Why you need car insurance in Thailand

Why you need car insurance in Thailand

Whether you currently drive or plan on driving anytime soon, there is one thing that you need that is arguably just as important as the vehicle itself – and that is insurance. Insurance is a must, and there are many reasons for its importance, especially when you consider the hectic streets in Thailand.

One of the first reasons to get insurance is because it is a legal requirement. Everyone in Thailand is obligated to secure an insurance policy before they can take to the streets.

Apart from the legal requirement, medical costs are also a concern when driving in Thailand. Whether injuries happen to the driver, the passengers of either car or pedestrians affected by the accident, your insurance plan should cover the costly medical bills.

Another important reason for auto insurance is that a working policy can protect you against loss of property. You may get into an accident where the situation is your fault, or you may be a victim of a break-in, or even experience damage from environmental factors. With a good policy, your insurance company will pay for the damage, allowing you to move on and continue your life without too much inconvenience and financial burden.

Types of Insurance

The lowest form of insurance that one can get Thailand is CMI (Compulsory Motor Insurance). CMI is the cheapest option available, but it is also one of the most limiting in terms of what payout should any problems occur. CMI will cover medical costs to a limited degree, but it will not pay out for vehicle damage.

When it comes to truly protecting yourself while driving Thailand, it is necessary to get a VMI (Voluntary Motor Insurance) policy. There are several levels of VMI’s available, each one more comprehensive than the last.

The lowest VMI available is Type Three Insurance. With this plan, drivers can expect to have third-party medical costs covered. Third-party property damage is also covered.

One step above Type Three Insurance is 3+ Insurance. 3+ Insurance is all the same features as Type Three Insurance, but it will also pay for the driver’s vehicle, so long as the other driver is known and only to a limited degree. This plan will not pay for property damage if no other cars are involved in the accident.

Type Two Insurance coverage is similar to 3+ insurance iin what it covers but adds in theft and fire. Type Two Insurance will also pay for vehicle damage in the event of a collision.

2+ Insurance covers third-party property damage and medical expenses, theft and fire, as well as damage to the insurance holder’s car. 2+ Insurance is quite similar to Type One Insurance, but there are limitations for how much money can be paid out for different types of claims.

Type One Insurance is, by far, the most comprehensive VMI drivers in Thailand can get. It is also the smartest policy to sign up for given the chaotic driving culture in Thailand. Type One Insurance covers a wide range of issues, including natural disasters, theft, towing expenses, theft, fire, property that damage, and medical expenses for everyone involved in an accident. Find out more here ประกันรถยนต์.

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