Thursday, November 24, 2011

What Car Insurance Products are Mandatory

Car insurance is used by millions of people around the world, as a way to protect themselves and their vehicles in the case of an accident or loss. In most jurisdictions around the world, it is mandatory to have a certain level of car insurance (test-autoversicherung.de) protection, which is also known as vehicle insurance and motor insurance.
Compulsory insurance is used as a way to protect third parties in the case of accidents that are not their fault, and is considered to be an essential aspect of public driving in most countries around the world. Compulsory car insurance is normally quite affordable and often linked to car registration and taxation schemes. In some places, mandatory car insurance is linked to a pay as you drive scheme where it merges with petrol prices, as a way to avoid the situation of uninsured drivers.

Other than basic third party coverage, most other car insurance protection is voluntary in nature. This means that people have the choice of whether or not to take out car insurance, with the option to leave their own vehicle and person uninsured if so desired. There are a number of items that can potentially be insured as part of a car insurance policy, including third party personal, third party property, the insured person, the insured vehicle, fire and theft, additional comprehensive, extended liability, and no fault insurance. In the vast majority of cases, only basic third party protection is deemed to be mandatory before driving on public roads, with drivers having the choice of whether or not to take out additional protection.

Vehicle insurance premiums are priced according to a variety of criteria, including the level of coverage being provided, the length of the contract, and the person who has taken out the contract. A variety of personal information may also be used to price a vehicle insurance policy, including the sex of the driver, the age of the driver, the driving history of the insured party, and any other relevant information. When driving any car on a public road, it is important that you are insured as a way to protect yourself and others in the case of accidents and damage. Most government roads departments around the world have extensive information regarding car insurance schemes, including relevant information on the legal status of various insurance protections.

Source: http://www.suppressedscience.net/car-insurance-products/

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