Cars and car insurance always go hand in hand because it is mandatory to have insurance cover if you own and drive a car. Apart from this obvious fact, there are plenty of reasons why you should have car insurance, even if you don’t possess a car
Why Would I Need Car Insurance If Don’t Possess A Car?
It is quite natural to think that since you do not own a car, you would not need car insurance. However, if you possess a driving license, there is every chance of you driving some other car and hence there is a requirement of coverage to protect you from liability in case of an accident while you are behind the wheel.
It is also necessary for you to have car insurance even if you are just a passenger because you need to be covered for medical expenses if you are involved in an accident while riding a car. Certain primary health insurance companies will cover injuriesafetts arising out of car accidents but increasingly health insurance companies are excluding vehicle accident claims from their coverage.
It is also important that you do not let your car insurance lapse for any reason because the next time you try and get cover, you will be considered as a high-risk customer. A low-cost option of staying insured during the time you do not own a car is to have your name added to a policy that a family member, relative or a friend may have.
Another very effective way of staying insured without spending too much is to take out a policy as a Named Non-Owner. While these policies do not cover the vehicle for any sort of damage, it will still provide you with liability cover.
Do I Need Car Insurance If I Take A Car on Lease?
Even though on paper you do not own a leased car, you most certainly require car insurance. While the vehicle is in your custody, you need to ensure that the vehicle is fully insured and you too have the necessary cover.
It may be worthwhile to consider gap insurance when the car has been financed because if it meets with a severe accident and needs to be written off, you do not want to be paying out large sums over and above the covered amount.
What If I Can’t Afford the Insurance?
Agreed car insurance can be a big drain on your financial resources as the premiums are typically quite high. However, considering the vital importance of having insurance cover, you need to make it a priority. There are free services available to find the cheapest car insurance company so that you can save lots of money but still be insured.
You should also know that driving any sort of vehicle without the relevant insurance is completely illegal. To make the insurance affordable, try reducing the policy amount to the bare minimum, pay on time to avoid late charges and penalties, and look around for the cheapest rates.
Get an online car insurance quote if you want to get a really low premium. It is not a viable option to cancel your insurance policy as you could expose yourself to potentially high liabilities in case of an accident or even a traffic violation.
What If I Am Unwell For a Long Duration?
Even if you are not in a position to drive a car because you are ill or have a disability, it is still a wise idea to keep your car insurance in force. If other people are driving your vehicle then you need to have it insured against accident damage.
Also, consider getting listed on the policy of a family member or a friend so that you are not seen as a high-risk applicant in the future and charged steep insurance premiums.
What If I Am In the Armed Forces and Serving Outside the Country?
Personnel on active military duty outside the country do not need to have car insurance for the period of their service outside. Even if you have let your earlier insurance policy lapse, you will not be considered to be a high-risk customer when buying insurance again.
However, any car that is owned by you but driven by other people will still need to be covered.
Evans Walsh is an insurance consultant who advises companies and fleet owners on various aspects of car insurance. Evans is associated with http://rsadirect.ae/ for long and suggests the customers to opt for online car insurance quote.
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