VEHICLE INSURANCE
There are essentially three types of car insurance:
- Third party insurance,
- Third party fire and theft, and
- Comprehensive insurance.
Third party insurance is the most basic and the cheapest form of vehicle insurance. It does not cover damage to your vehicle, but it covers the damage you do to another vehicle. You will be expected to pay for the repairs to your vehicle An exception to this is where you can prove the accident was not your fault.
Third party fire and theft is third party protection, but also covers you should the vehicle be damaged in a fire or if it is stolen.
Comprehensive insurance protects the policy holder against all types of damage. It is the broadest cover available covering, third party, fire and theft and accidental damage to your car irrespective of who is at fault.
What level of cover you choose, is your decision. In other words, you are managing risk; the risk of being involved in an accident and if so, how will the repairs be managed and paid for.
The most common insurance is, comprehensive.