What is Motor Insurance?
Motor insurance can cover your motor vehicle against accidental damage and theft. It can also protect you from the financial costs of repairing or replacing another person’s vehicle in an accident where you’re at fault. Generally, you can choose to insure your motor vehicle for an agreed amount, or for the market value of your vehicle.
Why do I need it?
If your motor vehicle is damaged in an accident where you’re at fault, having comprehensive motor insurance helps to pay for repairs – or can replace it altogether if your motor vehicle is written off.
If your motor vehicle is stolen, comprehensive motor insurance can pay you the agreed or market value, so you can buy another motor vehicle.
Third party property damage (TPPD) insurance – can cover the costs you may be liable to pay if you are at fault and damage or write off someone else’s motor vehicle – is also available as a standalone policy. However, if you only have this cover, there’s no cover for any damage to your own motor vehicle.
What can it cover?
Motor insurance provides you with extensive protection if your vehicle suffers loss or damage. And, unlike some other policies, motor insurance automatically includes some additional benefits with your cover.
The exact cover you can receive depends on the policy that you take out. But to give you an idea, here are some of the benefits a motor insurance policy may include:
| Potential Benefits | |
|---|---|
| Cover to help repair your vehicle if it’s damaged or stolen |
Cover for the cost of a rental motor vehicle for up to 14 days, if your motor vehicle is stolen |
| Cover to help you pay for damage you cause to another person’s vehicle | For financial motor vehicle, cover for 50% of the difference of the finance gap between the insured value and the vehicle’s contract residual value following total loss |
| A replacement of the same make and model if your new vehicle is written off within one year and has less than certain kilometres (may be agreed) |
An automatic 21 days cover on replacement vehicles |
| Choice of your own repairer or one of our preferred repairer panel | Up to K1 million of legal liability cover |
| Repair guarantee for materials on workmanship on authorised repairs |
The option to include one excess free windscreen claim per year. |
| Re-keyring and re-coding of vehicle keys if they are stolen | The option to include hire motor vehicle cover following an accident |
| No additional excess for young or inexperienced drivers if they are named | Note: Benefits are subject to Insurers’ acceptance and confirmation. Please contact your broker at Wereck Insurance for verification. |
What usually isn’t covered?
Each policy is different, but generally you won’t be covered if the vehicle is:
- being driven by an unlicensed driver
- being driven by you or any other person while under the influence of any drug or alcohol
- being used in any motor sport or time trial
There are other exclusions which we can outline for you and also it may also vary and/or defer from various insurers offering their policies . In addition, there is a deductible/excess.
As Insurance is a complex subject, please talk to us now for professional advice and to make sure your level of coverage is appropriate, adequate, and sufficient to your requirements.
The List of Risks or the range of insurances available is not exhaustive, if there are any particular risks that are possibly unique to your type of business and/or for any specific or special requirements, please seek our assistance and guidance.