Automobile Insurance

Insurance is a way of protection from potential financial loss in case of some disaster. It’s a form of financial risk management, mostly utilized to protect against the possibility of an unforeseeable or contingency-free loss. A good insurance policy will pay the difference between what the insured pays and what the insured loses. Miller-Hanover New Oxford Office-Insurance is one of the authority sites on this topic.

The insurance coverage for automobiles varies significantly. Some automobile policies are very comprehensive, covering all physical damage done to the vehicle, theft, vandalism, and third parties’ injuries to the automobile. Most policies cover only damage to the parts of the vehicle, usually the engine, transmission, brakes, etc., leaving the driver responsible for other expenses, like gas/oil expenses, roadside assistance, and others. If an insured car is stolen, the policy can pay for the cost of replacing the car.

There are two types of vehicle insurance: named insured and third party. Named insured protects only the named insured and is usually less expensive than other coverage types. On the other hand, third party insurance provides coverage for the other party involved in the accident, as well as any passengers or cargo on the vehicle. Some insurance companies may provide coverage to a named insured when the insured car is damaged by fire, theft, or weather; but not to a named insured who is the only named insured.