Requirements of any motor insurance policy

Question 1

What is the main reason why motor insurance is a legal requirement?

Answer 1

To protect any innocent third party

Question 2

What is the minimum level of cover on any car insurance policy?

Answer 2

Third Party cover

Question 3

What are the requirements that form the basis/structure of any ‘Third Party’ policy?

Answer 3

Third party death & injury, third party property damage, passenger liability, third party cover for towing, third party cover in foreign travel, emergency treatment fees

Question 4

How much will the third party policy pay for a claim where an innocent person has been injured or killed due to the customer’s actions?

Answer 4

An unlimited amount of money.

Question 5

How much will the third party policy pay for a claim where a passenger travelling in the customer’s vehicle has been injured or killed due to the customer’s actions?

Answer 5

An unlimited amount of money if they are not related.

Question 6

How much will the third party policy pay for a claim where an innocent persons property has been caused damage?

Answer 6

Up to £20 million

Question 7

How much will the third party policy pay for any legal fees connecting to with a claim?

Answer 7

Up to £5 million

Question 8

How much will the third party policy pay for the customer’s own property damage?

Answer 8

Nothing

Question 9

By law, the third party policy must have at least ___ of third party property damage cover.

Answer 9

£1 million

Question 10

Who is covered for injury or property damage caused to a third party by a passenger traveling in the customer’s car?

Answer 10

The third party and the customer (passenger liability)

Question 11

How much ££ is covered for injury or property damage caused to a third party by a passenger traveling in the customer’s car?

Answer 11

Unlimited for death or injury and £20 million on property damage (passenger liability).

Question 12

What does the third party cover for towing entail?

Answer 12

Customers are covered for damage or injury to third parties and their property that is caused by any type of trailer towed by their vehicle but not covered for damage to the trailer itself. A trailer could be a caravan. The cover only applies whilst the trailer or caravan is attached to the vehicle.

Question 13

If you drive in another EU country what will your policy cover?

Answer 13

The minimum level of insurance required in that country or the min required in your own country, whichever is greater.

Question 14

What do the emergency treatment fees cover?

Answer 14

By law your policy must cover the cost of emergency treatment including any ambulance fees following a road traffic accident.

Question 15

What are the types of motor insurance policies you can purchase?

Answer 15

Third party only (TPO), Third party, fire and theft (TPFT) or Comprehensive (COMP).

Question 16

What does TPO stand for?

Answer 16

third party only

Question 17

What does TPFT stand for?

Answer 17

Third party, fire and theft

Question 18

What does COMP stand for?

Answer 18

Comprehensive

Question 19

What is included in TPO policy?

Answer 19

In Third Party Only police included: TP death & injury, TP property damage, passenger liability, TP towing cover, TP cover in EU

Question 20

What is included in TPFT policy?

Answer 20

In Third Party Fire + Theft policy included: TP death & injury, TP property damage, passenger liability, TP towing cover, TP cover in EU +++ fire damage to your own car and theft or attempt theft to your own car

Question 21

What is included in COMP policy?

Answer 21

In comprehensive policy included: TP death & injury, TP property damage, passenger liability, TP towing cover, TP cover in EU +++ fire damage to your own car and theft or attempt theft to your own car +++ addicental damage to your own car, malicious damage to your own car, windscreen damage to your own car

Question 22

What does TPO policy cover in your own car?

Answer 22

Nothing, only damage you cause to other people and their property so you are legal to drive.

Question 23

What does TPFT policy cover in your own car?

Answer 23

Fire and theft damage.

Question 24

What does COMP policy cover in your own car?

Answer 24

Any damage to your own car with exclusions but all every day situations are covered.

Question 25

What are the levels of cover?

Answer 25

TP (Third party), F (Fire damage), T (Theft and attempted theft), AD (accidental damage), MD (malicious damage) and GD (glass damage)

Question 26

How much can a customer claiming for a fire damage claim for?

Answer 26

The market value of the car at the time of the loss

Question 27

Is the customer covered if their car is stolen and never found with TPFT policy?

Answer 27

Yes

Question 28

When is theft not covered by the TPFT policy?

Answer 28

When the car is unlocked or the keys are left in or on the vehicle.

Question 29

What does the TPFT policy cover in case of theft or fire?

Answer 29

The required repair if possible, the value of the car at the time of the loss if it is not repairable limited to the market value at the time of the loss

Question 30

What does AD stand for and what does it cover?

Answer 30

Accidental damage. If the vehicle is under one year old at the time of the loss, the customer was the first and only registered owner, and the vehicle was written off; we will replace the vehicle on a like-for-like basis.

Question 31

What does MD cover?

Answer 31

Malicious damage covers things done to the car with malicious intent (not trying to steal the car and it is not an accident).Cover is limited to the market value of the car.

Question 32

GD means?

Answer 32

The customer is covered for any breaks or chips to the windscreen or window glass.Also if broken glass damages paintwork.

Question 33

How much does the customer need to pay for excess if the glass is repairable?

Answer 33

Nothing BUT if the glass needs to be replaced an excess will apply.