UK Car Insurance

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UK Car Insurance

If you think that the UK car insurance policy is stringent enough, then keep in mind that it is so to secure your own interest. The UK car insurance policy is generally targeted for the protection of any innocent victims of accidents. It is obligatory by law to carry the UK car insurance certificate for a user of the road. The insurance certificate proves that you are insured, but carry the cover note at least if your certificate of insurance has not yet arrived.

The UK car insurance certificate carries the policyholder’s name, the vehicle’s registration mark, the cover commencement date, the date of expiry, the classes of persons allowed to drive the vehicle, and any limitations in terms of use. But before your car insurance is delivered, the insurers may perform several tasks that may seem confusing to you. You will have to go through a lot of questions. It will be really smooth for you if you can understand the principles that lie behind car insurance.

The major benefits of car insurance comprises of protection of your money. Just imagine, you damaged your car in an accident, and worst still, injured someone in the procedure. Repairing or replacing your car can cost you massive amount of money and if the accident is your fault then you are obliged to pay compensation. In the absence of car insurance, how would you manage this?

Insurance is eventually about your money. Your risks are just shared with a car insurance provider. Insurable interest is an important principle behind car insurance.

There are four basic car insurance types in UK.

  1. ‘Act Only’ is the absolute minimum policy that covers only third party risks on any public roads. It is useful only for those who have a poor driving record and are unable to obtain other forms of cover.
  2. Third party insurance provides a better cover, offering insurance for the policy holder even if he is driving on private property and roads. This also protects against legal liabilities.
  3. The third party fire and theft provides third party insurance protection, and adds damage or loss to the insured’s car or vehicle that is caused by an attempted theft, or an actual theft, or a fire. This is a cheaper alternative to comprehensive cover for a car that is old enough and need not be covered for every possible risk.
  4. Comprehensive cover is the widest cover you can get, and adds accidental damage cover in addition to the cover provided by the three policies above.

Apart from all of these, several other insurances are also available that covers medical and legal costs in case the insurance holder gets involved in an accident and is hurt. You can also get a personal insurance cover that insures certain privileges involving a car accident, fire, and theft.

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