 Shopping around for the best insurance
deal can save you money. Remember insurance will be more
costly for cars bought on credit, modified cars or sports
cars.
The Compulsory Transport Injury Insurance (CTP) is paid when you register your
car. It covers you or anyone else for death or injury if your car is involved
in an accident. But it doesn't cover you for damages to your car or anyone
else's.
There are various types of car insurance
and each offers different features.
Comprehensive Insurance.
This type of policy offers you the greatest protection. It covers you against
fire and theft as well as damage to your car, other cars and property. If your
car is under finance comprehensive insurance will likely be compulsory. Claims
are usually subject to an excess which will be higher for drivers under 25.
Third Party Property, Fire and Theft.
Covers you against accidental damage to other cars or property if you cause
an accident. Your car isn't covered for damages but you're still covered against
fire or theft.
Third Party Property.
Covers you against damages caused to other cars and property. This insurance
doesn't give you any protection for your car.
When purchasing insurance ask for no fault
insurance cover. This type of cover will protect your no
claim bonus in the event of an accident where you can prove
that you were not at fault.
Whatever type of policy you choose be sure to check the following:
- Driver(s). Those who are allowed to drive your car
under the policy.
- Policy excess. What you pay every time you make a claim.
The excess may be related to the age of the driver or
it may be a standard amount.
- Vehicle value. What you will be paid if your vehicle
is written off or stolen and never recovered. Is your
vehicle insured for market value or an agreed fixed amount?
- Exclusions. Check what is excluded from the coverage.
Policy cancellation or claim refusal.
Your policy may be cancelled or your claim refused
if:
- You're involved in an accident
and you were under the influence of drugs or alcohol.
- You don't list the following
in the Duty of Disclosure section:
· modifications to your car.
· previous accidents.
· prior driving convictions.
· personal disabilities.
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