If you own a car, you may need to consider placing it under some protection in case of any incident in the future. It also helps you save on a lot of costs, especially if you end up causing an accident. The following ideas should make you want insurance.
Aside from the fact that all motorists in Australia are required by law to have insurance for their motor vehicle, you need to take up the responsibility of purchasing one for your car. If you are looking for a package that will provide better protection than the bare minimum, then you should be looking at comprehensive insurance.
Aside from it being an optional protection plan, you can use it as an additional policy, for instance, if you have classic car insurance, adding this choice can be an extra safe option. The insurance covers damages to your car, which did not come up as a result of accidents caused by another vehicle. Some of the damages could be caused by theft, a falling building or tree or fire. Being an additional policy, it repays up to the actual cash value of your car, which is the worth of your car in the used market at the moment when the incident has occurred.
It works by paying the cash value of the damages caused up to your limits minus any deductible. The limit depends on the amount your insurer is willing to compensate, which can also be equivalent to the actual value of your car. The deductible is the amount you will pay out of your pocket.
Also, it extends further than your car. This means it can include newly purchased vehicles, temporary substitute cars, and vehicles that you use but do not own. This shows you that the insurance follows you as a driver and not the vehicle.