What is a Car Insurance Policy & Its Functions, Here's the Explanation

Type of Car Insurance : TLO Car Insurance, All Risk Car , Joint Car Insurance, Expansion Car Insurance (Rider), Collision Coverage Car Insurance
what-is-car-insurance-policy

simplebloggertutorial.com To protect your favorite vehicle from various risks that can bring losses, it never hurts to register a car insurance policy.  This way you don't have to worry if the vehicle is damaged because it will be covered by insurance.  Not only that, car insurance can also replace it with a new unit if your car is lost, you know.  Instead, you need to pay car insurance premiums regularly in accordance with the provisions contained in the insurance policy.

 So what is a car insurance policy and how do I register it?  For more details about what an insurance policy is, its functions, types and examples of car insurance policies,

 Definition of Car Insurance Policy


 insurance is a type of insurance that provides compensation if the vehicle is damaged, either badly damaged or just scuffed and lost.  Not only providing compensation, insurance also provides other additional benefits in the form of compensation for damage due to floods, riots and natural disasters.  You can get this additional benefit when you buy additional or additional rider insurance.

 An insurance policy is a binding legal document for the policy holder or customer and the insurance company in a written agreement.  The agreement contains various things that must be adhered to by both parties, starting from the terms, rights and obligations of each party to the provisions of the insurance work principle that is carried out.


 When you buy a car insurance product, you will get a car insurance policy number in the form of a unique code as an identity that the policy holder is registered as an insurance customer legally and legally.  By holding an insurance policy, the customer has an obligation to pay a premium every month and the company is also obliged to provide compensation if the vehicle experiences problems as long as the policy is still valid.


Function of Car Insurance Policy

 For customers and insurance companies, it is very important to understand the entire contents of the car insurance policy to avoid future losses due to not understanding the contents of the policy chosen.  The reason is that each type of poll has different terms, conditions and benefits such as an all risk car insurance policy that offers comprehensive protection, but customers have to pay a premium that is much larger than other types of insurance policies.

 Insurance policies have different functions for policyholders and insurance companies.  Here's the description.

Policy Functions for Insurance User Customers (Insured)


 The functions of a car insurance policy for customers who use insurance include:

 - As written evidence of the guarantee of various risks and compensation for losses that may occur to the insured written in the policy.
 - Become proof of premium payment charged by the car insurance company
 - As authentic evidence to sue the insurance company if at any time there is negligence in fulfilling the guarantee that is the customer's matter.

 Policy Functions for Insurance Companies (Insurers)


 For insurance companies, car insurance policies function as follows:

 - As proof of receipt of insurance premiums that have been paid by customers
 - As written evidence of the guarantee given to the insured
 - As authentic evidence to reject claims submitted by the insured if they cannot meet the policy requirements.

 Type of Car Insurance


 Currently protecting your favorite vehicle with insurance is very important.  This is due to the increasing risk of accidents and car loss.  With car insurance you don't have to worry about the cost of repairing the vehicle even if the vehicle is lost.

 Currently there are many types of car insurance with various benefits to suit your needs.  So before choosing the type of insurance, you also need to know how long the car insurance policy will last.  You also need to choose the type of car insurance that suits your needs.  Here are some types of car insurance that you can choose according to the condition of the car.

 1. TLO Car Insurance


 TLO Insurance or Total Loss Only is a type of car insurance that provides coverage or insurance costs only if the policyholder's car is lost due to damage with a repair value equal to or greater than 75 percent of the current car price.  That means that a claim can only be made for a lost or irreparable car policy.  So don't try to make a claim if your car is just scratched because it won't be approved.

 With this insurance risk, this type of insurance offers a fairly light premium compared to other types of insurance.  The amount of the TLO insurance premium is three times smaller than the example of an all risk car insurance policy.  Currently, the minimum premium for the Jakarta area for TLO insurance is 0.44 percent of the car's price.

 2. All Risk Car 


 As the name suggests, all risk car insurance provides protection for all types of car damage, both minor and severe, even replacement in the event of loss.  This type of car insurance policy is perfect for those of you who use luxury cars to avoid losses when damage or loss occurs.

