| Every vehicle
driven in the UK on public thoroughfares is required to have some kind of insurance,
as defined by the Road Traffic Act. The lowest level required for any vehicle
is third party insurance. It is illegal to drive without insurance or to allow
other people to drive your vehicle who are not covered by your insurance.
UK car insurance will protect you from financial deficit if you are involved
in an accident. It comprises a contract between you and the insurance company;
by you agreeing to pay their premiums, the insurance company promises to remunerate
your losses as defined in your policy.
Insurance companies will issue you with documentation detailing the contract
between you and your insurers, specifiying the obligations and rights of each
party.. UK car insurance providers will usually issue you with three documents.
These are:
- certificate of insurance - The certificate if
insurance provides evidence of your policy holding as required by the Road Traffic
Act
- cover note - The cover note acts as a temporary
policy and is also accepted as an impermanent insurance certificate for the purposes
of the Road Traffic Act.
- policy document -The policy document details
in full the contractual terms and conditions of your policy as agreed by yourself
and your UK car insurance provider.
You can protect yourself against property damage, medical costs and liability
with UK car insurance. Property coverage can pay for damage to your vehicle or
replace it if it is stolen. If you are involved in an accident then liability
coverage will compensate your legal responsibility to third parties in an accident,
whether it is for bodily injury or vehicular damage. Similarly, if you are injured
in an accident that is not your fault, the insurance company of the offending
driver will be expected to pay for your losses. Medical cover can pay for the
cost of curative treatment for injuries, rehabilitation and, in some cases, reimburse
costs for lost wages and funeral expenses.
The company from which you buy your insurance is required by law to issue you
with a certificate which you should keep in a safe place. Most UK car insurance
policies last for a year's term and you should be notified in advance of the due
date for your policy's renewal or premium payment.
If you are financing a car then your lender might impose some insurance requirements
upon you.
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