Despite its often high cost especially for young drivers, car insurance is essential before driving a car. Moreover, the law provides that the owner does not have the authorization to register his vehicle as long as it is not insured.
The principle of auto insurance
To claim for compensation by your insurer, you must pay a sum of money on a monthly or annual basis.
In return, you benefit from a protection of your car insurance which will intervene to compensate the damage suffered in case of accident.
What criteria for evaluating auto insurance premiums?
The premiums of car insurance depend on several factors concerning the insured and vehicle as:
- Age of the insured
- How he uses his vehicle
- His antecedents of motorist
- The age of the car
- The value of the vehicle (sports, luxury, etc.)
- Its power
- The geographical area where the vehicle will circulate
- The new or used nature of the vehicle
- The extent of its coverage
- Optional guarantees
Moreover, the franchise is another element that is important in the calculation of car insurance . The higher the amount of the deductible, the lower the amount of insurance will be.
“If you travel a lot away from home, the assistance is certainly important”, says Stanislas Vittorio, general manager of Assurland.com.
Rather all-risk or third-party insurance?
In auto insurance, there are two main options: third party insurance or all risks .
The third-party insurance also known as civil liability is the mandatory minimum formula. It covers the driver in the event of an accident if there is material or physical damage to others.
“The third-party liability insurance underwritten with your car insurance includes third-party damages: caused by your fault, carelessness or negligence, committed by your children, if they live under your roof (the major children living under your roof are in principle also covered), caused by your vehicle.”
If you prefer to increase your coverage, you can opt for an all-risk auto insurance that offers more guarantees .The same covers seen previously are applied while adding here the assumption of the insured himself (the insurance also covers the damage caused to your car). Of course, in the case of an insurance against all risks, the cost of the monthly payments is higher than a third party insurance.
The basic auto formula
Depending on the contract, you can get legal assistance against possible legal action in the event of a responsible accident resulting in injury to a third party.
Some forms of auto insurance cover lost wages, medical expenses and funeral expenses. This protection is valid for both the driver and the passengers. It should be noted that the choice of the franchise is important insofar as it has a direct impact on the amount of the premium. In fact, a higher deductible result in a lower premium and, conversely, a lower deductible gives rise to a higher premium.