It is crucial to select your car insurance carefully, because the damage to the car is covered by the insurance company. In the case of at-fault accidents, reimbursement by the insurer is limited to the benefits taken out by the insured. Thus, those who subscribe to third party insurance and who caused the accident will not be compensated for the damage suffered by the car.
Different types of car insurance contracts
Car insurance is divided into 3 distinct categories: the civil liability contract, which is the only compulsory option. This type of contract covers material or bodily damage caused to others during an accident. Also known as third party car insurance, this formula is considered the cheapest. The enhanced intermediate or third party car insurance contract may include other contracts in addition to bodily injury suffered by the driver in an accident for which he or she is deemed at fault or not. The options differ according to the insurance company, which includes: fire, natural disasters, legal protection, home repairs, glass breakage, theft, etc. As its name suggests, the all-risk policy covers all damages caused when you are at fault or not for an accident.
Choosing your car insurance when you are a novice driver
The assessment of the amount of the annual contribution for car insurance varies according to the driver’s profile. Thus, the novice driver does not pay the same premium. The higher risks for young drivers have an impact on the cost of the annual contribution. There is a 100% increase on the basic formula in the first year, 50% in the second and third year, and more than 25% in the second and third year. Young drivers who have completed the accompanied driving course have a 50% premium surcharge in the first year and 25% in the second year.
Car insurance for senior, malicious or terminated
Senior citizens must review the terms of their insurance contract. They can reduce the amount of coverage by removing the coverage for the home-to-work commute. Seniors can also include a guarantee of assistance when travelling long distances. As for the elderly at home, they will be able to save money by limiting the benefits of their insurance contract. Malformed or terminated drivers will have to compare offers in order to reduce the impact of the penalty. Some companies offer specific packages adapted to cancel or highly malformed drivers. The malus information will be transferred to the new contract at the time of subscription.