What is Car Insurance ???

Cars Insurance
Simplified insurance is a contract concluded between the insurance company and the buyer of insurance, and on the basis of paid insurance buyer financially sum (premium) determined by the insurance company, in exchange for the annuity company is liable to pay financial compensation in case the thing insured (car or house ..etc.) to the loss or damage caused by stipulated in the insurance policy reason.And auto insurance is a type of insurance, which is one of the most prevalent types in Saudi Arabia after it became mandatory for every vehicle owner.Since there are integrally linked and structurally between risk management Risk Management and Insurance, we when we apply the concept of risk management, we can monitor what are the cases that might be exposed to the owner or the car / driver of the vehicle to the financial losses, and therefore the documents auto insurance came to meet the insurance needs required and to providerequired financial source of funding for these losses loss financing after the fact.For example: Who owns the car there is a possibility that: under the car partial or total damage, there is the possibility that he (the driver or car owner) responsible in terms of legitimacy / legal results of this damage and injury and then be legally binding to compensate those affected by his mistake ..etc. of the possible cases.Based on this simple and rapid analysis, we can mention the types of coverages (Home), which is usually provided by motor insurance (on a personal level or commercial):(I) collision coverage: Collision It offers coverage of what is under his car mentioned in the insurance policy of partially damaged or completely caused by a collision, whether this was a collision with another vehicle or hitting objects such as bridges, sidewalks and electricity poles ... etc. than is provided for inInsurance document.Usually provide for the insurance company to pay the required after providing all the documents required for filing a claim for compensation, which is then implement the terms of the document if there is a bear or the proportion of consumption, etc. .




(Ii) universal coverage: Comprehensive Coverage mentioned in (i) providing coverage due to the collision, what about the losses for other reasons is shocking?This is provided by what is commonly known as comprehensive insurance, and are listed in the damage insurance policy varies from one document to another, but common ones include fire, theft, and self-ignition, floods ... etc.



(Iii) legal liability coverage Third Party Liability: This type of mandatory insurance, do not buy it mean violation of regulations and laws.There are two parts to this coverage: one covers the legal liability for damages for bodily injuries and the second covers the legal responsibility for causing damage to the property of others.


(Iv) the driver uninsured Uninsured / Underinsured Motorist coverage: They meet the need when a person is exposed him to his vehicle / car accident insurance and be the cause of the crash another party does not have a lock, or the extent of coverage that he has not enough to cover all the damage caused by the sharp so, which is toalso two types: physical damage and property damage



(V) Other coverages: There are other insurance coverages offered by some insurance companies and can be purchased, such as the so-called alternative drive.