MANAGEMENT

Detailed explanation-1: -motor vehicle insurance, also called automotive insurance, a contract by which the insurer assumes the risk of any loss the owner or operator of a car may incur through damage to property or persons as the result of an accident.

Detailed explanation-2: -Liability Coverage: Covers the repair/replacement cost of the damaged property (or third-party) Covers the medical bills of the third party due to hospitalization or medical treatment. Vehicle owners should buy minimum liability insurance as per the legal obligation and the insurance policy will cover the same.

Detailed explanation-3: -The most common type of third party insurance is the automobile insurance. Take for example, when met with an accident, you file an accident claim. In this case you are the first party protected by the insurance company, who is considered as the second party.

Detailed explanation-4: -Liability insurance coverage protects you financially if you’re responsible for someone else’s injuries or property damage. Liability coverage comes standard with most vehicle and property insurance policies, including auto and homeowners insurance.