Comprehensive Insurance

The term comprehensive insurance may apply to any type of insurance and refers to a policy that covers all insurable perils associated with a certain asset or item. It is, however, more often applied to car insurance.

Comprehensive car insurance includes all those risks covered under a third party, fire and theft insurance policy and more. It includes cover for damage to third party’s property, fire or explosion, theft and hijacking as well as accidental damage and write off. That is, comprehensive car insurance includes damage caused by the driver to his or her own vehicle in the event of an accident. It may include benefits such as dent and scratch cover without excess, roadside assistance, car hire and emergency accommodation.

Some comprehensive car insurance policies also include some personal accident or medical cover if the driver is injured, and also trauma counseling. Financiers of vehicles usually require the purchased asset to be comprehensively insured.