“
In the UK there are two types of car insurance policies available to the consumer and these are known as fully comprehensive and third party fire and theft.
Fully comprehensive cover is the safest but more expensive option available and it covers every angle of cover available on a car insurance policy. Comprehensive Car Insurance Policies Below are examples of what a fully comprehensive car insurance policy will cover: Damage caused to your car Loss of your car Theft of your car Replacement of your car Theft of your cars internal equipment, for example the stereo Breakage of your car’s glass Medical expense if you or a passenger are hurt in a collision in your car Cover against being hit by an uninsured motorist Insurance should you drive somebody elses car, however this depends upon the insurer and can only mean that you are insured against third party, fire and theft in another car. Accident recovery cover, in the event of an accident the insurer may transport you to complete your journey and/or return your car to you following repair.
Lock change following damage or loss of keys Provide a help line in case of emergencies experienced in your car Provide a courtesy car whilst your car is being repaired for any damages Cover against damages made to other peoples car or their property Not all of the above factors will be covered but the list is a general idea of what a fully comprehensive policy can include. Third Party Fire and Theft Insurance Policies Third party fire and theft cover is a more basic policy and is a cheaper alternative to fully comprehensive. The general things covered by this type of car insurance policy are listed below: Any damage that is caused to a third party’s car or property Injury to a third party If your car is stolen or has been damaged the insurer will pay for the replacement or repair costs Replacement of equipment inside your car if this is stolen or damaged by fire Emergency medical treatment Some insurers may offer additional features to add to your policy for an increased premium. These features may have certain caps and limits set and whereby they will almost certainly be available for a fully comprehensive policy they wont necessarily be available to those with a third party fire and theft policy.
Examples of additional features that insurers may offer: Legal expenses Cover if you use your car on foreign roads Use of a courtesy car should your car be retained for repair Protection to your no claims discount, this may be an insurer protecting your pre-existing no claims discount for the duration of the policy despite you having to make any future claims Loss of keys Breakdown assistance cover Please see the bottom of this page in relation to excesses that may apply to UK car insurance policies.
In the UK the minimum cover that is required by law is third party cover only so should you cause an accident the other party or parties damages are covered but you will be responsible for covering your own costs. By driving your car without this minimum cover in place you are breaking the law. In the USA car insurance or auto insurance as it is better known is bought as a package with the cost of several separate coverages combined to make the monthly premium paid for by the policy holder.
The main coverages available on car insurance policies are listed below: Motor accident cover – If you are in a collision with another motorist the damage to your car is covered by the insurer. Damage cover – If any damage is caused to your car by fire, theft, vandalism or any other occurrences mentioned specifically in the policy, the insurer covers the cost. Liability cover – Cover against damage to a third party’s property caused by your car, this can include legal costs should you need to defend a claim made by a third party. Also cover against any bodily injury that your car causes to a third party, this can include death.
“
Source: (different types of auto insurance policies) http://types-insurance-policies.com/types-car-insurance-policy.php