 With the list of all risk insurance policies, you can file a claim for all types of damage from abrasions to very severe damage.  Even if your car is lost, the insurance can also provide a replacement if it meets the specified requirements.

 With this comprehensive protection, checking all risk car insurance premiums is certainly much more expensive than TLO car insurance premiums.  For example, the all risk insurance premium for the Jakarta area is 3.26 percent of the price of the car.  The premium is higher than the TLO premium which is only 0.78 percent.

 3. Joint Car Insurance


 Combined car insurance is a type of insurance that combines all risk insurance and TLO insurance.  However, this type of car insurance policy can only be obtained for cars that are still in the credit period.  The working system of the combined car insurance is that in the first year the car will be covered by all risk, while for the following year it will only be covered by TLO insurance.

 4. Expansion Car Insurance (Rider)


 Expansion car insurance is an added benefit in addition to coverage for accident or loss.  The expansion guarantee offered by this policy includes many things, including the following:

 - Guaranteed expansion of floods and hurricanes

 This insurance provides protection when the car is hit by floods and hurricanes.  This expansion is perfect for those of you who live in flood-prone areas.  The reason is, the cost of repairing a flooded car is quite large and drains the pocket.

 - Guarantee of earthquake and tsunami expansion

 This insurance provides protection when the car is hit by natural disasters such as earthquakes and tsunamis.

 - Guaranteed expansion of riots or riots

 If there is a riot or riot that causes damage to the car, this rider insurance will cover a number of losses.

 - Guarantee the expansion of terrorism and sabotage

 Rider insurance that guarantees protection against car damage due to terrorism and sabotage.  Cars that are damaged as a result of this will receive compensation from the insurance company

 - Guaranteed expansion of third party legal liability

 This insurance provides compensation for third party losses caused by accidents and so on.  So when there is a third party victim in an accident, you don't need to make compensation.  The insurance company will provide compensation to the third party.

 - Passenger personal accident expansion guarantee

 Rider insurance that protects and provides more protection in the event of an accident that causes passengers to be injured or die

 - Guaranteed expansion of legal liability to passengers

 Additional insurance that provides wider liability for passengers in the event of an accident that causes a loss

 5. Collision Coverage Car Insurance


 The definition of collision coverage car insurance based on the example of a motor vehicle insurance policy is car insurance that is devoted to covering medical costs due to collisions caused by the driver.  Not only that, this type of insurance also covers the cost of damage and anti-loss according to the price of the car the customer has.

 6. Car Insurance Liability Insurance


 Car liability insurance is actually not much different from Collision Coverage insurance.  However, this type of insurance provides additional coverage in the form of medical bills or injuries suffered by policyholders or customers.

 7. Personal Injury Protection Car Insurance


 This type of insurance provides protection for customers who have an accident against themselves while driving.  In addition, this additional policy from Garda oto car insurance also provides additional costs as compensation for accidents experienced by customers and passengers.

 Sample Car Insurance Policy


 An insurance policy is a written agreement that is known and signed by both parties, namely the customer and the insurance company.  The insurance policy explains the provisions related to protection and risks that can occur in the car in the future.  Not only that, the car insurance policy also contains the rights and obligations of both parties which are discussed in detail.

 For more details, the following is an example of an insurance policy for TLO and all risk types of insurance:

 h3 Example of TLO Car Insurance Policy /h3


 Based on the rules standardized by the Indonesian General Insurance Association (AAUI) within the framework of the Standard Motor Vehicle Insurance Policy (PSAKBI), the TLO car insurance policy only provides replacement if the  occurs at least 75% of the value of the vehicle.


 PSAKBI further explained that the TLO policy is divided into two categories, namely Actual Total Loss and Constructive Total Loss.  Actual total loss is lost due to theft as referred to in Article 1 paragraph 1 white 1.3 and is not found within 60 days of the theft.

