Car Insurance Types:

The insurance industry has developed a wide variety of car insurance (auto insurance) polices to fulfill the diverse needs of the public. These policies can be divided into two main groups. Third party car insurance and Comprehensive car insurance these are detailed below:

Third Party Car Insurance:

Third party insurance offers coverage against legal liabilities and third party claims. Third part policy does not provide any cover for the owner’s (policyholder’s) car and property. Third party car insurance offers several different levels of protection:

• Third party – compulsory by law, provide coverage against injuries sustained by others in an accident by your automobile.
• Third Party property insurance gives coverage against damages inflected to the vehicle damaged by your vehicle.
• Third Party, fire and theft protect policy gives you the coverage against theft and/or fire damage to your car. Note that it does not compensate repair cost for your car if it is damaged in an accident /collision.

Comprehensive Car Insurance:

Comprehensive car insurance provides wider range of coverage to protect your interests. It covers you against damages to your car and theft. The comprehensive policy coverage includes:

• Damages to third party car and/or property
• Injuries to third party
• Damages to your car (non-collisions)
• Theft of your car