As with other types of insurance, car insurance products are very important for protection. However, research first when deciding to buy insurance for your car, make sure you study examples of car insurance policies and sample car insurance agreement first, before checking the original insurance policy.
Many consider an insurance policy to be a fee paid to obtain insurance services. That statement is not correct because the insurance fee paid to the insurance company is called a premium, so it is not an insurance policy.
Well, so that our insight becomes wider and not mistaken in understanding the various types of protection that can be obtained, find out about the meaning of insurance and the following examples of car insurance policies, come on!
Example of a car insurance policy
What is meant by an insurance policy is proof of a written agreement between the insurance company or the insurer and the customer or the insured.
The insurance policy describes the rights and obligations of each party as agreed.
In other words, a car insurance policy is a written agreement between an insurance company and a customer that contains provisions related to the provisions for protection and car risks in the future.
There are rights and obligations of insurance companies and customers in detail in the policy.
It is important for us as customers to understand the entire contents of the insurance policy in order to avoid misunderstandings about the obligations borne by the insurer and our rights as customers.
For customers, insurance policies are also useful as written evidence when there is a risk and insurance claim submission, proof of premium payment, as well as evidence to sue the insurer in the event of negligence or not fulfilling the obligations as agreed.
The basics contained in an example of a car insurance policy
When reading the car insurance policy provided by the insurance company, check again the basic things that must be in the following policy.
1. Owner data in an example of a car insurance policy
This section must include the complete number of the car insurance policy, the full name and address of each party, the address of each party, and the period of insurance coverage.
2. Type of insurance coverage
In general, there are two types of car insurance, namely all risk (comprehensive) insurance and Total Loss Only (TLO). The car insurance policy must contain the type of insurance to be agreed upon.
Recognize the differences in obligations and rights between the two types of insurance. If necessary, ask further to the insurance so as not to misunderstand.
To help you choose which one is more suitable for you, please come along best car insurance quiz the following.
3. Car data
The type and price of the car or the year of purchase of the car can affect the amount of insurance premiums. Make sure to display the actual car data.
sharia car insurance so that you are guaranteed from expensive repair bills at the workshop while still prioritizing financial management according to sharia provisions.
4. Price agreement and premium payment
Usually insurance companies will estimate premiums based on car data. The policy will contain the price of the premium paid, as well as the period and method of premium payment that can be selected.
This article will explain the consequences of late or not paying premiums by the customer as well.
To estimate car insurance premiums, you can calculate them with the following car insurance premium calculator.
5. Coverage or guarantee
This part of the policy will provide further explanation regarding what the insurance company will cover. This article also explains what the customer must do and what is the period of time for submitting compensation to the insurance company.
6. Determination of compensation value
The car insurance policy will explain how much compensation will be paid if there is a risk or damage to the car.
There is also an explanation regarding the loss of compensation rights to customers, for example if they are late in applying for compensation at the specified time.
The determination of the value of compensation is generally divided into two broadly, namely partial damage and total damage.
7. Exceptions or limitations
This article contains the risks to the car or the determination of costs that will not be covered or are not covered by the insurance party.
8. Expansion of dependents in the example of a car insurance policy
Extension of coverage can be added to the car insurance policy if it is agreed to add to the basic coverage for more protection. For example, Third Party Liability (TPL) or legal obligations to third parties related to conditions that cause risks to cars.
However, some insurers have included this article in a standard car insurance policy.
9. How to apply for compensation
Generally, this article will explain how the customer submits a claim for compensation and the supporting documents that must be included. For example, insurance policies along with Driver’s License (SIM) and Identity Card (KTP) of the driver at the time of the incident, Motorized Vehicle Owner’s Book (BPKP), Vehicle Registration Certificate (STNK), purchase invoices and others.
10. Termination of coverage
This article describes the rights of each party to terminate the coverage. Generally, the request for termination of this coverage is made in writing by letter to the last known address. This article can also be followed by provisions regarding the rules for returning premiums from the insurance company to customers.
11. Dispute handling
In the event of a dispute or disagreement between the insurance company and the customer, the car insurance policy specifies what course of action to choose or what judicial institution can be asked to assist in mediating or adjudicating the dispute.
After knowing examples of car insurance policies and the things that need to be listed in them, don’t make the mistake of buying car insurance. Although you can also cancel the car insurance policy.
If you don’t understand, you should ask the insurance company further about examples of car insurance policies and sample car insurance agreement until you really understand it.
Or, we can visit Lifepal to get a free consultation on the right car insurance products according to your personal budget.
Tips from Lifepal! Before buying an insurance product, you should first study the functions and insurance meaningterms in the police and recognize the various types of insurance in Indonesia so that you can get optimal benefits from the insurance of your choice later.
There is nothing wrong with setting up an emergency fund that can be used not only for sudden needs, but also for unexpected expenses related to health.
You can use the emergency fund calculator below to calculate your age-appropriate emergency fund.
Benefits of having car insurance
To minimize expenses due to cheap car repair costs, immediately activate car insurance.
Car insurance will protect you financially from expensive repair shop bills. You don’t have to worry anymore because the insurance will cover the cost of repairing your favorite car up to 100%.
Come on, check out the best car insurance products at Lifepal! If you are still confused, you can directly ask the experts at Tanya Lifepal.
Lifepal has collaborated with thousands of car repair shops throughout Indonesia. So, you don’t need to worry and you can easily get claim services at the partner workshops that have been provided.
Protect your favorite car for 24 hours with best car insurance. Choose the car insurance that suits your needs. Watch the video below for tips on choosing the best car insurance:
If necessary, additional protection such as: Health Insurance To protect from the risk of expensive medical expenses in hospitals in the midst of the current virus outbreak, it is also very necessary.
Buy the police too life insurance which will protect you and your family from the financial burden when the insured dies. You can get all the best insurance products at Lifepal, save up to 25% more!
Questions about examples of car insurance policies