What is Comprehensive Car Insurance?
Also known as fully-comp, comprehensive car insurance covers you against the following:
- Damage to others where you are found to be at fault.
- Damage to your car due to fire.
- Theft of your vehicle.
- Damage to your car where you are found to be at fault.
The extensive nature of this coverage typically means that premiums and quotes are higher. However, it provides a greater sense of security. You know you’re covered against a much wider range of potential issues. And there are comprehensive policies available at comparable prices to third-party policies.
Why? Many poor drivers, looking to keep premiums low, choose third-party car insurance only to do so. That increased claim rates (and therefore prices) for such policies.
Some insurance companies keep policy prices low to encourage drivers to take up comprehensive car coverage. Third-party insurance can complicate claims, after all!
If careful, you can sometimes find the cover you need at a price much lower than expected.
Comprehensive car insurance is a type of auto insurance policy that covers a wide range of damages and losses, including those caused by accidents, theft, fire, and natural disasters. In the UK, comprehensive car insurance is often the most expensive type but offers complete protection.
Comprehensive car insurance covers damages to your own car and other people’s cars and property in the event of an accident that you are responsible for. It also covers theft or damage caused by attempted theft, vandalism, fire, and natural disasters like floods or storms.
Additionally, comprehensive car insurance policies often provide other benefits, such as coverage for personal injury, legal expenses, and replacement of lost or stolen keys.
What are the limitations of Comprehensive Car Insurance?
It is important to note that comprehensive car insurance policies may have specific exclusions or limitations, so it is essential to carefully review the terms and conditions of your policy before purchasing.
Why might you wish to avoid comprehensive car insurance?
There may be several reasons why someone might wish to avoid comprehensive car insurance:
- Cost: Comprehensive car insurance is usually the most expensive type, as it provides the broadest coverage. If you’re on a tight budget and cannot afford the premiums, you may want to consider a cheaper alternative.
- Age and value of the car: If you have an older car that has depreciated significantly, it may not be worth paying for comprehensive insurance. In the event of an accident, the cost of repairing or replacing an older car may be lower than the premiums paid for comprehensive insurance.
- Personal circumstances: If you live in a low-risk area with minimal chance of theft, vandalism, or natural disasters, you may not need comprehensive insurance. Similarly, you may not need comprehensive insurance if you don’t use your car often.
- Excess payments: Comprehensive insurance policies often require the policyholder to pay an excess (a fixed amount) towards any claim. If the excess payment is high and you cannot afford it in the event of a claim, you may want to consider a different type of insurance policy.
Ultimately, deciding to opt for or avoid comprehensive car insurance will depend on your circumstances and priorities. It’s important to carefully consider the benefits and costs of different insurance policies before deciding.
Double Check Your Decisions
It’s important not to assume your policy provides what you need. When comparing comprehensive car insurance policies, read the details carefully. You should take the time necessary to know your chosen policy provides the coverage you want and that the payment schedule is within your budget.
Using online comparison tools like the one below makes gathering policies much quicker and easier. This frees up time, and take some of that time to double-check before you commit.
Note: This Insurance comparison tool is provided for your use by SEOPA. Insuro.co.uk and novi.digital are not responsible for the contents of the comparison you receive.