You are using an outdated browser. There may be optical and technical problems.
OK, CLOSE
You bought a new car! A new car is a happy event, but how do you decide which car insurance to buy? Regardless of whether you are switching out your car or buying a new one, you must have insurance. Partial or comprehensive accidental damage insurance? We can help you decide.
Liability insurance is mandatory. If you don’t have liability insurance, then you won’t be able to register your car. Liability coverage pays for damage that you cause with your vehicle to others. Like if you rear end someone, for instance.
Accidental damage insurance is voluntary. Accidental damage insurance pays for damage to your own car and is an add-on system. This means you decide between partial accidental damage insurance, which does not include collision, and comprehensive accidental damage insurance, which does include collision, and also which add-ons you want to include in your coverage.
Partial accidental damage covers damage to your vehicle that was not caused by you or by another driver with your vehicle. It covers damage from things such as bad weather, marten bites or unknown people or causes. The most important insurance coverages:
This coverage also pays for damage that you cause to your own vehicle. One example is if you scrape a post when you are parking in an underground garage. This is what comprehensive accidental damage insurance covers:
Add-ons to enhance your comprehensive / partial accidental damage policy
You can tailor your insurance and add extra layers of protection by choosing from a wide variety of coverages such as parking damage, bonus protection or roadside assistance with onward travel. You will find more detailed information under car insurance.
Most of us drive without having an accident for many years. However, a lot of damage is caused through no fault of our own and, regardless of how careful and experienced we are, it cannot be prevented. And if you are involved in an accident at some point, the financial consequences are extremely unpleasant. Especially if you haven’t budgeted for these costs.
Every year, AXA pays out more than CHF 8 million due to marten damage!
Even if you are extremely careful when you drive, damage can happen in the blink of an eye. In the winter there is black ice to contend with, and in the spring pollen on wet roads turns into a slippery film. And don't forget that you are not alone on the road and don't know how other road users will behave. If you don't have accidental damage insurance, you could be faced with a massive bill for damage. And with newer or more expensive cars, the costs can run even higher.
If you buy a brand new car or a floor model, you will most likely want comprehensive accidental damage insurance. With a leased vehicle, this is included automatically. But a second-hand car is a different situation. Depending on how old it is, partial accidental damage insurance may be all you need. And yes, the premium will be lower.
There is no rule of thumb. But you can be sure that the higher the deductible, the lower the premium. What matters is that the deductible and the premium fit into your budget and that any damage you have to pay out of your own pocket due to the deductible you've chosen doesn't put a strain on your finances.
There is no definitive answer. In theory, it can make sense to convert after 4-7 years. But, in reality, the "right" time varies from one person to the next. Why?
The older the car becomes, the less it is worth If it is leased, conversion is not possible. It's also important to compare the costs that would be assumed under comprehensive insurance or the payout in the case of a partial or total loss with the premiums paid. For second-hand cars in mint condition or cars that are expensive when new, this is a crucial point to consider.
If you buy present value supplement coverage or the purchase price guarantee from AXA, you will be compensated much more than the current present value of the car and it will be worth keeping your comprehensive accidental damage coverage longer. The purchase price guarantee will pay you the purchase price of your vehicle for five years from the date that you purchase your car. This is why comprehensive accidental damage insurance is still a good idea even for older vehicles.
So if you are thinking about converting, we recommend that you consult with your advisor to find the optimum solution.
Géraldine Mathys is a theme manager at AXA and researches interesting content about mobility and start-ups for you. She also passes on regular tips and tricks to you.
