Vehicle insurance may cover some or all the items, depending on the public policy existing in a country, such as medical payments to the insured party, physical damage to the insured vehicle, third party coverage for car and people including property damage and physical injury, third party coverage for fire and theft, no fault insurance coverage for persons riding in the insured vehicle irrespective of fault in the accident.
There may be various policies for each coverage separately or a comprehensive coverage.
With the rising prices in every front of life, one may wonder why to take additional burden of insurance for the rare occurrence of accidents, but it is compulsory in various jurisdictions before possessing the right to drive any motor vehicle on the public road.
It is interesting to note that most of the countries cover this insurance not only to the vehicle but also to the driver, though the coverage levels may vary.
It is also noteworthy that there are 'pay-as-you-drive' insurance schemes clubbed with fuel tax, in several countries.
There are schemes like 'excess', 'compulsory excess', 'voluntary excess' which allows excess or deductible payment that will be directly paid to the repairing garage.
The reclaim facility depends on the degree of fault of the driver of the insured vehicle.
Risk selection coverage may vary on various aspects like age, gender, driving history, marital status, vehicle classification etc.
In United States, 'behavior based insurance coverage' is also available.
As there are different regulations in different countries, to facilitate the claim benefits while driving in any frontier, an international motor card system is in existence through an agreement between the authorities and the insurance organizations.
With the increasing technology, it has now become easy to get quotes, online.
However, the scope of facility depends on the technology usage in various countries.
Auto insurance is equally important for the life of the vehicle as well as the driver.