Auto insurance (or vehicle insurance, car insurance, motor insurance ) is purchased by consumers for four-wheeler vehicles to ensure protection against losses incurred due to traffic accidents, theft, fire damage, and other factors.
Insurance of auto or vehicle is a mandatory rule to be followed in countries like the United States, South Africa, India, and others. Auto insurance can cover the insured party, the insured vehicle, as well as third parties.
The insurance premium can be mandated either by the government or by the insurance company (in accordance to regulations set by the government). The premium can vary depending on diverse factors which could affect the expected price of future claims, including:
vehicle characteristics
nature of the coverage selected
profile of the driver (like age, gender, driving history, etc.)
nature of usage of the car
Types of Coverage of Auto Insurance:
Liability insurance covering claims against the policy holder and any other operator of the insured's vehicle provided they do not live at the same residence. It can be of two types: combined single limit and split limits liability coverage
Collision coverage protecting an insured's vehicle that is involved in an accident. It either pays to repair the damaged vehicle, or pays the cash value of the vehicle if it is beyond repair
Comprehensive coverage guards an insured's vehicle that is damaged by non-accidental incidents such as: theft or attempted theft, vandalism, weather, and so on
Uninsured/Underinsured coverage protects if another responsible party (for a mishap) has less or inadequate insurance
Loss of Use coverage provides reimbursement for rental expenses associated with repairing an insured vehicle
Car towing coverage provides road-side assistance (usually in the form of a tow) for undriveable vehicles (due to running out of gas, mechanical breakdown, etc.)
Motorcycle Insurance:
Auto insurance can also include motorcycle (and other forms of two-wheelers insurance). Briefly, there are various types of motorcycle insurance policy:
Insurance which specifically cover the rider (it allows one to ride any motorcycle up to a particular size)
Insurance specifically insuring a certain bike, and not the rider
Third party only insurance (in case someone other than the insured and the insurer is involved in a case accident leading to damage of the insured's vehicle)
Third party fire and theft insurance
Comprehensive insurance (covering third party, fire and theft insurance plus damage caused)
Some motorcycle insurance agencies are:
Bennetts Motorcycle Insurance
Budget Motorcycle Insurance
ICICI Lombard
Devitt Motorcycle Insurance
Direct Choice Motorcycle Insurance
Commercial Auto Insurance:
Insuring commercial/company vehicles is as important as insuring personal vehicle. For insuring commercial vehicles (business-use autos, pickups, vans, trucks and non-owned and rented vehicles), one needs to have different commercial vehicle insurance other the personal vehicle insurance. There is variety of commercial auto insurance coverage to choose from. Some of the commercial vehicle insurance agents are:
AA Commercial Vehicle insurance
Eagle Star Commercial vehicle Insurance
Swinton Commercial Vehicle Insurance
Cornhill Direct Commercial Vehicle Insurance
Gladiator Commercial Vehicle Insurance
Laws of Vehicle Insurance Coverage in Various Countries:
Brazil - Coverage includes the insured and any licensed individual driving with the insured's permission (Passengers are regarded as Third Parties)
China - All foreign owned vehicles must be insured with the PICC (People's Insurance Company of China)
The UK - Coverage includes the insured and any licensed individual driving with the insured's permission (Passengers are regarded as Third Parties)
India - Coverage includes insured and any licensed individual driving with the insured's permission. Passengers are normally not considered Third Parties except if traveling by public transport vehicles
For more information, please explore the following links:
Commercial vehicle Insurance
Car Insurance
Motorcycle Insurance
For more information on Auto Insurance, please refer to www.mapsofworld.com .
