What is a comprehensive car insurance coverage and what are its benefits?


Comprehensive car insurance is the most complete insurance coverage that you can get. It is something that usually new car buyers would go for. All in all it makes sure that you enjoy a good night’s sleep without having to worry about your bills due to the damages sustained in an accident.

So what exactly are the pro’s and cons of comprehensive insurance?

Comprehensive insurance makes sure that you can claim for damages no matter which party involved in the accident is at fault. You do not have to show fault in order to claim for damages. It also pays you for accidents involving you slamming your car against a tree or pole. The other party does not even need to have insurance in order for you to get paid. And it also pays you for fire and theft losses.

The other type of insurance coverage is third party insurance. In this though you have to pay lesser premium, you cannot claim for damages when you are not at fault. You must and should take the case to court in order to claim for damages. Because, obviously the other party will not voluntarily agree that he or she was at fault. The whole process of taking the case to litigation will be extremely long and costly. At the end of it all, you might just end up spending as much as you would have without insurance in the first place. So basically third party insurance just caters to your legal requirements.

This is where comprehensive insurance has its advantages. You can claim from your insurance provider no matter what the case. and you do not even have to take anything in writing from the other party involved. You just fill out a form and make your vehicle available for inspection. The evaluator will give an estimate of the amount owed by the company to you. And then you have to get the money from the company. Else you can also get the work done and show all the bills to your insurance company to get the money reimbursed.

The flipside of comprehensive insurance is that you will have to pay almost twice that you would pay in third party insurance. The premium may be expensive but its worth the cost if you can afford it.

There is also the factor that if you keep claiming reimbursement for all accidents that you are involved in, your premium will end up going through the roof. Hence it is actually prudent to litigate when the accident has caused extensive damages. Or when you are sure that the other party has actually been extremely negligent or even deliberate in his or her actions during the accident. This way you can win the case easily and get your money from the other party’s insurance company without your premium amount getting affected.