AUTO INSURANCE QUOTE

Do you know there are different car insurance policies? If you’re in mood to purchase a new car or moving to a new area, this is a high time for you to get know about the different car insurance policies available to you….

Car insurance policy is nothing but a contract of insurance that describes the deductibles, premiums, coverage and terms. Premium is nothing but the amount paid by the individual to get coverage for his/her vehicle. The coverage includes various categories.

The car insurance policy is broadly classified into two categories viz., first-party liability and third-party liability insurance. The ‘first party’ is no other than the policyholder whereas the ‘second party’ is the insurer. The ‘third party’ is the person who met with an accident with the policyholder.

First Party Liability Insurance

This insurance envisages mainly the damages and repairs occurred to the policyholder and passengers accompanied with him. Medpay, uninsured/under-insured motorist, comprehensive coverage and collision coverage are few of the various types of first party coverage.

You may be in extremely beneficial side when you (policyholder) are not at fault but the other driver does not have resources to pay for the dents.

Third-party liability insurance

This covers all the aspects of the third-party, which includes bodily injury liability and property damage liability. This policy is extremely helpful to the policyholders if they get prosecution or an accident. This is an essential coverage to be offered to the vehicle.

If you’re a non-policy holder but frequently uses a car, it is highly advisable to take a liability insurance for the betterment of your livelihood.

Tags: car insurance policies, First Party Liability insurance, Third-party liability insurance

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