Every person who buys a vehicle should make sure that it is insured. Insurance is taken to cover a vehicle for the event of accidental loss, theft or damage. People who take out insurance have to pay the insurance company a certain amount of money each year. Insurance companies provide compensation when people are injured or property is damaged.

Insurance companies protecting people against injuries may give cover for medical bills, lost wages, pain and suffering and disfigurement (where a person’s body becomes deformed).

If the insured person dies, an insurance company may pay medical and funeral expenses and compensate the people whom the dead person was supporting. Most motor accident insurance policies provide compensation for injury and death.

The Road Accident Fund automatically covers third party insurance. This does not cover damage to the person’s property (including your car).

(See: Third Party Claims)

Comprehensive insurance is not compulsory but it will cover you if your car is damaged in a motor accident. Comprehensive insurance gives all the benefits of balance of third party (in other words those costs that are not covered by a third party claim), fire and theft insurance as well as cover against damage to the vehicle no matter how the damage to your car was caused.

(See: Comprehensive Insurance)