Comprehensive Car Insurance: What It Is, What It Covers
Tips for Choosing auto insurance quotes – Having a car does have a lot of additional costs.From the tax, the service, to the insurance.Well this time we discuss in full about car insurance of its kind to how to choose it.We might have been driving very safely and obeying Traffic rules.But the name is still a risk.First we have external factors such as other people’s mistakes, flooding, or even theft.And the name is machine, we don’t know when it will break.The insurance company will cover the repair costs at the workshop, some even guarantee a new change.Usually when buying a car in installments to the bank, the bank certainly requires us to have car insurance.If it fails to pay, the bank wants to ensure that the car is in good condition, and can be fixed and covered by insurance.There are two types of car insurance, and these types determine the amount of the premium and can be chosen depending on the age of our vehicle.The first is All Risk, or Comprehensive car insurance.
What is the difference between All Risk and TLO car insurance?
This type of insurance accepts any claims for car damage from mild to severe damage.All Risk Insurance is suitable for those of us who have just bought a car and if we are scratched we just need to submit a claim.Because it covers all the damage, of course the All Risk insurance premium is more expensive.For example, the All Risk premium in the Jakarta area is 3.26% of the price of the car.While the premium percentage is far greater than the premium the most expensive TLO or Total Loss Only is 0.78%.The second is the type of TLO car insurance or Total Loss Only.TLO Insurance provides guarantees or coverage costs only if the car is lost due to theft, or damage of more than 75% of the price of the car at that time.This means that the car must be completely unusable and then we can submit a claim.So if the car is only one centimeter scratched, or hit and dented, Don’t expect claims to be approved.
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Because you can only file a claim when the car is badly damaged, of course the premium amount is also lighter than the first type of insurance namely All Risk.Even the amount of the premium can be three times cheaper than All Risk car insurance.For a minimum premium in the Jakarta area starting from 0.44% compared to the price of the car.So, don’t get confused, here’s a summary of the differences between the two types of car insurance.For those of us who live in cities at risk of flooding, just for information, most insurance does not cover car repairs directly due to flooding.the customer needs to buy an extended collateral for flooding, and of course the premium is needed.For the best car insurance options, Lifepal already summarizes best car insurance product recommendations, based on type, features, services, partner workshop, and the cheapest premium.Some choices include Sinarmas, ACA, Autocilin, Allianz, Astra Garda Oto, AXA Mandiri, and many others.
Insurance premiums for car based on region, type of insurance and price
This means that as customers, we benefit.Already have many choices we can find the cheapest, and the best coverage benefits.To see the full list, you can stop by our website at lifepal.co.id Now we calculate the cost of premium for car insurance.Slightly different from health and life insurance, the amount of car insurance premiums has been set based on rates from the Financial Services Authority.OJK made an OJK circular in 2017, as a guide for calculating car insurance premiums.and is divided based on the type of insurance, the region, the price of the car, as well as the guarantee of expansion provided.So, there are three regional categories that will determine the amount of your car premium, as follows.Then the percentage distribution of premiums is also calculated based on the price category of your car.You can see this category like this.It is also calculated based on the type of insurance.The following table, will give you a simulation for insurance premiums by type.
TLO Car Insurance Cheaper Than All Risk Car Insurance
From this table, we can calculate the cost of car insurance we need to pay if you take All Risk Car Insurance.For example, the Agya car costs 150 million and has a Jakarta license plate, has a premium category of area 2, and category 2 for the type of car.Now the following simulation of the All Risk insurance premium that you pay each year, when you take car insurance.The total is Rp3,705,000 The count, the All Risk premium percentage, multiplied by the price of the car, is the cost of the car insurance premium, simulated as follows, 2.47% multiplied by 150 million, is Rp3,705,000 per year.Next we look at costs and car insurance simulations, for the TLO category.If you look at this table, we can see that TLO car insurance cheaper than All Risk car insurance.
How Combination Car Insurance Works
We use the same example, with the previous All Risk insurance calculation, then with the same formula we get cheaper results, that the car insurance premium for TLO is only Rp.660,000 per year.In addition to the two categories mentioned earlier, there is also a Combination Car Insurance.This type of insurance combines All Risk and TLO coverage.Usually this product is used on car loans.But, it should be noted that this type of car insurance has a change in each period.For example, the first year of coverage that applies is All Risk, then the following year is TLO.This is what makes customers sometimes not understand.In the first year the customer claims, for All Risk protection.Then in the following year make a claim for the same thing, but the insurance company refused.
Tips to Get Cheap and Affordable Car Insurance
This could be due to the coverage that has been in effect in the following year has entered into the TLO coverage.The following are guarantees of expansion in car insurance that require additional premiums, floods including hurricanes, earthquakes and tsunamis, riots and riots, terrorism and sabotage, legal liability towards third parties, personal accident for passengers, and legal liability to passengers.Each of the mentioned expansion guarantees has their own calculations.Is it complicated?In Lifepal, everything has been calculated.Try to stop by lifepal.co.id and check the premium you need.There are some important things to know, how to get cheap and affordable car insurance.The first, choose the type of TLO car insurance, so the premiums paid are lower compared to All Risk car insurance.The second, choose car insurance that provides basic protection without frills expansion guarantee.Especially if you don’t need a guarantee of expansion.
Tips for choosing the best car insurance
Third, choose insurance that provides more value, such as protection for the driver and also passengers.The following are some criteria and tips for choosing insurance products according to our needs.First we must choose the right type of car insurance.Get to know the needs and terrain that we often pass, and whether our region is a dense, damaged street, accident-prone area, or prone to loss.For example, All Risk insurance is suitable for motorists in the city, who are at high risk of blisters and accidents.While TLO insurance is suitable for cars that are in areas prone to crime and loss.The second tip is to choose an insurance company with trusted credibility.Credibility doesn’t just mean the brand is famous, but also trusted about the service and as much as possible minimal complaints.The third tip is to choose insurance that has an extensive partner workshop.
4 Tips to Save Money on Car Insurance
Car insurance is usually already in collaboration with official workshops of our car brands or with other repair shops.Only a few insurance brands that allow us to be able to make repairs to any workshop.Usually benefits like this are very useful, especially if our car is damaged in an area that we are not familiar with.The fourth tip is to compare premiums and service features.Car insurance premiums are already set at OJK, but the features and services between one product and another can differ, even though the premiums are the same.There is insurance that only covers the damage to the car, but there are also those who bear the driver and passengers.Now when you receive an insurance policy, we should have learned what are the protections, features, extra benefits, then we sign.
How to Compare Car Insurance Quotes and Find the Best Policy
If you are confused about comparing and there’s no time to search for all the comparisons, just calm down, lifepal has summarized the best recommendations, and we work with dozens of car insurance partners out there, and provide the best policy choices for you.Visit the link below, and find the best insurance for you..