Motor Vehicle Insurance | Comprehensive, Third Party

There are two main covers for motor vehicle insurance:

Comprehensive insurance which covers you for damage to your vehicle and also the third party.
Third party insurance is cover protecting you the vehicle owner should you be involved in an incident that is your fault. This cover will pay the cost of the third parties damages.

Why do I need car insurance?

If you have a car, it makes sense to protect yourself against unexpected costs with car insurance. If your vehicle is leased or under any finance at all your financier will insist you carry comprehensive car insurance. Accidents can be costly – especially when you’re at fault. If your car is involved in an accident you caused, you’ll not only have the expense of repairing your own car – you’ll generally have to pay for damage to the other vehicle too.

I’m a great driver and have never had an accident, why should I buy car insurance?

Unfortunately, not everyone is a great driver. You might be involved in an accident that wasn’t your fault and the third party should pay for the damage. What if they are not insured and not in a financial situation to pay for your damages. You’re on your own to wear the cost of your repairs if you do not have a suitable insurance policy.

What happens if my car is stolen or damaged and I need it for my business or to transport my family?

Comprehensive car insurance will usually provide cover for you to hire a car for a period of time as a result of your vehicle being stolen. Most comprehensive motor vehicle insurance policies give you the option to extend cover to hire a vehicle whilst the vehicle is being repaired in the event of an accident. Speak to your broker to make sure you have that cover if required.

What happens if my young son or daughter have just obtained their license? They won’t be able to drive my car will they?

No that’s not necessarily the case. Upon advising your broker they will be able to arrange to have your son noted on the policy as a driver. An additional premium will be charged, however at least they are covered and are now building up a No Claim Bonus of their own. Age and inexperienced driver excesses do apply, but it is worthwhile knowing that if an accident occurred the car is covered.