First and foremost, car insurance in the United Kingdom, and many other countries across the globe, is a legal requirement. Insurance for cars became a legal requirement in 1930 when new legislation introduced required anyone using a vehicle on the road to have an insurance policy, with the minimum type of insurance being third party.
Third Party Only (TPO) car insurance is still the most basic level of cover available and therefore often the cheapest. As the name suggests, third party insurance covers damage or loss to third parties only, meaning this type of insurance policy will not provide you with cover for the cost of loss or damage to your vehicle or belongings.
If you did not have car insurance in place and caused an accident on the road then you would be required to cover the cost of any damage or loss you created to the other person's vehicle, as well as your own. This could quickly add up to a substantial amount, so opting for car insurance will result in a much more cost effective way of motoring.
Details of your policy will also be required in order to get your car taxed. Before a car tax disc is issued you will need to produce your insurance certificate as well as a MOT certificate, if applicable. Put quite simply, it is a criminal offence in Britain to drive without insurance and if caught doing so, you can be fined and/or banned from driving for a period of time.
Asides from being the law of the land, insurance is essential when considering the fact there are over a million car thefts every year in the United Kingdom. Car theft has been a long standing problem in society, but there are some precautions you can take to minimise the probability of your vehicle being stolen or damaged.
From keeping your car safe and secure this not only does the obvious by preventing loss and damage, but it also helps to keep your insurance premiums down - this is simply due to reducing the likelihood of having to make a claim on your policy. In addition, parking your car in a garage or driveway, installing an alarm, and using handbrake or steering wheel locks all help to deter would-be thieves and minimise the risk of theft.
Of course, there's no telling what may happen from being a vehicle owner, but from having suitable car insurance in place you can be sure to be better protected from unfortunate eventualities that may occur.
About the Author:
Andrew Regan writes for a digital marketing agency. This article has been commissioned by a client of said agency. This article is not designed to promote, but should be considered professional content.