 While constructive total loss is damage and or loss due to an event guaranteed by the policy where the cost of repair, replacement or restoration to its original state just prior to the occurrence of loss and or damage is equal to or higher than 75% of the actual price.

 Example of an All Risk Car Insurance Policy


 The all risk car insurance policy covers any total and partial damage.  That is, the insurance company will cover the loss even if the repair value is less than 75% of the value of the vehicle.  Even for minor damage such as abrasions, customers can still make claims and get replacement costs for repairs.  If your car is lost, the all risk car insurance simulation can also provide replacement with a new unit if it meets the specified requirements.

 How to Choose a Car Insurance Policy


 Photo source: Pair Srinrat via ShutterstockCurrently the choice of policies for car insurance that you can choose according to your car needs.  However, you should be able to choose the best type of car insurance policy in order to get benefits according to your needs and abilities.  To get the right insurance policy, here's how to choose it.

1. Choose the type of insurance that suits your needs


 Insurance companies such as Sinarmas car insurance offer many policy options that can be chosen according to customer needs.  Before choosing the type of insurance, first understand the policy and its benefits so that you can choose the type of car insurance that suits your car needs.  You also need to pay attention to the amount of premium that must be paid and make sure you choose one that fits your budget.

2. Understand the Terms Determined by the Policy


 In choosing a car insurance policy, don't forget to pay attention and understand the terms and rules stated in the agreement letter.  This is very important for you to understand because it can determine whether your policy application will be accepted or not.  This method will also prevent you from being misunderstood for not paying close attention to the rules listed on the policy.

 3. Compare Premium Prices with Service Features


 To get the best car insurance policy 2020, it's a good idea to compare several policy options before choosing one.  Currently, insurance premiums have been regulated by the OJK, but the features and services may be different.  Therefore, it is important to compare the premium price with the service features provided in order to get the best policy that suits your needs.

 4. Choose Car Insurance with Spacious Workshop Partners


 Good and profitable car insurance usually has extensive repair partners.  This will certainly be very beneficial for customers because they can make repairs anywhere easily.  So even if you are out of town and far from the area where the insurance list is, you can still make a claim easily.

5. Compare Car Insurance Policies from Various Insurance Companies


 To get the best car insurance policy, you have to compare policies from various insurance companies at once.  In this way, you can get the type of policy that best suits your needs but at the lowest premium cost.

 6. Look for Third Party Car Insurance


 Third party car insurance is a policy benefit that provides compensation in the event of a risk of an accident or problem involving a third party.  By choosing this type of insurance, if you accidentally hit someone else's car, the cost of damage to the victim will be borne by the insurance company.

 How to Claim Scratched Car Insurance


 Cars that are often used for mobility are very prone to abrasions or scratches either due to an accident or while in the parking lot.  You can claim repair costs for scuffed cars if you hold an all risk car insurance policy.  To file a claim, here's how.

 1. Report to the insurance company


 The first step if you find a scratched car is to immediately contact an insurance agent to make a report.  Usually the insurance will ask about the chronology of how your car got scratched.  Next you will be directed to prepare the necessary insurance claim terms.

2. Attach Photo Evidence of Scratched Parts


 In order for your car insurance claim to be approved, don't forget to attach photo evidence of the scuffed car part.  You can submit the photo online when reporting.  Next, print the photo to be attached to the claim submission document.

3. Prepare the Required Documents


 In the process of submitting a scuffed car insurance claim, there are several documents that you need to prepare.  Usually, each insurance company has its own document requirements that must be met by customers when they want to make a claim.  To find out what documents are needed, you can ask the car insurance agent directly.


 4. Fill in the Form for Submission of Scratched Car Claims


 For customers who want to submit a claim, they are required to fill out the submission form first.  You can fill out the form online on the car insurance company's website, or come directly to the insurance agent's office.  Make sure you fill out the form correctly and completely, so that your claim submission can be processed and approved.


 5. Convey Information and Event Chronology


 In the process of submitting a claim, the insurance company will ask several questions regarding why your car can get scratched.  Explain the chronology of events in as much detail as possible because this will be a consideration for the car insurance policy to approve or reject the claim that you provide.

