Car insurance is the all-important safety measure for any vehicle owner who is hitting the road. While there are minimum requirements for drivers in Australia through compulsory third-party insurance, some drivers prefer to have more expansive protection.
That’s where comprehensive car insurance comes into play, offering more options to protect your vehicle and those who may be involved in an incident with you. While CTP, or green slip, protects you from financial liability in the event of a car accident, comprehensive coverage does so much more.
What does comprehensive insurance cover?
Many insurance companies offer comprehensive car insurance policies that are designed to provide expansive coverage for your vehicle and others, regardless of who is at fault, including coverage for:
- Accidental damage
- Malicious damage
- Theft
- Fire
- Hail
- Third-party damage
Some comprehensive car insurance policies provide collision coverage that will help to cover the cost of repairs for your car, as well as other cars involved. Policies may also allow you to submit a comprehensive claim for things like scratching your door or backing up into your mailbox as you leave your driveway. Some comprehensive car insurance coverage will even cover certain items inside your car, like a car seat, in the event of a collision.
What impacts the cost of comprehensive coverage?
There are several factors that insurers take into account when determining the cost of your monthly premium for car insurance coverage. One of the primary factors is a driver’s record on the road. Insurance companies consider drivers with little to no insurance claims a better risk, and they’re more apt to provide discounts to those drivers for continued safe habits behind the wheel.
Comprehensive insurance coverage can also be more costly for young drivers, as they’re considered more at risk to get into an accident because of limited experience. If you’re under 25, you’ll likely pay more for car insurance. However, you can save on insurance coverage by restricting drivers of a certain age under your auto insurance policy.
Your car insurance premium can also be impacted by what type of car you drive. Some types of new vehicle are considered less safe, and some more expensive to fix, leading insurers to account for repair costs or the car’s actual cash value when determining comprehensive coverage. If the car is used for services like Uber and Lyft, that can also impact premium, as well as where you park the vehicle at night.
What extras can I purchase?
While comprehensive auto insurance does provide a greater safety net than just green slip insurance, there are even more options made available by some insurers to protect your vehicle. Drivers can purchase windshield and window glass coverage that allows for the repair of any of your automobile’s glass without paying an excess. There is also roadside assistance, which some insurance policies may include, but will be able to help you with things like towing or dead batteries that strand you on the side of the road.
When it comes to filing a car insurance claim, it’s important to know how you’re protected under your insurance coverage. You may notice that filing a claim can be a headache, especially with a lack of understanding your insurance terms and conditions. A call center may be outsourcing work elsewhere, which can potentially delay how expeditiously your claim is handled and how soon you can be reimbursed for a collision or any accidental damage.
However, as an outsourcer, a car insurance company is easily accessible by phone call for any property damage, even in the anticipation of a total loss. This does give some insurers competitive advantage over others by having this asset for customers. Be sure to look at premiums and operation costs, as well as what an insurance policy entails, before locking in long-term for auto insurance protection.
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