Auto insurance is the all-important safety net for drivers to have behind the wheel. When looking at the insurance options that are available to you behind the wheel, you want to be sure to have an understanding of the coverage you’re buying.
There is a litany of insurance providers with lines of third-party insurance of varying degrees of coverage. As you get ready to look into some car insurance quotes, let’s take a look at what each of these coverage options from an auto insurer may include.
Compulsory Third-Party Insurance
When looking at third party car insurance options, the bare minimum of coverage that drivers across Australia are legally required to have is compulsory third-party insurance. Also known as CTP or green slip, this insurance policy is designed to help provide compensation for people killed or injured in a car accident. Without it, drivers could end up being on the hooks for tens of thousands of dollars in damages and medical expenses from a crash.
Green slip insurance covers all injured parties in a road accident, regardless of who is at fault. Most CTP insurance policies will allow for claims up to six months for a percentage of your pr-injury weekly income if forced to miss work. An insurance company will also cover any necessary treatment or rehabilitation expenses, as well as possible at-home support services needed during your recovery.
Comprehensive Third-Party Coverage
Comprehensive insurance covers the cost of repairs to your vehicle in the event of accidental or malicious damage, as well as third-party damage – regardless of who is at fault. If you’re involved in a collision, comprehensive third-party coverage will cover repairs. A comprehensive insurance policy will also cover mishaps that impact your automobile that isn’t related to another car, such as scratching your door.
This will also protect your car from weather damage brought on by storms, hail, and other elements. Comprehensive coverage can also come with extras for purchase, such as windshield and window glass protection or roadside assistance. You can even opt for a hire car extra to give you a temporary vehicle while your insured vehicle is fixed.
Third-Party Property Insurance
Third-party property insurance typically covers other people’s property damaged by the insured driver in a car accident. There are limits on how much can be claimed under this policy, and it is a great safety net to have to cover what could be a significant financial burden. However, third-party property coverage doesn’t usually cover damage to your own car in a wreck. Some insurers may provide additional cover for you in the event of a car accident that is not your fault.
In the event of an accident, you may find yourself looking for a new vehicle. You may want to look into wrecked cars for sale, cars that have suffered damage but still have the ability to run. You can even salvage parts for your cars, trucks, and vans can even help to repair your current ride if the return on a claim is not enough to fully fund repairs or pursue a new car.
Third-Party Fire & Theft Coverage
A third-party fire and theft policy will cover your car for claims if your auto is stolen or catches fire. It will also cover an insured customer for any damage done to other people’s property. It will not cover car accident damage. You can opt for different levels of excess beyond the minimum coverage of a third-party fire and theft insurance policy. You’ll pay more for a third-party claim, but insurance premiums will be lower.
If you have family members under your car insurance, this policy is recommended, especially if you have younger drivers who do not have an extensive driving record. This will provide the collision coverage and then some needed to assure some peace of mind.