What does this Third Party Fire and Theft Car Insurance cover?
Even if you are not a very frequent driver, you must have heard news or studies that goes like “Malaysia is one of the top countries with the most road accidents” somewhere. As intimidating as it may sound, you probably still can't keep yourself completely off the road but this insurance can solve half of your problem.
As the name suggests, it reimburses you for cost incurred from accidental damages done to third party which encompass bodily injury, death and property loss/damage. This policy also insure you against the damages inflicted on your vehicle due to fire and theft.
How is this different from a Comprehensive Cover?
What differentiates a Third Party Fire and Theft Car Insurance from a Comprehensive Cover are the coverage provided and unquestionably the premium charged. This policy does not protect you against damage to your own vehicle resulted from an accident. In other words, you'll have to bear the full repair cost.
Since the protection offered is a level lower than a Comprehensive Cover, your premium will be slashed down with a 25% discount. However, as much as you want to save on premium, third party cover is usually meant for old vehicles that are no longer under a financing arrangement.
What do I have to pay besides just the premium?
The total premium calculated will be inclusive of RM10 stamp duty to render it legally effective, 10% of the gross premium for commission if you buy it from an agent and last but not least, 6% GST.
What is not covered under this policy?
Other than your vehicle's damage, your own death or bodily injury is also not covered in any type of car insurance. You'd also be sure that wear and tear, depreciation and mechanical breakdown of your vehicle are not included in your policy.
Is there any deductible imposed?
Deductible which is also known as excess is the amount you'll have to bear before the insurer absorbs the rest of your claim amount. If your vehicle is driven by a person named or not named in your policy who is under the age of 21, holder of a L license or holder of a full license of less than two years, there is an compulsory excess of RM400.