Comprehensive Car Insurance in Nigeria

Automobile insurance with broader coverage and known as general insurance or all risks insurance is called the comprehensive insurance. In Nigeria it is called the “Comprehensive Motor Insurance”. While basic third party insurance covers loss/damage to other person’s property and bodily injury to persons, Comprehensive insurance also shields your car against different forms of risks. That is why we reveal everything that comprehensive vehicle insurance covers for and why it is an ideal decision for many individuals who own vehicles.

Did you know?
Comprehensive car insurance in Nigeria can be customized to suit your specific needs. You can choose from different coverage levels and add-ons, allowing you to tailor your policy to match your lifestyle and budget.

Key Coverage Areas

While we do not market or promote any particular Insurance company or policy or package, this article is designed to help readers become more knowledgeable about insurance in the automotive industry. The following are the areas covered by comprehensive car insurance in Nigeria; please keep in mind that each insurance company can choose to tweak these features:

Third-Party Liability

Third-party liability is also mandatory for all vehicles and offers required coverage in the event of an accident, proving that you are to blame for the occurrence of damages to the third party’s property or personal injury or death. This coverage has two main aspects: This coverage has two main aspects:

Property Damage: This part of the coverage will help you cater for expenses on other people’s property that you may have damaged. This consists of any harm done on another car, a fence, a building or any other property that your car had an opportunity to knock into. For example, if you bump into another person’s car in a parking lot or crash into a neighbor’s fence and that requires adjustments or even replacement, the insurance will cater for the same, hence ensuring that one does not have to spend a huge sum of money on such an incidence.

Bodily Injury and Death: This coverage offers monetary recovery of the medical bills, lawyer fees, as well as any compensation claims in case you are responsible for an accident that could lead to harm or death of another person. This is very vital especially because in cases of illness or injury medical expenses may be very steep and the same applies to legal fees. For example, if you have an accident that led to the other driver or a pedestrian suffering from an injury, your insurance will cater for his medical expenses, physical therapy, and compensation for wages lost and for pain and suffering.

Vehicle Theft: In cases of theft of your vehicle, then comprehensive insurance covers will assist you in recovering the cost of the vehicle. This is especially so because car theft is a common issue and could financially hurt when you have a car loan you are still paying off. This insurance also covers the acts of theft of the entire car and also the theft of parts of the car. All the items which are easily detachable can be taken off like mirrors, car head lights, car stereos, etc. You car part theft can be as devastating as stealing the whole car and having an insurance that covers these types of events will assist you in reducing a lot of expenses that you would otherwise incur.

Fire Damage

Another important peril that is provided under Full Motor Vehicle Insurance is fire exposure. This includes:

Accidental Fire: This coverage is against any accidental fire in the vehicle whether while in use or parked. For instance, if a fire begins in your engine, resulting from a mechanical problem or the car is affected by a veld fire, the insurance will cater for the repair or replacement charges.

Vandalism and Arson: Other than unintentional fires, other forms of fires also include the intentional fires, whereby an object or property is burnt deliberately thus the comprehensive insurance also protects against these fires which may be as a result of vandals or arsonists. For auto insurance, there are coverages that if a person deliberately lit your car on fire, the insurance company will bolster you up since you wouldn’t be on your own to cater for the expenses.

Accidental Damage

One of the extensive features of the overall package of the car insurance is protection from the accidental damages. This includes:

Collisions: This coverage takes care of the expenses of the damage on your care in case of a collision with another car or an object such as a tree, pole, or a guardrail. It also encompasses cases that do not involve other vehicle such as an accident due to a pothole or the car overturning. For instance, if for some reason you skidded on the wet road and then crashed into a barrier, that would be something that your insurance would pay for repairsing.

Single-Car Accidents: Comprehensive insurance also covers your losses from different forms of accidents like if you have an accident with an animal or if you have a single-car accident which may result to rolling over. Such cases of accidents can lead to loss and having insurance that protects from such incidences can help to avoid very expensive repairs.

Natural Disasters

Hurricane affects the car greatly, but comprehensive insurance will give the car an area of safety against disasters. This includes:

Floods: It covers for damages that may result from water immersion, which is quite destructive to car’s mechanical and electrical components. For instance if your car has been drowned in flood, the insurance will cater for the expenses of repairing or replacing the damaged car.

