I am not exaggerating when I say that insurance companies may be some of the most distrusted service providers in the industry. Most folks seem to think that paying for insurance is a lot like throwing money into a bottomless pit. The skeptics will tell you that insurance companies make money off never having to compensate their clients, and that even when they have to, there are so many loopholes in the contract that they can use to weasel out of paying you.
The truth is, they do compensate their clients, but it may not be as simple as one plus one. That however is a story for another day. Today, let us talk about the insurance you are required by law to pay: Third party insurance.
The day may come when that reckless taxi driver overturns the car or wraps it around a tree. What third party insurance does is cover all your medical expenses in case you are injured. It is named third party insurance because the first party is the insured person (the driver or owner of the car), the second party is the insurance company and the third party is you: the injured person that claims damages against the insured first party.
Important things you need to know
•Third party insurance is compulsory for all motor vehicles. You are required by law to pay for it, and will fetch you a hefty fine should an officer find you without one.
•The insured person (read, reckless driver or his boss) will not be compensated for injuries. It only covers the other victims of the accident.
•To be compensated, you will need to provide evidence that you were injured in that particular accident as well as medical documents to prove injury and treatment. It is a very simple process that the police officer can help you with.
Herein however, lies the problem. An expert I takled to said it was sad that most accident victims struggle with insane medical bills because of ignorance and or fear.
With the proper documentation, the insurance company can be a life saver. The problem is, many folks are either afraid of police stations or have come to distrust the police so much, thinking that all they want is money. When you couple that with the distrust for insurance companies, you have a two headed monster of a problem. The process may take a bit of time, but your patience will pay off. You are legally entitled to compensation.