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Busting the most common myths about car insurance

Busting the most common myths about car insurance

Do you know that most Filipinos find it difficult to discuss car insurance? It is one of those topics that are only open during a meeting with a financial adviser over lunch or coffee.

Although many people know the importance of insurance coverage, others are often scared by the thought of purchasing a policy. Their reluctance is frequently motivated by two factors: concepts that appear complicated and the different assumptions about insurance. However, any reluctance to obtain any financial protection, particularly car insurance, might cause problems, especially for those who wanted to buy an automobile in the Philippines.

The truth is, anyone who owns an automobile might face financial problems if he is driving without a vehicle insurance policy. Once caught by the authorities, he will pay certain penalties as well as legal issues in the event of an accident or car collision.

If you are a first-time car owner and wish to insure your vehicle, you should do some research and get useful insights about auto insurance. This includes comprehending the factors that influence an insurance policy, the amount payable for various premiums, and coverage that you can expect. Furthermore, it is also useful to find out the popular misconceptions about this matter so, you will be guided on the right steps to take and avoid those that will only cause confusion.

To help you, listed below are some myths regarding car insurance. Keep these things in mind so you will not be scared or overwhelmed while obtaining a policy.

MYTH number 1: Car insurance is a high-cost liability.

FACT: Contrary to popular belief, automobile insurance coverage is not an expensive liability.

Car insurance premiums, like other insurance products, are determined by a variety of criteria. These factors include the type and amount of coverage, the make, model, and cost of the vehicle. In addition to that, driving habits and location, alongside the driving record of the insurer matter.

To get the finest policy, it is best to browse and compare car insurance plans given by various companies. As a result, you will determine its differences and similarities, giving you several choices in acquiring the proper insurance coverage. This will also help you avoid choosing a policy that includes unnecessary coverages.

Or better yet, start with the basic ones first. This way, you will be insured as early as today before you go up to the more comprehensive one.

MYTH number 2: If you are driving an old automobile, you don’t need to have car insurance.

Fact: You must have insurance on your vehicle, whether it is old or new.

Before registering or renewing a vehicle, the Land Transportation Office mandates all car owners to have a Compulsory Third-Party Liability (CTPL).

According to the Republic Act No. 10607, or the Amended Insurance Code (AIC), Section 389 of Chapter Six of no motor vehicle may be registered or renewed for registration without proof of insurance coverage.

This means that you are required to get one in order to drive on the road lawfully. Besides, your vehicle needs financial protection regardless of its model or year of release.

MYTH number 3: Only the basic auto insurance coverage required by the law is necessary.

Fact: While it is true that the law only requires basic coverage in getting a car insurance policy, it may not be enough for you.

As the name suggests, the basic car insurance policy does not provide comprehensive financial protection. This means that it has various exclusions. Thus, it is highly suggested to purchase a comprehensive policy in order to get the best coverage when you needed it the most.

This type of car insurance protects against risks such as theft, personal accidents, unintentional collisions, property damage, fire and explosions in the vehicle, and malicious acts committed by third parties. Furthermore, comprehensive car insurance includes Acts of God coverage, which offers monetary help against damage caused by natural disasters.

Who knows? You may need better financial protection against monetary obligations in the future compared to what you are planning today.

MYTH number 4: Obtaining an insurance quote is time-consuming and difficult.

FACT: With the prevalence of smartphones and other electronic devices, as well as the widespread use of the internet in this digital age, obtaining car insurance quotes from companies is easier than ever.

Just utilize the power of the internet to find various insurance services like what is offered by Assurance! This allows you to speed up the process of shopping and comparing auto insurance coverage, making it easier to get the best plan for you and your vehicle.

MYTH number 5: You don’t need a car insurance policy because you don’t drive often.

Fact: Regardless if you go behind the wheels on a regular basis or every after two weeks, you need financial protection all the time.

Take note, everything is uncertain nowadays especially if you are driving on the road. Accidents can happen anytime no matter how careful you are. There are instances that you will need some monetary help from a reliable company to aid car collisions or property damage that you are involved in.

Besides, your car also needs protection especially if you own one of those fancy vehicles, which cost more than the average ones. isn’t it great to get rid of any car repair or replacement when the need arises? The insurance firm will pay everything on your behalf as long as you can provide all the necessary requirements to apply the claims. You can even have a new one if your automobile is no longer functioning after experiencing tremendous damage in an accident.

Now that you already know the myths about car insurance, it is time to step out of your comfort zone, shake off those misconceptions from your system, and look for the best policy for you and your automobile.

If you are searching for the best deals, look no further than in Assurance.PH! We offer the best insurance policies in the Philippines, ranging from home insurance up to auto insurance policies. We also provide financial protection against Covid, perfect for the whole family. Just look for your desired insurance policy on our website or, scroll down to our Facebook posts to know more about it. You can also ask questions by messaging us on our official social media accounts. What are you waiting for? Grab the opportunity and insured yourself from any vehicular accidents before it's too late!

While you're at it, you can look at the cars we have for sale at Automart.PH. From sedans to MPVs, we have a healthy stock of used and repossessed cars you can view at our website. Once you buy from us, it's also a good time to get it insured as well.