Thursday, October 28, 2021
Vehicle Insurance All Risk or TLO Car Insurance: Which Do You Choose?
Indonesian people's awareness of the possible risks on the road is
arguably high. This can be seen from the many car insurance policies
offered in Indonesia. This is natural because if you look at the risks,
many accidents occur on the highway, especially in big cities like
Jakarta. For those who want to buy a car insurance policy, they may be
confused with the choice of
All Risk car insurance or Total Loss Only
(TLO) car insurance. For that, car owners need to know the difference
between All Risk and TLO car insurance, what is covered and how to
calculate the premium. The method will be explained in detail below.
Also Read: So that Cars Burned by Riot Actions are Covered by Insurance,
Choose this Type of Insurance! Are you confused about finding the best
car loan? Cermati has a solution!
Vehicle Insurance All Risk or TLO Car Insurance: Which Do You Choose?
Indonesian people's awareness of the possible risks on the road is
arguably high. This can be seen from the many car insurance policies
offered in Indonesia. This is natural because if you look at the risks,
many accidents occur on the highway, especially in big cities like Jakarta. For those who want to buy a car insurance policy, they may be confused with the choice of All Risk car insurance or Total Loss Only (TLO) car insurance. For that, car owners need to know the difference between All Risk and TLO car insurance, what is covered and how to calculate the premium. The method will be explained in detail below. Also Read: So that Cars Burned by Riot Actions are Covered by Insurance, Choose this Type of Insurance! Are you confused about finding the best car loan? Cermati has a solution!
Why is Car Insurance Important? The Importance of Car Insurance WHO
notes, traffic accidents are the third biggest killer in Indonesia,
after coronary heart disease and tuberculosis. According to data from
the Korlantas Polri, there were 105,374 cases in 2016. Human negligence
is the main factor in the occurrence of accidents. It is also
understandable, this factor does not only come from us, but also from
other people. On the streets, the negligence of others can be bad for
us. Even if someone has been driving in an orderly manner, he could be a
victim due to reckless driving. The risk of injury and death can be
reduced by increasing safety, but the risk of damage to the vehicle is
often unavoidable, whether minor or major damage. This is what makes our
vehicles, in this case cars, need to be insured.
What's more, it costs
quite a lot even if the damage is only a scratch on the car. Accidents
are not the only reason. Robberies and vehicle theft are increasing day
by day everywhere.
Not only in cities Notes:
Region 1: Sumatra and
surrounding islands.
Region 2: DKI Jakarta, West Java, and Banten.
Region 3: Apart from
Regions 1 and 2. 2. Car Insurance All
Risk/Comprehensive All Risk can be defined as 'all risks'. This
insurance is also called comprehensive or whole. This means that
insurance will pay claims for all types of damage, ranging from minor
damage, serious damage, to loss. In contrast to TLO, just a little
scratch on the car, the insurance will pay the insurance claim. It's
just that All Risk car insurance, the financing is more expensive than
TLO. In order not to make the wrong choice, you can compare All Risk car
insurance and the best TLO car insurance for your vehicle.
Compare the
best car insurance products from leading insurance companies throughout
Indonesia below. Below is a list of All Risk Insurance premium rates
regulated in OJK Circular Letter Number 6/SEOJK.05/2017. All
Risk/Comprehensive Insurance Know How to Calculate Insurance Premiums
Every car insurance may have a variety of policies.
In general, how to
calculate TLO and All Risk car insurance premiums is based on the
insurance rate multiplied by the price of the car. The amount of the
rate as presented in the table above is not the same for each region and
category.
Then, what is the current premium rate and how is it
calculated? For example, you have a Toyota Avanza 1.3 GM/T variant for
IDR 206 million. Because you have a DKI Jakarta ID card, of course if
you take TLO insurance, your car will enter Region 2 with a category 3
insurance rate of 0.38%-0.42%. The premium you have to pay is
BACA JUGA >
Wuih, Ternyata Dimana Tanaman ini Tumbuh Pertanda Ada Berlian Di Bawahnya
The amount of TLO or All Risk insurance premiums above will still be
added with
administrative costs, policy fees, stamp duty, and other
costs. Based on the above calculation, the All Risk insurance premium is
greater than TLO. You need to provide more funds if you want to get an
All Risk car insurance policy. The price difference so far can make
prospective insurance policy buyers confused. Want a cheap one, but who
will pay for minor damage? Want an expensive one, but what if the
insurance money will be forfeited later? Insurance premiums are only
paid once, but insurance protection is only valid for one year. Can All
Risk and TLO Insurance Policies be Combined? Combine Both Types of
Insurance No need to be confused. You can do a combination of TLO and
All Risk. For example, if the car you want to insure has just come out
of the showroom or maybe you get a used car loan, there's nothing wrong
with buying an All Risk insurance policy in the first and second years.
After that, the car can be insured by purchasing a TLO insurance policy
in the third year and so on. The financial burden compared to the risk
of damage is an important consideration. A new car will certainly
require a relatively higher cost even if the damage is only minor
damage. When the age of the car is getting older, there is no harm in
switching to Total Loss Only. Are All Risks Covered with All Risk Car
Insurance? Expand Protection on Your Favorite Car The amount of
insurance premium described above is called the pure premium. There are several risks that are not covered by All Risk car insurance.
You may decide to expand your car insurance coverage.
BACA JUGA >
Ide Brilian, Pohon Tertua di Dunia yang Tertolong Menggunakan Infus
The extension of this coverage covers things that may happen to the car caused by:
1. Floods,
typhoons, storms, and water damage.
2. Riot.
3. Earthquake/Tsunami.
4.
Sabotage/Terrorism.
5. Third Party Liability (TPL).
6. Driver Accident.
