Own damage cover in car insurance is an option considered by thousands of drivers.
Own damage refers to damage caused by the insured person’s own actions, where they are solely responsible, or damage caused by a third party who cannot be identified or held liable.
With this cover, many insurers take care of these damages, which is why policies that include own damage cover are considered among the most complete in the market.
If you would like to know more, keep reading.
Which Insurance Policies Can Include This Cover?
This option is exclusive to vehicles and can be arranged for cars, motorbikes, quads and similar vehicles. The policy that usually includes it is comprehensive insurance. The cover is material, so it does not cover injuries suffered by the driver or another passenger.
It also does not include vehicle breakdowns that were not caused by an accident, nor extraordinary risks covered by the Insurance Compensation Consortium, such as terrorism, riots or events caused by the Armed Forces, among others.
Frequency of These Claims
The frequency of this type of claim is decreasing, but that does not mean this cover should be ignored. In fact, own damage claims are among the most frequently reported to insurers, well above total liability claims or glass breakage according to sector data published by ICEA.
Own Damage Cover Only with Comprehensive Insurance
Own damage cover can only be arranged with comprehensive insurance, so the policy premium will be higher than basic third-party cover.
Is This Cover Recommended for a Motorbike or Car?
Two situations should be considered:
- Comprehensive insurance becomes important if the car is new or nearly new, because repairs can be very expensive.
- If the car or motorbike does not have private parking and sleeps on the street, it is exposed to serious damage, so comprehensive insurance should also be considered.
What Happens with Third-Party Insurance?
For vehicles more than 7 years old, it is very common for the policyholder to start considering alternatives to comprehensive insurance. One increasingly common option is comprehensive insurance with a deductible.
Policies are also arranged as third-party insurance with theft, fire and glass, or only some of those covers. Finally, basic third-party policies with no own damage cover are also arranged. It all depends on what the client is willing to spend and the difference in premium between each option in each case.
If you would like more information about prices for your car insurance, you can contact our team.