| Liability Insurance. An overview |
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| Written by Wade Henderson |
| Wednesday, 20 January 2010 22:18 |
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Liability insurance protects the user in case that an accident causes injuries or death to third party. Depending upon what kind of insurance you have, the coverage will give partial or total compensation to the person. While the damages to property are covered, they are less significant when there are injuries involved. Some liability insurance plans cover for additional services like travel assistance, legal support and driver's insurance.
Liability insurance protects the user in case that an accident causes injuries or death to third party. Depending upon what kind of insurance you have, the coverage will give partial or total compensation to the person. While the damages to property are covered, they are less significant when there are injuries involved. Some liability insurance plans cover for additional services like travel assistance, legal support and driver's insurance. Any car traveling in Spain is required by law to have liability insurance. It has been established as a requirement so that in case of an accident, the insurance of the party responsible for the accident covers the cost of repairing the damaged car. Liability insurance is useful when there is a claim and the party that caused the accident cannot afford to pay the damages resulting from it. While car insurance will cover your car and yourself, liability insurance covers the people that were injured or whose property was damaged because of the accident: a passerby, another car, a business, a vendor, etc. Generally, liability insurance will cover the person who is driving even if it is not the policy holder. The compensation will not be given to users under 25 years of age and with a driver's license that expired in the last two months. Some countries, like Spain, require liability insurance by law. This means that in order to drive your car you need to have it. This insurance guarantees that the insured will pay, through the insurance company, for the damage done to a third party. The positive aspect is that in case of expensive incidents caused by an insured to third party, the insurance company is bound to pay the personal and material damages. Disadvantages: compared to a loss caused by the insured, it does not cover damage done to the car (that belongs to the insured). Who buys only liability insurance? Those who have an impeccable driving record and are convinced they have little chance of an accident. Generally, they look for insurance that is not very expensive and that covers third parties in case of accident. If you buy a new vehicle, this insurance will not be enough because liability insurance does not give protection for the damages caused to your own car. Liability insurance will not give coverage if the insured was involved in an accident while under the influence of alcohol or drugs or if the car was stolen. DISCLAIMER: This article is provided as information only and is not to be taken as financial advice. Pro-BargainHunter.com Multiple Pre-Screened Vendors competing for your business Business Insurance Quotes Home Business Insurance Grab a totally unique version of this article from the Uber Article Directory |