Car Insurances

Car Insurances
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Car insurance compensates financial damage on cars caused by accidents. Car insurance is a contract between an insurer and an insured, in which the insured pay amount of money called premium to buy this insurance and the insurer promise to compensate the damage agreed in the insurance contract. What does car insurance cover?

Car insurance compensates physical damage and/or bodily injury resulting from traffic collisions and the liability to the third parties involving to these collisions:

–      Physical damages (on insured car): car insurance compensates damages, deformation due to accidents or thefts

–      Third parties: car insurance compensates the insured’s liability to third parties when accidentally causing physical damages and/ or bodily injuries on the third parties

–      Bodily injuries (insured party): car insurance compensates medical payments and other expenses for the insured when accidents happen.

–      Every insurance has its own exceptions on some cases which are not compensated. Some of these exceptions happen so often that may irritate the insured. However, the insurer can remove these terms if the insured agree to pay extra fees. The insured should consider this extra fee when damages caused by flooded area or theft on some parts on cars. Nevertheless, again, not every insurer is willing to remove these terms.


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