Many Nigerians believe that paying for insurance is difficult or is, at best, an unnecessary luxury. You could hardly blame people for having this towards car insurance, as many car owners are unaware that there are different categories of car insurance and that you just have to choose one that is best for you. Therefore, this article will discuss one of the most popular car insurance coverage, comprehensive insurance, what it entails, and why it is important.
As a car owner in Nigeria, you are expected to have at least basic personal car insurance coverage, which provides you with some financial protection during an accident or other unfortunate events. However, in some cases, having just basic car insurance coverage may not be sufficient to mitigate certain losses. In such instances, you would need better and broader insurance coverage like comprehensive car insurance.
What Is Comprehensive Insurance Coverage?
Comprehensive insurance cover pays to replace or repair your car if it is stolen or damaged in an incident. Comprehensive insurance typically covers damage caused by fire, vandalism, or falling objects (like a tree). If you’re financing or leasing your vehicle, your lender will require comprehensive coverage.
What Does Comprehensive Insurance Cover?
Comprehensive insurance covers damage to your car, such as:
- Theft
- Vandalism
- Fire
- Natural catastrophes (like a hurricane or a tornado)
- Falling objects
- Damage caused to your vehicle by animals
- A civil uproar (like a riot that results in damage or destruction of your car)
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What Comprehensive Insurance Doesn’t Cover
Comprehensive car insurance covers many damages, but it does not cover the following:
- Medical expenses or lost income for your passengers as a result of a disaster
- It also does not cover damage caused by normal wear and tears on a vehicle. The policy also excludes fiber and rubber auto parts.
- Comprehensive insurance, like third-party insurance, does not cover drunk driving or driving without a license.
Finally, comprehensive policies have a limit. This is the most your policy will pay for a covered claim. Your policy’s limit is usually the cost or amount you value your car during the insurance cover purchase.
Advantages of Comprehensive Insurance
Of course, the most significant benefit of comprehensive insurance is that it provides more robust coverage than other insurance covers. This means you will bear a drastically reduced financial loss in an accident.
You can relax knowing that your policy covers both you and your vehicle. However, it also protects you from losses if you cause harm to another person or property.
Comprehensive insurance frequently includes add-ons for additional coverage. Engine protection is one example. You might also be able to get roadside assistance.
Car breakdowns do not count as claims, but you will receive assistance if you have a breakdown somewhere. Overall, comprehensive insurance allows for greater policy customization.
Finally, comprehensive coverage may include a “No Claim Bonus.” This means that if you don’t file a claim during the year, you’ll get a discount when you renew your policy the following year.
Read also: Different Types of Car Insurance Explained: Learn What Each Cover Offers
Final Recap
Whether you choose comprehensive or third-party insurance, make sure you have some insurance coverage while driving. It is not only required by law but may save you from financial or physical hardship if an accident occurs.
Fortunately, at Transtura we offer you different options to choose which coverage is best for you. Thus, we can help you find the best car policy for you. Visit our official website today, and we’d be happy to assist you.
