Less known facts about voluntary car insurance
Along with the compulsory third party insurance that every car owner must have in order to participate in traffic, many car owners decide to take voluntary kasko insurance. The reason behind this is the fact that the compulsory third party insurance does not cover the damage on your vehicle, but only the damage inflicted on the third party who participated in the accident. There are different types of voluntary insurance, offered at prices and conditions that vary depending on many factors, but this article will not be comparing all such variations. It will, however, point out some important things that usually don’t even cross our minds when signing an insurance policy.
Not every kasko insurance covers for total wreck or vehicle theft automatically
You should ask your insurance agent about this piece of information before you sign the policy because it may not be included in the terms and conditions you are offered. The conditions actually vary from one insurance company to another, so the insurance users are often unpleasantly surprised once they realize there is no basis upon which to claim the payment. For that reason, we advise you to study the terms and conditions thoroughly, compare offers from different insurance companies and define all the risks you wish to have covered.
In case of vehicle theft, the payment will not be equal to the value of a new car
The same way that you cannot sell your car for the same price you paid when you bought it from the car dealer, you will not receive a payment in the value of a new car. In case of theft, the value of the vehicle is estimated on the day of the theft, most often in accordance with the catalogue value provided by AMSS, with deductions based on how much the vehicle was used and for how long.
If you wish to be paid, you must first report the damage to your insurance company
Don’t rush to your mechanic to repair the damage, even if you are going to an authorized service, because the insurance company has the right to refuse payment regardless of the fact that you can provide the bill and the necessary documentation. The first thing you need to do is to contact the insurance company. Their inspectors will estimate the cost of repair. Some insurance companies may even ask you for a police report, especially if the damage is estimated to be more than 200,000 RSD, in which case you are anyway obliged by law to call the police and wait for them to finish making the report. It is recommended that you communicate with the insurance company via email, because everything you have in writing may help eliminate potential ambiguity in the process of claiming the payment.
How the damage is repaired
The damage can be repaired in two ways. One way means that the service and the insurance company will make a deal and repair the damage with no additional payment that goes to you. Another option is to take the money from the insurance company and have the service repair the damage. This option works in your favor only if you are certain that this way will be cheaper. In order to be sure, consult the service beforehand.
In case of reckless driving and driving under the influence of drugs or alcohol, forget about reimbursement
Reckless driving means running through a red light, driving at speed that is more than 50km/h over the speed limit, overtaking in areas where this is strictly forbidden and driving in the opposite direction. If the police report shows that any of these caused the accident, the insurance company is not obliged to cover the damage. The same goes for driving under the influence of narcotics and alcohol.
Although it may seem that the insurance company is only trying to avoid covering the damage, these are actually sensible reasons which aim to prevent abuse on part of the insurance user. A great many of car owners do opt for voluntary car insurance, which backs the fact that car insurance pays off in the end, and the best way to choose the one that will suit you is to be well-informed. This article contains only a few things that we considered important, but for any specific case we strongly advise you to go through all the details on your own as well.
We hope you found these pieces of advice useful. Feel free to contact us for any questions, doubts and suggestions.