Auto Insurance, or Automobile Insurance (also known as Vehicle Insurance, Motor Insurance, or Car Insurance), refers to insurance which can be bought for trucks, cars, and other types of vehicles.
The principal objective of an auto insurance policy is to offer safeguards against adverse financial consequences resulting from motor vehicle accidents (MVA’s).
The automobile insurance Company has the discretion to adjudge that a car is wholly destroyed (written-off or totaled) if it seems that the replacement cost would be lower than repair costs.
Auto insurance coverage is available for some or all these parties:
The insured party
The insured car
In a large number of countries, buying auto insurance is mandatory to drive on public or state highways. The cost of the premium is dependent on the following factors: the coverage, the age, gender, and driving history of the driver, and the distance covered by the car.
The different types of coverage that are available through automobile insurance include the following:
Liability Coverage (Combined Single Limit & Split Limits)
Loss of Use Coverage
Loan/Lease Payoff Coverage (GAP Coverage or GAP Insurance)
Car Towing Insurance (Roadside Assistance Coverage)