On an entirely legal basis, every driver in the UK is obliged to purchase auto insurance with an absolute minimum of third party cover. However, there are actually three different levels of auto insurance available to UK drivers which fall into three different categories:
The minimum requirement of third party auto insurance covers the cost of any damage caused to the vehicle or property of another driver in the event of a motoring accident. Additionally, a third party policy will also pay to treat the injuries of another driver although the policyholder will not be covered for damage to their own vehicle.
Third party, fire and theft auto insurance policies provide the same levels of service as a basic third party premium but the policyholder is also covered in the event of theft or fire in relation to their own vehicle. However, third party, fire and theft policies do not cover the cost of accidental damage to the vehicle of a policyholder.
Comprehensive auto insurance policies provide full cover for the policyholder and any third party. This type of policy includes cover for bodily injuries to any party involved in a motoring accident as well as covering the cost of damage to both vehicles. Comprehensive auto insurance is usually more expensive than both of the third party options but premiums can be reduced by lowering the cost of deductibles when purchasing the policy.
Additionally, comprehensive auto insurance cover can also be adjusted to include breakdown cover or roadside assistance.