 6. Monitor Claim Submission Progress


 The submission process until the claim is received usually takes time.  This is because the insurance company will analyze and check the completeness of the documents you submit.  To ensure your submission is handled, make sure to always monitor the progress of the claim.  Usually insurance companies provide applications that customers can use to monitor the progress of filing claims.

 7. Use Partner Workshop Services


 If your claim submission has been approved, make sure to use the services of a car insurance company partner repair shop to make repairs.  In this way the process of reimbursement of repair costs will be more easily disbursed and according to the rules that apply in the policy.

 How to Claim Credit Car Insurance


 Cars that are still in the credit process also do not rule out the possibility of having an accident when they are used to drive on the road.  Generally, cars purchased on credit through leasing are equipped with vehicle insurance.  But if you haven't, there's nothing wrong with registering insurance for a credit car.  In this way, you don't have to worry if the credit car is damaged or lost.  For this type of car credit, how to submit a car insurance claim is as follows.

1. Report Immediately If Damage Occurs


 If the car that is still in the credit period is damaged, make sure to immediately make a report to the insurance agent.  This is to provide detailed information about the chronology and how much damage your car has suffered.

 2. Prepare the Required Documents


 To apply for a credit car insurance policy claim, there are several documents that you need to prepare.  Among them are SIM, STNK, certificate from the police and the car insurance policy.

 3. Submit a Claim Digitally


 Along with the development of increasingly sophisticated technology, currently submitting a car insurance claim can be done online.  You only need to go to the insurance company's website or application then fill out the claim submission form provided.

 4. Monitor the Progress of Claim Submission Using the Application


 To see how far the claim submission process is going, make sure you always monitor the progress of submitting a claim using the application provided by the insurance company.  In addition to monitoring the progress of submitting claims, you can also use this application to find out the car insurance calculator that customers will receive.

 5. Go directly to the insurance office


 If the online insurance claim submission has not been processed, it is better to visit the insurance office directly.  Submitting claims online that are too many sometimes make your application take longer to process.  If you want faster, go to the insurance office directly.

How to Claim All Risk Car Insurance


 For all risk car insurance policy holders, you can submit a claim for all types of damage, both minor to severe damage and even loss claims.  The steps for submitting it are as follows:

 1. Attach Photo of Car Damage Claim


 When you have an accident that makes your car damaged, it's a good idea to immediately take a cell phone and take a photo of the damaged part of the car.  The photo will be required to be attached when submitting a claim to the insurance company.  Next, attach the photo to your claim file.

 2. If you are out of town, contact your insurance agent


 The process of submitting a monthly car insurance claim can not only be done in the area where you are registered.  If you have an accident while out of town and want to make a claim, then immediately contact an insurance agent.  The insurance agent will direct you to come to a partner workshop in the city to make repairs.

 3. Fill in the Insurance Claim Form Available at the Workshop


 To make it easier for customers, submitting a BCA all risk car insurance claim can be done at a partner workshop appointed by the insurance company.  You only need to fill out the insurance claim form available at the workshop and the mechanic will immediately repair the damage you experienced.

 4. Submit a Claim Confirmation to the Insurance Party


 After the repair process at the partner workshop is complete, you will then be given a cost note and proof of repair for car damage.  To get a repair replacement fee, you must submit a claim confirmation to the insurance company.  Bring a memorandum of repair costs and the required documents, for example the motor vehicle insurance policy that you submitted to the car insurance office for replacement of repair costs.

 One of the best ways to protect your car from the risk of damage and loss is to register with car insurance.  Currently there are many choices of the best 2020 car insurance policies that you can choose according to your needs and budget.  By having an insurance policy, you don't have to worry about the costs when the car is damaged.

 Those are some important things about car insurance policies that you need to know.  Driving on the streets has big risks so you need to provide protection not only for yourself but also for your favorite car.  Registering a car insurance policy is the best way to provide the best protection for your assets.  Come on, visit the Qoala App to get complete vehicle insurance product information!

1 comment

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