Vehicle
insurance is a written contract between two parties, the first is called the
insurer (usually the insurance company), and the second is the insured (the
owner of the vehicle), according to this contract the insurer is obliged to
limit the damage by compensating the insured for the damages that happen to his
vehicle, according to the damages covered by the contract and, in exchange for
financial installments paid by the insured, according to what is agreed upon
between the two parties (annually - monthly - semi-annually).
The benefits
of vehicle insurance are important matters for the following reasons:
-Feeling safe:
Car
insurance makes you feel safe because any damage gets in your way, especially
if the cause is out of your control such as accidents, fire or theft, God
forbid, it is covered and protected under the insurance contract. With that,
your anxiety disappears, and you are more confident in driving.
-Protecting individuals, it is divided into two parts:
Protection
from material losses, as a result of accidents.
Protection
of society from disputes between members, which may turn into quarrels, and the
use of force to restore rights, and may reach the courts; but with car
insurance, individuals will shorten these disputes among them as claims end
amicably in insurance offices.
-Health and physical protection:
The
insurance on your car will compensate you for your injury or the injury of the
passengers with you in the car, in the event of an accident, God forbid.
-Protection from natural disasters:
Where you
are compensated for any loss and damage that you may suffer as a result of
rain, torrential rain, storms or fire.
-It gives you alternative solutions to help you in your daily life:
In the event
that your car is damaged, the insurance gives you financial compensation for
renting a replacement car until your insured vehicle is repaired.
-It gives you the options you want, which are:
Compulsory insurance (against others):
It is a
compulsory insurance according to traffic regulations in a number of countries
in the world, so that the car owner insures his car against damages that may be
caused to others or their property by 100 percent as a result of an accident
resulting from your car - God forbid. This also includes a fine sponsorship
certificate document and any additional supplement (if any) provided that it
does not conflict or contravene the provisions contained in the policy, but it
does not include the vehicle of the insured or its owner and passengers, and
this type of insurance is also called (compulsory insurance), so the vehicle
owner is legally obligated To insure his vehicle in this type of insurance,
otherwise, he is punished to the extent of imprisonment if he refuses to do so.
But it has its downsides:
It is
limited to the vehicle of others, and does not cover any damages that occur to
the vehicle of the owner or its driver if it was the person who caused the
accident and he must bear the costs of these faults and damages.
full insurance:
It is
optional for the vehicle, if the vehicle owner wants to cover his vehicle with
full protection, then he resorted to the comprehensive contract to protect both
his vehicle and other vehicles, and its passengers, is an insurance program
that covers the loss or damage attached to the insured vehicle, including
additions (accessories) inside it as a result of any collision An emergency or
a coup due to a mechanical malfunction or due to malfunctions resulting from
prolonged use without maintenance, in addition to damages not caused by a car
accident, according to the terms and conditions mentioned in the document.
Its positives:
- It covers the risks of theft, fire, and others
- It is an optional vehicle insurance
- The insurance price depends mainly on the type of vehicle and its value
- It guarantees more benefits than compulsory insurance
- The coverage of the comprehensive insurance policy can be expanded to include damage to the insured vehicle for accidents occurring outside the Kingdom at an additional cost
- It provides optional additional coverage that grants a number of benefits that are not available in similar insurance programs