Storms: Comprehensive insurance also covers acts of God such as hail, lightning, and strong windstorms, bursting pipes or breaking of a windshield by a bird. For instance, if the hail damages your car and makes dents or a tree damages your car due to a storm, the insurance will cater for the repair service.

Earthquakes: This coverage offers the coverage for loss caused by seismic movements. This is actualized in the situation whereby the car is affected by fallen items or structural collapse as a result of an earthquake.

Vandalism and Civil Disturbances

Hooligan activities and riots can also cause major damages to vehicles comprehensives cover all these risks. This includes:

Vandalism: This coverage shields against costs sets to be incurred as a result of instances such as window smashing, scratching of paint or writing on the car surfaces by vandals. If your car gets attacked by stage vandals, the insurance will come in handy to cover the expenses incurred in the process of restoring the car to its initial form.

Civil Disturbances: Comprehensive insurance also offer an undertaking against damages caused by such factors as riots, strikes, and other civil commotions. The insurance will cater for any damages that may occur to your car during a protest or a riot, in order to safeguard your wallet you will not be responsible for the costs of repair.

Additional Benefits

We are are going to class the following benefits as additional benefits, because they may come under a “diamond package” (that is a service variation)

Personal Accident Cover

The benefit that borders on personal accident is complementary to the comprehensive vehicle insurance as it seeks to protect the vehicle owner as well as his or her passengers in the event of an accident. This includes:

Medical Expenses: This coverage reimburses you for medical expenses if for instance the driver or the passengers of the car get injured in an accident. This may comprise of the hospital expenses, operations expenses and other expenses for rehabilitation. For instance, advanced medical treatment is needed when you have participated in a severe accident; the insurance will cater for the charges incurred on treatment.

Permanent Disability and Death Benefits: This coverage pays a cash amount in the case of total and permanent disability or death caused by an accident. If you and or a passenger are permanently disabled due to an accident, the insurance will pay out a lump sum to assist in catering for a disability. Likewise, if an accident happens and it causes the death of the policyholder, the insurance will make a monetary contribution towards the payment of the dead person’s family.

Roadside Assistance

Emergency assistance service is something that being protected by the comprehensive car insurance gives to its client. This includes:

Towing Services: The insurance company will provide for the expenses incurred in towing your car whether it was involved in an accident or has malfunctioned and needs to be towed to a mechanic or your home. This can spare you the agony of paying huge towing charges in times when you are far from home or work.

Emergency Repairs: This coverage covers for damages that require small amount of monitory to fix so as to make the car road worthy. For instance, situations like a flat tyre or a dead battery will have roadside assist help pay for fixing or getting a new tyre or battery so that you can be back on the road.

Vehicle Replacement

Another attendant advantage of obtaining comprehensive vehicle insurance is vehicle replacement which entails providing the client with an alternative vehicle when his or her car is succumbing to repairs consequent to an insured event. This includes:

Replacement Vehicle: Some insurance policies provide you with an alternative car especially if your car is undergoing some repair. For instance if in a certain week your car is being repaired in the garage after an accident, the insurance will give you a replace, that is a rental car so that you do not have to interrupt your normal duties as you wait for your car to be repaired.

Conclusion

Comprehensive car insurance in Nigeria offers a robust safety net for vehicle owners, protecting against a wide range of risks beyond the mandatory third-party liability coverage. From theft and fire to accidental damage and natural disasters, this insurance provides financial security and peace of mind. While the specific coverage can vary between insurers, understanding the core elements discussed in this article empowers you to make informed decisions when choosing a policy that aligns with your needs and budget. Remember, investing in comprehensive car insurance is not just about protecting your vehicle; it’s about safeguarding your financial well-being in unforeseen circumstances.

By understanding the nuances of comprehensive car insurance, you can make a more confident decision about protecting your investment and ensuring your financial security on the road.

Disclaimer: This article is intended for informational purposes only and does not constitute financial advice. It is recommended to consult with an insurance professional to determine the most suitable policy for your specific needs.