You may or may not be aware that there are three types of car insurance – third party, third party fire and theft and fully comprehensive car insurance. As a minimum, you must legally insure your car for third party cover but is that really sufficient to meet your needs, as it will only provide cover for damage to other vehicles, property or people?
This will depend upon a number of factors including your budget and how much your car is worth. For instance, if your car is only worth say £300 do you really want to arrange anything other than third party cover that does not cover you for damage to or the loss of your own car? On the face of it, you may feel that the answer to that question is “no” but what if you need to use that car to get to work and it were damaged in an accident that was your fault. In that case, its real value could be considerably more than £300.
Most people assume that you would expect to pay less for third party car insurance, followed by third party fire and theft with fully comprehensive car insurance being the most expensive. However, this may not always be the case so it is worth getting different quotes to compare the cost.
Third party fire and theft cover provides a little more cover than just third party insurance as this would also cover your car should it be stolen or subject to fire damage. With car thefts happening on a frequent basis it may be a good idea to consider this level of cover.
The “Rolls-Royce” of car insurance is fully comprehensive car insurance, as this will insure everything that the other two types cover plus it will also provide cover for your car should it be damaged even if the accident was your fault. Therefore, if you own a car valued at several thousand pounds should you not consider arranging this level of insurance?
Ultimately, you must make the final decision but hopefully the above has been of assistance.