The type of insurance must be considered first before finally deciding what type is appropriate and as needed. One type of insurance that is widely used today is all risk and total loss only (TLO).
In addition to guaranteeing all damages that occur to the car, the owner of all risk insurance can also make claims even though the vehicle is only experiencing scratches.
This is different from TLO insurance which only provides protection when the car is heavily damaged or stolen.
In addition to these considerations, here are five things to consider before choosing insurance as reported by the Oto Guard.
Calculate the Benefits Obtained
Compare in advance the amount of the premium and the benefits to be obtained. Do not let the owner make a wrong calculation.
Pay Attention to Costs Not Covered
Before choosing insurance, vehicle owners must be really careful and understand the terms and conditions of the insurance company.
One of them, bear the damage to the car. Understand what are the costs that are not protected by the insurance, so that no loss.
Choose a Trusted Insurance Company
At present, there are many companies that already sell car insurance. Therefore, car owners need to be selective in choosing insurance companies, such as choosing a company that has been recognized by the OJK.
Note the condition of the car before registering
Before applying for insurance, first consider the condition of the car, whether there is damage or not. The insurance company has the right to refuse damage if it is outside the insurance policy agreement.
Choose a Car That Does Not Exceed the Budget
The amount of premium paid is influenced by the price of the car on the market. Each car has a different insurance rate based on the type of car, year of output and car plates.
By choosing a car that has a price that is not too high, then the premium paid is not too large.