Your first car is a new lease on life. You have a newfound freedom, the freedom to just drive and go anywhere you like, anytime. It can be liberating, but sometimes our confidence on the roads can get the best of us and we find ourselves in the odd bingle.
Sometimes it’s nothing but a few small dents, but other road accidents can end in serious injury, damage and in the worst circumstance, even loss of life. We’ve all seen the confronting commercials, the roads can be a dangerous place. And for those without comprehensive insurance, it can also be expensive.
So what does your car insurance say about you? Are you a new driver using your parents’ car? Or maybe you’re a retiree enjoying your later years? Whichever end of the spectrum you sit, there’s an appropriate level of cover for you.
Comprehensive car insurance
As the name implies, comprehensive insurance covers you for damage caused to your vehicle or any damage you to cause to anyone elses property. The term ‘comprehensive’ is open to interpretation, and some insurers may have different definitions of what is specifically covered, so if in doubt – some quick research is well-advised when comparing insurance providers. Ultimately, the onus lies with you to make sure you have adequate cover for your situation.
Third party with fire and theft cover
This is third party insurance that includes cover for fire damage and theft of your vehicle. It also covers you for damage that you cause to someone’s property. For example, If you park your car in an unsecured location and catch the train into work, you could be leaving your car open to theft risk.
Third party property
Third party property covers damage you cause to someone else’s vehicle, however does not cover any damage done to your own vehicle. If you find yourself liable for damage you did to someone else’s car and you don’t have third party property insurance, then you could find yourself forking out your hard earned cash repairing a vintage Ferrari, making that transaction all the more painful. This is where a lot of people find themselves in trouble because they consider it unnecessary. As you might imagine, it’s not a desirable situation to find yourself!
Compulsory third party
First off, Compulsory Third Party (CTP) insurance essentially covers drivers against third party individual injuries or fatality as a result of a collision. In most states, this is automatically applied at the time of registration or renewal.
This may give you the impression of a safety net, but it’s important to remember this doesn’t actually provide cover for damage to your car or to other property in the case of an accident. The ONLY way to financially protect yourself and others is by taking out an appropriate level of insurance.
When it comes to Car Insurance, some of the elements that can affect your premium include the age of your vehicle, your vehicle type (make and model) and the manufacturer. Your personal details can also affect the premium you will pay, including the age of the driver, where the car is parked and the location and postcode. Taking all these things into consideration can help you find the right policy that helps you out in the best possible way. You might even find you’ll save a few bucks while you’re at it!
If you want to know exactly where you stand with a particular provider’s policy, reviewing the Product Disclosure Statement (PDS) is your best starting point. Luckily we make it easy for you to compare a range of comprehensive policies in the one place to save you searching far and wide.