In general, car insurance covers you for damage to your vehicle or other people's property, and your personal liability if you injure someone or damage their property. However, many different factors can affect the level of cover you get, as well as the price you pay for your premium.
It's important to understand all of these before you choose a policy or make a claim to ensure you're getting the right level of cover for your needs. Here are some valuable questions to consider about vehicle insurance:
It is worth noting that minor problems with your car that are not caused by an accident may not be covered by insurance. You should regularly maintain your car to prevent these problems instead.
This could be a problem if the engine starts smoking while you're driving or if the engine won't start even when you rev the engine. Comprehensive car insurance covers many events, but most policies don’t cover mechanical, electrical or structural faults in the car.
If you’ve got a newer car and it’s within a warranty period, these issues may be covered. Or, if you’ve elected to include roadside assistance in your policy, some smaller mechanical issues can be addressed under this cover at the time of the breakdown.
If you are caught driving while under the influence of alcohol or drugs, your insurance company may not cover you for any damages or accidents that may occur. It is important to check with your insurance provider to see if there are any restrictions on what you can do while under the influence, as well as to make sure that you are aware of any prescription medications that you are taking that may affect your ability to drive.
This means that you should only have as many people in your car as there are seat belts and that you should not overload your vehicle or trailer beyond the legal limit. If you do, your car insurance may not cover any damages.
Be wary that if you don't have a valid driver's licence or your car's registration has expired, your car insurance may not cover you while driving. Be sure to keep track of these long-term registrations and renew them on time to avoid any lapse in coverage.
You need to pay your premium if you want to continue to be covered by your insurance policy. Insurance companies are required to provide at least 14 days' notice before your policy period ends so that you can renew it. Many providers may give you a heads-up well before this, and there are often options to set up automatic renewal. So, hopefully, you won't forget to pay your premium, as any claim made under a lapsed policy won't be valid.
As you can see, there are a few things you need to keep in mind when it comes to your car insurance policy. Make sure you understand the coverages and limits in your policy, and don't hesitate to ask your insurer any questions you have. It's also important to keep up with your payments, as a lapsed policy won't provide any coverage. By following these pieces of advice, you can help make sure you're always protected on the road.
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Disclaimer: As with any insurance, cover will be subject to the terms, conditions and exclusions contained in the policy document. The information contained on this webpage is general only and should not be relied upon as advice. The opinions expressed in the Blog are for general informational purposes only and are not intended to provide specific advice or recommendations for any individual or on any specific insurance product. It is only intended to provide education about the financial and insurance industry. The views reflected in the commentary are subject to change at any time without notice.
