Motor Insurance is an important policy for vehicle owners. When an accident occurs, whether minor or major, it is an unplanned expense and a financial burden. Interestingly, those who have motor insurance do not incur costs when an accident occurs as their motor insurance policy covers the expenses. Permit me to say in Gen Z’s voice: Insurance is bae!
For motorists, there are two categories of motor insurance: 3rd Party and Comprehensive Insurance.
3rd Party is mandated by the law. Every registered vehicle in Nigeria must have at least a 3rd Party Insurance according to the Motor Insurance Act 53 of 1945. The cost of getting this insurance policy is pegged at N5,000 per year.
What Does 3rd Party Insurance Cover?
- Damage to third party property up to a limit of N1,000,000
- Unlimited (but reasonable) liability for death / bodily injury to third parties.
Third-Party means if your car is involved in an accident with another person’s vehicle/property, it covers only the person’s vehicle/property to the tune of N1,000,000 compensation. Your own car is not covered.
Read: Five Steps To Utilize Your 3rd Party Insurance When An Accident Occurs
As the name suggests, this category of insurance policy takes care of much more. This policy is not mandated by the law but car owners who think it’s wise to protect their property against unforeseen circumstances take this policy. They enjoy peace of mind and save themselves a lot of money.
What Does Comprehensive Insurance Cover?
Comprehensive caters for both you and the other person’s vehicle. This comes in two categories, Enhanced Comprehensive and Auto Variant Insurance. This protects you from the below:
- Accidental damage to insured vehicle.
- Loss or damage to insured vehicle resulting from Fire or theft.
- Damage resulting from malicious act, Strike, Riot and civil commotion.
- Damage to third party vehicle up to a limit of N1,000,000
- Damage to third party property up to a limit of N1,000,000
The Auto Variant package affords you the luxury of full cover at pocket-friendly prices, something you need to consider.
Do not wait until an accident occurs, this is the best time to make that decision to pay a token once a year to protect what is important to you.
Let us discuss motor and other insurance policies that best suit you.
Call: 07086216957
Email: brand@cornerstone.com.ng
Visit: cornerstone.com.ng