Motor Insurance does not cover?
If your car is damaged due the war you are responsible for that the insurance doesn’t take the risk neither it will provide you the insurance amount to you. Like that driving with drinking alcohol, failure of breakage, an accident outside of the geographical area etc is other matters that for which insurance companies don’t hold the risk.
Insurance premium differs from companies to companies
As the other insurance companies have different work areas same as the insurance do. The insurance premium differs from companies due to their work area, their facilities to the insurance holder etc.
Premium amount Determination factors
These are the factors they determine the premium amount of the insurance.
Make and Model of the Vehicle.
- Manufacture year of the vehicles
- Model of the vehicles.
- Registration place and date
- Current price of the vehicle after depression
- Whether the motor belongs to Individual or Corporate
Tips for buying Motor Insurance
Insurance is the must for the individuals as well as corporate but it seems little confusing. Whatever it is to be protective at the time you should carry also understand about these matters depending upon the vehicles you hold.
- Claim settlement
- Customer service
- Discount & Deductable percentage of the vehicles
- Other offers with Insurance.