The financial obligations of car ownership do not begin and end with the dealership sale. There are other things to consider: mortgage, registration, periodic maintenance, and repairs, to name a few. And while many owners see insurance as a burden—going so far as to skip it once their car hits a certain age—it’s a vital safety net for motorists who want peace of mind.
Let’s try to answer some of the FAQs about car insurance.
1. I already have a CTPL (Compulsory Third-Party Liability) car insurance. Is there still a need to purchase additional comprehensive car insurance?
Unfortunately, CTPL doesn’t cover your car per se. It only covers the medical costs or associated costs due to injury or death of a third party your car might hit, leaving you high and dry if you need repairs. However, CTPL does not cover physical damages to the property of the third party involved. Body repair cost can be very costly, even for non-fatal accidents.
CTPL, as its name suggests, protects the welfare of a third party involved in a vehicular accident, but it does not give protection to the car owner or the car itself. Comprehensive car insurance takes care of that.
2. What are the outright benefits of having comprehensive car insurance?
It is protection against loss or damage of your vehicle. For an annual fee similar to a single monthly payment of your car, the insurance company will guarantee reimbursement for any financial costs resulting from accidental damage to your car, even those far in excess of the cost of your insurance premium. It also comes with benefits such as roadside assistance and emergency towing services.
3. What about theft?
Comprehensive car insurance policies cover theft. Aside from coverage of stolen car accessories, carnapping is also covered. Personal items you've left inside due to negligence, however, will not be covered.
4. Are Acts of Nature included in my comprehensive coverage?
Acts of Nature (AON) is an optional benefit that is normally purchased on top of a comprehensive car insurance plan. This is a highly recommended product add-on as damages caused by fire, flood, and earthquakes can be costly—not to mention devastating—for car owners. Flooding alone can destroy sensitive electronics in the car, costing hundreds of thousands in repair fees. And when accidents are serious enough to totally damage your car or cause damage in excess of the car’s value, a good comprehensive insurance plan with AON will cover the costs of restoring it to the best possible condition.
5. What about my passengers? Are they covered?
Normally, insurance only covers accident damage and costs for the owner. Some insurance providers, however, also offer optional coverage for all passengers, even if they were injured by a third party while entering or exiting your vehicle.
6. Is it possible to apply for a more comprehensive car insurance policy for the same car on top of what you already have?
This is allowed. If you recently upgraded the entertainment system of your car or replaced the mags with high-end ones, you can always get higher coverage.
7. Is it possible to apply for insurance while you still have an existing policy?
Applying for a new policy even before your current one expires should not be a problem. It will simply take effect once your current policy lapses.
8. Is it possible to apply for car insurance online?
Technology has made it possible for car owners to process car insurance applications online. AXA’s online portal allows you to apply for insurance in minutes, with a simple and intuitive interface that gives you both your costs and your coverage upfront. This ensures painless application, processing, and even payment. You can personalize your insurance plan and get an estimate using this tool.
AXA offers an ecosystem of benefits to policyholders. Aside from the alleviating the financial burden that comes with a comprehensive insurance policy, it also gives you access to AXA assist, a handy and reliable roadside emergency phone application. It provides value-added services such as emergency towing assistance, emergency minor on-site vehicle roadside repair assistance, dispatch of emergency vehicles (ambulance, fire, police), and even process claims, to name a few.
Established in 1999, AXA Philippines is one of the largest and fastest growing life insurance companies in the country. It offers financial security to more than 1.5 million individuals through its group and individual life insurance as well as general insurance products through its wholly-owned subsidiary, Charter Ping An.
Learn more about Car Insurance Online on the official website.