Most car owners and future owners are always asking a certain question. Is car insurance required?
The answer to this question is that, car insurance is required in various countries. The law requires car owners to obtain car insurance before they hit the road.
Well, it makes sense because it will safeguard you in the event of any unanticipated occurrences. But what do car insurance companies do? What is direct insurance or what’s the main focus of car insurance?
First What is the Focus of Car Insurance and what do car insurance companies do ?
Since we are talking about car insurance let’s have a better understanding of how car insurance works and the direct focus of car insurance. First and foremost auto insurance is an example of general insurance. General insurance provides cover to other asset’s in a human life.
Second this kind of insurance differs from state to state / country to country. When it comes to protecting your vehicle, you can choose between private or public car insurance. Lastly car insurance is here to protect you either as an owner or driver.
But how can I acquire good car insurance ? What is the best car insurance for me ? If you are planning to acquire car insurance these questions are the common questions people usually asks. First thing first, in order to obtain a good car insurance you must compare different policies and companies first. You can click here to learn more about comparing auto insurance.
Understanding car insurance and how it works is a good idea, in order to determine what type of insurance you really need. Now let’s have a better understanding of how it really works and what’s the focus of car insurance.
Direct Focus of Car Insurance
The direct focus of car insurance is to protect you against unexpected loss in the event like accident or theft. You need to pay a premium in exchange the car insurance company will pay your losses as stated in the policy you have.
Also the Auto / Car Insurance companies provide coverages for the following:
- Liability – Legal responsibility to others for property damage or injury.
- Comprehensive – theft or damage to your car.
- Medical – medical expenses such as cost of treating injuries, rehab or sometimes funeral expenses.
In order to customize your coverage that suits your budget and exact need, car insurance coverages have an individual price. Policies are renewable, the company will send a notice once it’s already time to renew your policy or pay your premium.
How the direct focus of car insurance works ?
Monthly Premium depends on the coverage you customize. Here’s an important note when you get into wreck, there’s a thing they called deductible. It is the amount that you need to pay before your insurance starts paying the damage.
Let’s say $4,000 is the total amount of the wreck, and the deductible is $1,000, it means that you need to pay the first thousand dollars before the company will pay the remaining three thousand.
Here’s a scenario if you wreck your car:
First step is to get yourself and your car out off the road and into the safe place (if possible), but if you cannot move your car leave it there and make sure you get out of the dangerous situations. The Car insurance companies will accompany you and will pay a tow truck to get your car.
Second always remember do not offer any apologies for what just happen or the cause of the wreck. It can be use against you in the future especially in legal proceedings.
Third step is to call a police officer even if no one is hurt. If there’s real damage, insurance companies will soon do a battle. Calling 911 is a good idea and law enforcement recommend calling after a car crash especially if someone gets an injury from the crash.
Fourth step, gather the other driver’s info and your own. Write down the things needed if you’ve called the police (Phone number, badge number, their name, and request a copy of the police report). Having this kind of info will save you from lot of headaches.
Lastly, File a claim after the scene is cleared. Give your insurance company an immediate call to start the claiming process. The insurance card you possessed should have a phone number on the back and your agent should call you within a business day to help you with the claim. The agent will also help you in every step.