For example, if your car is old and its market value is low, the Basic Third-Party Insurance is the best option. It meets the regulatory requirements at an affordable price, whilst offering important cover such as road assistance.
Do you know what the market value is?
On the other hand, if your vehicle is new and, therefore, has a high market value, it’s not within your interests to sacrifice cover and expose yourself to the risk of losing your car in the event of total loss. In this case, the Comprehensive (All Risk) Insurance is the best option, as it protects against damage to your vehicle, even if you’re responsible for the loss. Plus, you can adapt the price of the policy to your needs thanks to the excess.
Do you know what the excess is?
In insurance, the term excess means the amount that the policyholder is willing to pay to repair the damage caused to his or her vehicle following a loss, if this option is included in the policy. Taking out a car insurance policy with excess shares the risk between both parties, meaning that the premium will be significantly lower than the premium for a policy without excess, while ensuring that the cover included and scope of protection remain the same.