Types of Motor Insurance
Car, Motor or auto Insurance is a contract entered between an insurance company and an individual to cover a car against accidents, damages etc. When getting a car insurance , one is actually buying coverage’s which are contained in the policy which represents the liability undertaken by the insurance company on one’s behalf in exchange for the premium.
TYPES OF CAR INSURANCE:
There exists the following types of car insurance;
- Comprehensive car insurance: this is an all-inclusive insurance plan, it covers cost of repairs caused by accidents or theft, both for own-damage and third-party liability.
- Liability only insurance: According to the Motor vehicle act of 1988, it is compulsory that all vehicle owners must possess this insurance scheme for their vehicles. Driving without this insurance cover calls for penalties.
