When it comes in investing in a car, you should also know that it would come with some additional expenses. It can be very costly to maintain a car thanks its ever rising maintenance cost and this would certainly double or triple if the car you are riding is a sports or luxurious one. This is why investing in an auto insurance plan is one of the best actions you can take if you want to cover up for some expenses that might arise out of the blue. This article tells you how to claim car insurance for own damage so we encourage you to keep reading.
How To Claim Car Insurance For Own Damage
Purchasing a car is necessary in some parts of the world and compulsory in other parts of the world. This is why as a motorist, you need to be well informed that the basic car insurance would cover up for liability insurance alone. Therefore, it would not be able to cover for self damage car insurance claim. I guess you are a bit confused about this at the moment but first, let us tell you about liability insurance.
Liability insurance is basically the type of insurance which would pay for legal liabilities for a third party vehicle for damages caused by your own vehicle. This could either be loss of property or loss of life of the third party vehicle and even if the damages were happened to be caused by natural disasters like flood or even suffering accidents with your own vehicle, you would not be able to claim compensation because of liability insurance. This is where people realize the importance of own damage insurance.
However, there is need for you to go through your auto insurance policy again so you can ensure that your are covered adequately. You might be asking what own damage insurance is at this point and we would tell you. Own damage insurance is an optional form of insurance unlike other forms of liability insurance and if you are looking forward to claiming reimbursements for damages that your car has suffered as a result of natural disasters then you might want to consider buying own damage insurance in your auto policy.
These natural disasters could be flood, earthquakes and raging storm and the beauty of own damage car insurance is it would also cover up for man made disasters like terror attacks, riots, vandalism and also external accidents. Renewing your own damage insurance will help in avoiding bearing of unnecessary costs no matter if the damage done to your car is major or minor. However, one thing that you need to be careful of with own damage insurance is calculating its premiums.
This would require you to be very cautious as it usually has high premiums and when you intend renewing your insurance is when it actually becomes very high. This is why we always advice people to take the age of their car into consideration because it would play a great role in determining the amount that a motorist or car owner would pay as premium.
Standalone Damage Policy
Own damage policy can be found among standard motor insurance where OD and third party are already covered. Earlier, we talked about liability insurance being the only insurance that anyone can purchase separately but thanks to new advancement and features, you can now get the OD coverage separately. Based on your insurance needs, you can be able to pay for any of these coverage separately and in this context, the OD policy can also be referred to as the standalone damage policy.
Apart from OD and liability, having a comprehensive car policy would offer great coverage for you if you have been involved in accidents that has led to death or disability. Since you are aware of how valuable it is to purchase own damage auto insurance then ensure that you also invest in a comprehensive coverage as it would help in protecting your car from external risks.
Calculating Premium For Own Damage Insurance
There is however a strong possibility that car insurance would get costlier by the day and you should also expect own damage insurance premiums to rise as well. In near term, the possibility of witnessing a rise in premium can be waived off but if the third party premium stays low then this might be a possible. The insurance declared value of the vehicle is what is used in determining the own damage premium.