3 Basic Forms of Car Insurance -benefit of insurance

1) Third Party

This is the most uncomplicated and hassle free form of insurance which you could buy. It is mandatory that every motor owner buys it since it is required by law.The concept here is that in case there is an accident caused due to your negligence, you are responsible for reimbursing the expenses related to damage and repair causes to the motor vehicle. A Third party insurance does not give you the flexibility of claiming damages if any caused to your vehicle. Similarly, if your vehicle has been stolen, you cannot claim reimbursement from the insurance company.

2) Third Party, Fire and Theft

This policy is slightly better as compared to simple Third party insurance. In this type of policy, damage caused to another vehicle gets covered. Also damages if any caused to your own vehicle is covered. Moreover, your vehicle is also covered against any damage caused due to fire. It also protects you from theft. This is definitely costlier as compared to the basic policy. It definitely provides a better coverage with a little extra cost.

3) Comprehensive Insurance

This type of car insurance is costlier in comparison to Third party insurance. It covers damages caused to your motor vehicle even if you are responsible for the accident. It protects the defaulter as well. Cases of hit and run are also covered under such a policy. Comprehensive policies cover car audio systems; provide free replacement of your windscreen if damaged. In case your car conks off and you are left stranded midway, you can always dial up the insurance company and help is provided instantaneously. These add on features increase the premium amount. So make sure you would need all these features and then make a decision whether you want to go in for this policy or not. These features make this policy an expensive proposition and you need to decide on your requirement before arriving at a decision.

Detailed information on New York Auto Insurance can be obtained from Department of New York State Insurance. In a city like New York, both the defaulter and defaulted party do not have to bother, since the expenses are covered by respective parties and each party would be able to settle their expenses through their insurance.