Whether you are buying a new or used car, getting it insured is paramount. In case of an accident, not only will the owner’s vehicle face damages, but also sometimes it may cause damage to other properties. Car insurance will protect the owner from the risks related to expense and finance that they have to bear when an accident occurs. Even though the car owner is a good driver who strictly adheres to the safety rules and regulations in place when driving, they still need to possess car insurance. Thailand offers two types of car insurance; private insurance and compulsory third-party insurance.
Private Insurance (PI)
This offers greater control over the repair of your car and access to professional help after an accident. Thailand has a high road traffic death rate, therefore, it’s sensible to have this repair control option because the majority of the accidents are simple bumps. When you have an accident and your cover is private insurance, a representative from the insurance company will come to the scene of the accident and consult with the opposing party. This prevents you from getting into a dispute with the person you’ve collided with. Afterward, they will issue the relevant claim documents and advise you on the next steps. The PI cover is categorized into five types namely; 1, 2, 2+, 3, and 3+. The insurance that provides the best coverage and the most expensive is Type 1 while the one that provides the lowest level of cover and the cheapest is Type 3.
Insurance Coverage Types
Type 1
Accidents that occur when maybe you were swerving to avoid hitting a dog and you crashed your car or you reversed into a post while parking, are covered in this insurance. Accidents that are not involving a third party are also covered here. This type of insurance covers all cars that are less than seven years old, therefore, it’s possible to get this type for a used car without any major accident history in good repair. This cover sends your car for repairs at official garages.
Type 2
With very few insurance companies offering this insurance coverage, it’s important to note that it doesn’t come with collision coverage.
Type 2+
It doesn’t cover non-third party accidents. This insurance coverage will send cars to independent garages.
Type 3
For low-value or used cars, this type of insurance coverage is ideal as it covers only third-party liability and medical expenses.
Type 3+
This doesn’t cover third-party property damage caused by flood, theft, terrorism, or fire. It provides collision coverage and road accident protection.
Por-Ror-Bor or Compulsory Third-Party Liability Insurance (CTPL) (use h2)
This covers all motorcycles and cars that are registered in Thailand. For a regular vehicle, you’ll pay for a policy cost of around 650 Baht per year, give or take, which is the minimum requirement under the Road Protection Act. It provides basic coverage on injury and death caused by a road accident and it’s renewed on an annual basis. The rates on coverage differ if the accident is or is not your fault.
You can get a receipt and claim for medical treatment through your insurance company or at the hospital. The company will require a copy of the insurance policy and your passport. You can renew the CPTL through your insurance company or the Department of Land Transport. Holders of this insurance endure a fairly difficult claim process as it isn’t wholly sufficient. If you can afford Private Insurance use it as it will offer injury compensation and extra coverage on the vehicle.
It’s important to note that the following are coverage exclusions that apply in Thailand. Your insurance claim will be invalidated if: you don’t have a driver’s license, you leave the scene of the accident, if you are driving while drunk, if your car is damaged by an act of war, and if the driver driving while the accident took place is unauthorized.
