All About Auto Insurance policy *

In big cities certainly car insurance or auto insurance much-needed. Driving in Jakarta, San Francisco or Paris without auto insurance is very risky. Traffic jam, high speed on freeway, own carelessness or other riders, theft, vandalism and many unforeseen factors have contributed to chances of disaster that struck the vehicle. Theft and costs due to accidents if not protected car insurance and must be borne own would be so burdensome, troublesome and very inconvenient. Finally auto insurance will be the solution.

Vehicle insurance (also known as auto insurance, car insurance, or motor insurance) is insurance purchased for cars, trucks, and other road vehicles. Its primary use is to provide protection against physical damage and/or bodily injury resulting from traffic collisions and against liability that could also arise therefrom.

Insurance Policy

Definition :

" An insurance policy providing coverage for a vehicle or trailer that
  operates on public roadways."

Formal contract-document issued by an insurance company to an insured. It (1) puts an indemnity cover into effect, (2) serves as a legal evidence of the insurance agreement, (3) sets out the exact terms on which the indemnity cover has been provided, and (4) states associated information such as the (a) specific risks and perils covered, (b) duration of coverage, (c) amount of premium of insurance, (d) mode of insurance premium payment, and (e) deductibles, if any.

An auto insurance policy is a legally binding contract between an auto insurance company and the person who buys the auto insurance policy. The buyer is called the "insured" or the "insurance policy holder" and the auto insurance company is called the "insurer." In exchange for payment of a specified sum of money, called the "insurance premium," the auto insurance company agrees to compensate the insurance policy holder for certain types of loss or damage resulting from an automobile accident. When a loss occurs that meets all of the requirements described by the terms of an auto insurance policy, the loss is said to be "covered" by that insurance policy.

Can an auto insurance company provide several different types of insurance policy?

Different auto insurance policy types may be purchased depending on the needs and wants of the insured. Auto insurance policy coverage may include bodily injury liability, property damage liability, and medical payments. A car insurance policy may also cover the physical damage sustained by a collision. All states require auto insurance policy coverage of bodily injury liability and property damage liability.

Takaful Insurance of Indonesia *

Takaful Insurance offer 2 type All Risks auto insurance. One of these is Auto Insurance of Takaful All Risks Standard, which only covers Total Loss due to theft and partial loss (physical damages) or total loss of car damage due to accident. Total loss due to accident if cost of repair more than 75% of sum insured (SI).  

You can get additional insurance coverage by way of endorsements.  Here are additional coverages possible (as optional) :

• Third party Liability maximum 100% of SI (Sum Insured)
• Personal Accident (PA/A) for Driver and Passengers
• Riot, Srike and Malicious Damage
• Terrorism and Sabotage
• Earthquake, Tsunami and Vulcanic Eruption
• Storm and Flood

The second is Takaful Insurance All Risks Extended or Takaful Abror package. You can click TAKAFUL ABROR auto Insurance.

Deductibles (Own Risks)  :

• Minimum Deductible Partial loss or Constructive Total Loss IDR. 200,000
• Deductible Total Loss due to theft: 10% of claims
• Flood and Windstorm: 10% of Claim, minimum IDR. 200,000.
• Eathquake, Tsunami, Erruption Vulcanic: 10% of Claim minimum IDR. 200,000.
• Terrorism & Sabotage  :
                1)   5% of Sum Insured for the total loss
                2)   IDR. 200,000 for partial loss

• Strike, Riot, Civil Commotion:
                1)   5% of Sum Insured for the total loss
                2)   IDR. 200,000 for partial loss

Third-party vehicle Insurance is a mandatory requirement in Indonesia and each individual car and motorcycle must be insured or the vehicle will not be considered legal. Therefore, a motorist cannot drive the vehicle until it is insured. Third Party vehicle insurance is included through a levy in the vehicle registration fee which is paid to government institution under the Police Department of Indonesia that known as the "SAMSAT". Third-Party Vehicle Insurance is regulated under Act No. 34 Year 1964 Re: Road Traffic Accident Fund and merely covers Bodily injury, and manages by a SOE's named PT. Jasa Raharja (Persero).