No vehicle can be registered in USA without car insurance. However, motor vehicle liability insurance only covers the damage caused to the other party in the event of an accident that is your fault. If there is damage to your own car, which is to be paid for by the insurance company, comprehensive insurance is required.
But which criteria should consumers attach particular importance to in their car insurance ? The following article explains it.
The Most Important Benefits of Car Insurance
Depending on the tariff and the provider, there can be major differences in the scope of the car insurance benefits. Of course, the amount of the monthly contribution costs always depends on which services are desired – but there are some that should not be waived under any circumstances. But what are the criteria for car insurance?
The Coverage Amount
What is important is the sum insured under motor vehicle liability insurance. If a small surcharge is accepted, the sum insured can be increased beyond the legally required minimum.
The amount of coverage should be at least 50 million euros, but a sum of 100 million euros is more advisable. Of course, such high losses are not the norm, but they cannot be ruled out either.
The Rental Car
Motor vehicle liability insurance can also include a rental car supplement. The legal sums insured for rental cars are very low in many foreign holiday regions, so it makes sense to increase the coverage for the rented vehicle with the help of your own motor vehicle liability insurance.
In addition, damage protection abroad is also possible. If the policyholder is then involved in an accident abroad through no fault of his own, the damage will be settled by his own insurance with the foreign insurance company.
The Gross Negligence
The gross negligence clause is of great importance in both fully comprehensive and partially comprehensive insurance.
If it is not available, the insurance company has the option of massively reducing or completely canceling its payments if the driver caused damage through gross negligence. Driving through a red traffic light, for example, is considered gross negligence.
The New Value Compensation
The clause on replacement value compensation is also an important point in fully comprehensive and partially comprehensive insurance. The value drops rapidly, especially with new cars – if an accident occurs relatively shortly after purchase, the insurance company will pay a much lower amount than the new value.
It makes sense to include a replacement value compensation period of twelve months in the insurance.
The Consequential Damage
In many cases, only direct damage is insured thanks to the simple tariffs of partial casco insurance.
However, if a marten bites through a hose, the associated consequential damage can far exceed the value of the hose, for example if the marten damage goes unnoticed and serious engine damage develops as a result. It is therefore essential to insure against consequential damage.
The Wildlife Accidents
In many tariffs, the insurance is only liable for accidents with wild animals in the partially comprehensive area if the animal is furred game. This includes wild boar, roe deer and deer.
However, car insurance would not step in if it was an accident involving a dog or a cow. It is therefore advisable to choose an insurance tariff that provides compensation for all animal accidents.
