How to pick the right type of car insurance
Once you’ve found your ideal car, the next step is to get the right insurance. Here’s a guide to car insurance options in Ireland and how to get cover best suited to your needs.
What types of car insurance are there?
There are three main types of car insurance in Ireland. The type of cover you choose will depend on the level of cover you need and how much you can afford to pay.
Third Party, Fire and Theft
This cover has all the benefits of third party insurance and adds cover for fire damage and theft. This means if your car is stolen or damaged by fire in an accident you can claim for damages.
Comprehensive car insurance offers the most complete financial protection for you and your vehicle.
This type of insurance is often the most expensive because it covers you and your car most extensively.
As well as covering third parties, fire damage and theft, unlike other types of car insurance, you’re also covered for damage to your car in the event of an accident or vandalism - regardless of whose fault it was.
You might not be covered for any personal injuries costs; only costs related to damage to the vehicle.
Some comprehensive policies also cover personal injury as standard, but this isn’t always the case, so always check the policy schedule and add it as an extra benefit if required.
What’s the best type car of insurance?
There isn’t a best type of cover, but the right type of car insurance depends on your circumstances, such as:
If you have just bought a brand new car and commute a long distance to work or drive as part of your job, then a fully comprehensive policy could be the best choice.
However, if you drive a used car that’s not worth much or you only drive your car occasionally, third party insurance might provide adequate cover.
On balance, if you can afford comprehensive cover and want peace of mind, then it’s worth spending more for the best insurance and any extra benefits you need.
What to consider when choosing car insurance
Buying car insurance is a case of weighing up the pros and cons of each type and deciding how much you can afford.
If you’re still not sure which insurance to buy, consider these questions:
Car insurance types FAQs
Can I drive another car with comprehensive insurance?
It depends on the insurer. Some insurance policies include this benefit as a standard feature, but other’s will require you to add it as an optional extra.
What is an excess free claim?
A policy excess is the part of a claim that is paid by you, not the insurance company. For example, if you have a policy excess of €200 and claim for car damage which costs €1,000, the insurance company will only pay €800 towards the claim.
An excess-free claim is when you don’t have to pay anything towards the claim yourself.
What is a no claims discount?
It’s a discount based on the number of years you’ve held a policy without making a claim. The reduction in your premium is based on the number of years you go without making a claim on your policy. For example:
|No.of years with no claims||% discount|
What is No Claims Discount Protection?
No Claims Discount Protection is a type of benefit you can opt into if you have a good claims history, for example, at least 5 years of no claims discount.
No claims discount protection means if you make one claim in the insurance year your no claims bonus will not be affected.
Where can I get short term car insurance?
Short term insurance is defined as between one and 28 days.
Currently, there are no brokers or insurance companies offering short-term insurance to drivers in Ireland.