After buying a new car, the insurances that must be purchased include compulsory traffic insurance and vehicle damage insurance. The recommended insurances include third-party liability insurance and no-deductible insurance. In addition, additional insurances such as glass breakage insurance and theft insurance can also be considered.
Insurances that must be purchased
Compulsory traffic insurance: This is an insurance that the state requires to be purchased, mainly used to compensate for losses caused by third parties due to traffic accidents. The premium for compulsory traffic insurance is generally RMB 950 per year. Regardless of driving skills, every car on the road must purchase it.
Vehicle damage insurance: Used to compensate for losses caused by collisions, natural disasters, etc. Regardless of driving skills, vehicle damage insurance is an important part of new car insurance, which can help car owners reduce economic losses when encountering accidents.
Recommended insurance
Third-party liability insurance: Used to compensate for personal injury or property damage caused by third parties due to traffic accidents. Considering the high compensation costs that may be caused by traffic accidents, it is recommended to choose a higher insurance amount, such as RMB 200,000 to RMB 500,000, or even higher insurance amounts.
Deductible insurance: It can further increase the compensation ratio on the basis of vehicle damage insurance and third-party liability insurance, so that the car owner can get full compensation in the event of an accident.
Optional additional insurance
Glass breakage insurance: It is used to compensate for the loss of vehicle glass broken due to accidental reasons, especially suitable for vehicles that are often parked in public places or have been used for a long time.
Theft and robbery insurance: It is used to compensate for the loss caused by the theft or robbery of the vehicle. Although modern car anti-theft technology is becoming more and more mature, in some areas or special circumstances, theft and robbery insurance is still an insurance worth considering.
Precautions when buying insurance
Choose an insurance company with good reputation: Choose an insurance company with good service and high claims efficiency. You can learn about it through Internet reviews, recommendations from relatives and friends, etc.
Read the insurance terms carefully: Make sure you understand what specific coverage and liability exemptions are included in the insurance you purchase.
Reasonably plan the insurance budget: Determine the combination of insurance items according to your own economic situation and the frequency of vehicle use.
Timely renewal: It is recommended to handle the renewal procedures one month in advance to avoid the loss of insurance, resulting in the lack of due protection at a critical time.