Different type of car insurance coverages in Pakistan

Auto insurance is a growing industry in Pakistan. People are willing to spend money to protect their cars from accidents, vandalism, theft, intense weather conditions and other incidents. Based on these circumstances, insurance companies in Pakistan are providing a number of options to consumers with diverse needs.

Like any other insurance, auto insurance has different types as well that provide covers for different situations. Following are the types of auto insurance available in Pakistan;

Comprehensive car insurance

This is the most suitable cover for any driver as it covers the primary driver, its own vehicle and also any damages to the third party involving in an accident. Comprehensive car insurance, as the name suggests, covers everything. It even provides you protection in case of conditions that are not in your control like a natural disaster, weather, fire, vandalism etc. In addition, comprehensive car insurance covers the driver, passenger, the insured vehicle, and the third party vehicle in case of an accident. Basically, comprehensive car insurance provides you cover for all aspects, be it accidents, fire, theft, flood, riot or third party liability.

3rd Party Liability car insurance

Liability car insurance covers you in any accident where you were at fault. It will pay damages to the person affected due to your carelessness. The insurance will pay for the damaged vehicle, property and passenger/driver of the 3rd party. It should be kept in mind that it covers the damages to the 3rd party only. Any harm to your car or body is not covered by this type of auto insurance. This is the minimum level of cover needed to drivers in Pakistan.

Collision car insurance

Collision car insurance is exclusively for accidents where your car collides with another object or any vehicle. In such horrible circumstances, the collision car insurance covers the damage to the driver, passenger, and the insured vehicle. It should be kept in mind that weather conditions or natural disasters are not part of collision car insurance coverage in Pakistan.